Ohio Bankruptcy Exemptions: Protect Assets Securely

If you are considering filing for bankruptcy in the Buckeye state, you are probably worried about losing your assets. You are not alone, and it's a healthy concern. The good news is that Ohio bankruptcy exemptions allow you to keep certain assets in bankruptcy. Ohio is an "opt-out" bankruptcy exemption state, meaning that when you file bankruptcy in Ohio, you use the Ohio state-specific exemptions, and not the federal exemptions.

In the following guide, we provide you with a useful table of exemptions and will explain most widely used Ohio bankruptcy exemptions, including the homestead exemption, vehicle exemption, and other important protections that can help you safeguard your assets during the bankruptcy process.

What Are Ohio Bankruptcy Exemptions?

Ohio bankruptcy exemptions are state-law protections that determine what property you can keep when you file chapter 7 or chapter 13 in Ohio. Under the federal Bankruptcy Code (11 U.S.C. § 522(b)(3)), each state can choose its own exemption system. Ohio has “opted out” of the federal exemption scheme and requires most filers to use the state exemptions found primarily in Ohio Revised Code § 2329.66 and related statutes.

In plain terms, these exemptions are meant to ensure you still have a place to live, basic household goods, transportation, and the tools you need to work and retire. When exemptions are applied correctly, many Ohio chapter 7 cases are “no-asset” cases where the trustee has nothing to sell.

Below are the core Ohio bankruptcy exemptions organized by category. . Exemption amounts are periodically adjusted, and court decisions can change how they are applied in real cases. We strongly encourage anyone considering bankruptcy in Ohio to work with an experienced local Ohio bankruptcy attorney.

Ohio Homestead Exemption

Ohio Vehicle & Personal Property Exemptions

Support, Wages & Benefit Exemptions

Lawsuit, Wildcard & Savings Exemptions

Retirement & Pension Exemptions

Domicile Requirement to Claim Ohio Exemptions

To use Ohio bankruptcy exemptions, you typically must have been domiciled in Ohio for at least 730 days before filing your case. If you recently moved, the look-back rules in 11 U.S.C. § 522(b)(3) may require you to use another state’s exemptions or the federal set. Because these timing rules can be tricky, it is important to review your residency history with an Ohio bankruptcy attorney before you file.

The charts above are a starting point, but the real work is in applying these dollar amounts and statutes to your specific assets. A local Ohio attorney can go line by line through your property and use Ohio Revised Code § 2329.66 to protect as much as possible in your case.

Ohio Homestead Exemption Explained

The Ohio homestead exemption is one of the most important protections in a chapter 7 or chapter 13 case. It comes directly from Ohio Revised Code § 2329.66(A)(1), which allows an Ohio resident to protect equity in a primary residence up to a state-set limit. When this exemption is applied correctly, many homeowners are able to keep their homes even while discharging unsecured debt.

As of the most recent adjustment, the Ohio homestead exemption is $182,625 in equity per owner-resident. That means an eligible Ohio debtor can generally protect up to $182,625 of equity in a qualifying home. When both spouses have an ownership interest and file jointly, each spouse can usually claim a separate homestead exemption, effectively doubling the protection to approximately $365,250 in equity. Because these amounts are periodically adjusted and can be interpreted in light of case law, it is important to confirm current figures with your attorney.

Federal Homestead Cap If You Recently Bought Your Home

Even when Ohio exemptions apply, federal law can place an additional cap on how much homestead you can actually use. Under 11 U.S.C. § 522(p), if you acquired your interest in the home within 1,215 days (about 3.3 years) before filing, the amount of homestead protection that can be claimed may be capped at a federal maximum, even if Ohio’s dollar amount is higher.

The interaction between Ohio Revised Code § 2329.66(A)(1) and the federal cap in 11 U.S.C. § 522(p) is technical and very fact-specific. If you bought, refinanced, or significantly paid down your home within the last few years, make sure you review your timeline with an experienced Ohio bankruptcy attorney before filing. That way you know exactly how much homestead protection you can safely claim in your case.

Ohio Motor Vehicle Exemption Explained

Reliable transportation is essential in most Ohio bankruptcy cases—getting to work, taking kids to school, and handling medical appointments. The Ohio motor vehicle exemption comes from Ohio Revised Code § 2329.66(A)(2) and is designed to protect a reasonable amount of equity in one vehicle so you are not left without a car after filing.

Under ORC 2329.66(A)(2), an Ohio debtor can exempt up to $5,025 in equity in one motor vehicle. For example, if your car is worth $10,000 and you owe $6,000, your equity is $4,000. Because $4,000 is below the $5,025 cap, that vehicle would typically be fully protected by the Ohio motor vehicle exemption. If your equity is higher than the exemption limit, your attorney may look at strategies like reaffirmation, redemption, or negotiating with the trustee.

Ohio Vehicle Exemption in Joint Cases

The statute allows an exemption for “one motor vehicle per debtor.” In a joint case—where both spouses file together—each debtor generally has their own $5,025 motor vehicle exemption under ORC 2329.66(A)(2).

In practice, that means:

• • If each spouse owns a separate vehicle, each can use their own $5,025 exemption on their own car.
• • If both spouses are on the title to the same vehicle, they can often stack their exemptions on that one vehicle, effectively protecting up to $10,050 of equity—assuming both have an ownership interest.

What you cannot do is split a single debtor’s $5,025 across multiple vehicles or treat it as a “pool” for several cars. It is one motor vehicle per debtor, so structuring titles correctly and understanding who owns what matters—a detail your Ohio bankruptcy attorney will walk through with you before filing.

Vehicles With Adaptive Equipment or Disability Modifications

Ohio law does not provide a higher base motor vehicle exemption just because a vehicle has a handicapped plate or is used by a disabled person—the same $5,025 vehicle cap under ORC 2329.66(A)(2) still applies to the value of the vehicle itself.

However, there is a separate exemption for professionally prescribed or medically necessary health aids in Ohio Revised Code § 2329.66(A)(7). In some cases, courts have treated the value of doctor-prescribed adaptive equipment (such as wheelchair lifts or specialized hand controls) as a health aid that can be exempted under this provision, while the underlying vehicle remains subject to the regular $5,025 limit.

In other words, an unmodified van is usually not a “health aid,” but the value of the custom medical modifications may be treated separately under ORC 2329.66(A)(7). Whether that argument works in your case depends heavily on medical documentation, how the equipment is described, and how Ohio bankruptcy courts in your district have interpreted the statute. If you are relying on the vehicle exemption and the health aid exemption to protect an adapted vehicle, you should absolutely get advice from an experienced Ohio bankruptcy attorney before filing.

Ohio Wildcard Exemption Explained

The Ohio wildcard exemption is one of the most flexible tools available to bankruptcy filers because it can be applied to almost any type of property. Unlike the homestead, vehicle, or household-goods exemptions—each of which applies to specific categories—the wildcard exemption can be used wherever you need extra protection. The wildcard comes fromOhio Revised Code § 2329.66(A)(18) and currently allows an Ohio debtor to exempt up to $1,675 in any property of their choice.

In practice, the wildcard often functions as a “buffer” that fills small gaps where another exemption doesn’t fully cover the value of an item. Because every filer’s mix of assets is different, your Ohio bankruptcy attorney may strategically apply the wildcard to protect the items that matter most or to avoid a small amount of non-exempt value that could otherwise trigger trustee scrutiny or a buy-back request.

How the Wildcard Exemption Supplements Other Exemptions

The wildcard exemption can be added on top of virtually any other exemption category when you’re slightly over the limit. Some common uses include:

• • Boosting the vehicle exemption: If your equity is a little higher than the $5,025 motor-vehicle limit under ORC 2329.66(A)(2), the wildcard can cover the excess and keep the car protected.
• • Protecting bank balances: The standard exemption for cash/bank deposits is only $625 under ORC 2329.66(A)(3). The wildcard often fills the gap when payday timing or tax-refund deposits push your balance above that limit.
• • Covering higher-value household items: Household goods are capped at$800 per item and $16,850 total. If a single item (e.g., laptop, furniture, appliance) is slightly above the per-item cap, the wildcard can protect the difference.
• • Protecting hobby or collectible items: Items like musical instruments, cameras, sports equipment, or collectibles that don’t fit neatly under another exemption can be covered by the wildcard.

Examples of How the Wildcard Is Used in Real Ohio Cases

Example 1: Protecting a Paid-Off Car

Suppose your vehicle is worth $7,000 and you have no loan. Ohio’s vehicle exemption protects $5,025 of equity. That leaves $1,975 exposed. Your attorney can apply:

• • $5,025 — vehicle exemption
• • $1,675 — wildcard exemption

That covers $6,700 of value. You’d still have $300 non-exempt, but an attorney may negotiate a small settlement with the trustee or challenge the valuation if the car is realistically worth less.

Example 2: Protecting a Checking Account With Payday Timing

Imagine you’re paid the day before filing, and your checking account shows $2,000. Ohio’s cash exemption protects only $625. Here’s how the strategy might look:

• • $625 — cash exemption
• • $1,375 — wildcard exemption (partial use)

Everything is protected as long as you don’t exceed the wildcard total. Your attorney may also advise timing the filing differently to limit exposure.

Example 3: Covering Household Items That Exceed the Per-Item Cap

Suppose you have a $1,200 television. Ohio’s household-goods exemption allows$800 per item. You’re over by $400. Applying the wildcard covers the difference and avoids a potential issue with the trustee.

Example 4: Protecting a Small Collectible Collection

Maybe you own $1,500 in sports memorabilia or collectibles. These items often do not fall under any specific exemption category. The wildcard exemption can be used to protect them entirely, keeping the trustee from targeting them for sale.

Strategic Use Requires an Experienced Ohio Bankruptcy Attorney

While the wildcard seems simple, it is one of the most strategically important exemptions in Ohio. Proper placement can mean the difference between a smooth no-asset case and a trustee requesting turnover or a buy-back. Your attorney will analyze every item you own, identify how far each exemption reaches, and then use the wildcard to plug any gaps.

Because Ohio Revised Code § 2329.66 interacts with federal law, residency rules, and local trustee practices, the wildcard should always be applied as part of an overall exemption strategy—not in isolation.

Ohio Household Goods Exemption

Ohio’s household goods exemption protects the basic items you need to maintain a functioning home. The law comes from Ohio Revised Code § 2329.66(A)(4)(a), which allows debtors to keep essential household items up to certain limits even when filing chapter 7 or chapter 13 bankruptcy.

Under this exemption, you can protect most common household goods — such as furniture, appliances, clothing, kitchen equipment, beds, linens, and similar everyday items — up to$800 per item and up to $16,850 total (per debtor). Most people’s basic home furnishings fall well within these limits.

In real Ohio cases, trustees rarely take household goods because (1) resale value is low, and (2) the exemption amounts are generous compared to what used items typically sell for. Still, your attorney will list and value everything carefully to avoid any surprises.

Ohio Tools of the Trade Exemption

If you rely on specific tools, equipment, or reference materials to earn a living, Ohio provides additional protection through the Tools of the Trade exemption. This exemption comes from Ohio Revised Code § 2329.66(A)(5).

Ohio currently allows you to exempt up to $3,200 in tools, books, instruments, or equipment that you personally use in your trade or profession. This includes work tools, job-related electronics, trade equipment, and certain professional reference materials.

In practice, this exemption is especially helpful for:

• • Mechanics protecting tool sets
• • Contractors protecting power tools
• • Hair stylists protecting professional equipment
• • Photographers protecting essential camera gear
• • Nurses or medical workers protecting specialty instruments

For higher-value equipment, your attorney may combine this exemption with thewildcard exemption to cover the remaining value and prevent exposure to the trustee.

Ohio Retirement Accounts Exemption

Retirement accounts receive some of the strongest protection in bankruptcy — both under federal law and Ohio law. Most retirement funds are treated as fully exempt, meaning they cannot be taken by a chapter 7 trustee and do not need to be spent down before filing. These protections come primarily from 11 U.S.C. § 522(b)(3)(C),11 U.S.C. § 522(d)(12), and supporting Ohio statutes governing public retirement systems.

In general, if your retirement account is tax-qualified under the Internal Revenue Code — such as a 401(k), 403(b), governmental 457(b), SIMPLE IRA, SEP IRA, or defined-benefit pension — it is fully exempt without a dollar limit. These funds are considered necessary for your long-term support and are not available to creditors in bankruptcy.

Traditional & Roth IRA Exemptions

While most employer-sponsored plans are limitless in protection, Traditional and Roth IRAshave a federal exemption cap of $1,711,975 (aggregate, per person). This limit is extremely high and is rarely exceeded except by long-term, high-income savers.

If funds were rolled over from a qualified plan (like a 401(k) or 403(b)) into an IRA, those rollover amounts are typically protected without limit, even if they now sit inside an IRA. Your attorney will help distinguish rollover amounts from IRA contributions to ensure you claim the full protection available.

Ohio Public Employee Retirement Systems (STRS, OPERS, SERS)

Ohio has several public retirement systems — including the State Teachers Retirement System (STRS), Ohio Public Employees Retirement System (OPERS), and School Employees Retirement System (SERS). These pensions and retirement plans are protected under their own statutes and are generally fully exempt from bankruptcy.

For example, ORC 3307.41 provides broad protection for STRS funds, preventing assignment, garnishment, or bankruptcy seizure. Similar protections exist for OPERS and SERS under their respective code sections.

What the Trustee Looks For

Although retirement accounts are strongly protected, trustees do review:

• • Whether the account is legitimately tax-qualified
• • Whether recent contributions were “excessive” or unusually timed
• • Whether any funds were withdrawn before filing
• • Whether an IRA includes rollover amounts or normal contributions

The key thing to remember is that withdrawn retirement funds lose their protection. Once you take a distribution and place it in a checking account, it is treated like cash and must be exempted under Ohio’s other categories (such as the wildcard or cash exemption).

Why Retirement Exemptions Matter So Much

For most Ohio filers, retirement accounts represent decades of savings. The law recognizes this and provides unusually strong protections so that filing bankruptcy does not wipe out your ability to retire or support yourself in the future. An experienced Ohio bankruptcy attorney will help ensure each retirement plan is categorized correctly and protected completely under the applicable statute.

How to Use Ohio Bankruptcy Exemptions

The list of Ohio bankruptcy exemptions is only half the picture. What truly protects your home, car, tools, benefits, and household items is how those exemptions are applied in your case. This section is not a step-by-step filing guide—it is a practical overview of how exemptions are typically analyzed and structured in an Ohio bankruptcy. Because the rules involve both federal law (11 U.S.C. § 522) and state law (Ohio Revised Code § 2329.66), a skilled Ohio bankruptcy attorney is essential to using these protections correctly.

In a typical case, you and your attorney work together on an exemption strategy that looks something like this:

• 1. Review & Value All Assets: Your attorney will help you compile a complete list of assets and determine realistic market values—not replacement cost, and not sentimental value. This includes real estate, vehicles, bank accounts, household goods, tools, retirement accounts, and any claims or lawsuits. Accurate valuation prevents disputes with the trustee later.
• 2. Calculate Equity for Key Items: For assets like homes and vehicles, equity is calculated by subtracting loan balances from the current value. Your attorney compares that equity to the limits in ORC 2329.66 to determine whether the asset is fully protected or needs additional planning.
• 3. Match Each Asset to the Correct Exemption: Your lawyer applies the appropriate Ohio exemption category—homestead, motor vehicle, household goods, tools of the trade, support, benefits, retirement, wildcard, and more. Exemption selection is strategic, especially when values are close to the limits.
• 4. Use the Wildcard to Fix Gaps: If an item slightly exceeds its exemption cap (like a checking account with more than $625 or a car with a little too much equity), your attorney may use the $1,675 wildcard exemption from ORC 2329.66(A)(18) to cover the difference. Proper wildcard use often turns a borderline asset into a fully protected one.
• 5. Check Residency & Federal Caps: Even if Ohio exemptions apply, federal law may impose limits—such as the 1,215-day homestead cap under11 U.S.C. § 522(p) or the IRA cap under § 522(n). Your attorney reviews your residency timeline and recent property purchases to make sure no federal limitation unintentionally reduces your protection.
• 6. Prepare Accurate Schedules for Filing: Your attorney translates your exemption strategy into your official bankruptcy documents—especially Schedule A/B (assets) and Schedule C (exemptions). This is where the statutes, amounts, and values must be laid out clearly for the trustee and court.
• 7. Respond to Trustee Questions: If the trustee asks for proof of value, loan balances, or exemptions, your attorney handles those discussions and provides documentation. Most issues are resolved easily when exemptions were applied thoughtfully from the start.

Again, this is an overview, not a do-it-yourself guide. Exemption planning is one of the most technical parts of an Ohio bankruptcy case, and mistakes can lead to losing property or having to buy back assets from the trustee. Working with an experienced Ohio bankruptcy attorney is the best way to ensure Ohio Revised Code § 2329.66 is used to its fullest to protect everything you’re allowed to keep.

Get Legal Help With Ohio Bankruptcy Exemptions

On the surface, Ohio bankruptcy exemptions may look straightforward. But in real cases they can behighly technical. Exemption values adjust periodically, federal bankruptcy rules interact with Ohio law, and court decisions in the Northern and Southern Districts of Ohio can change how Ohio Revised Code § 2329.66 is interpreted and applied. Even a small misstep — such as misvaluing an asset, choosing the wrong subsection, or missing a federal cap under 11 U.S.C. § 522 — can lead to avoidable issues with the trustee.

That’s why it is essential to work with an experienced Ohio bankruptcy attorney. A skilled attorney will analyze your assets, apply each exemption correctly, use the wildcard strategically, and make sure your home, vehicle, tools, benefits, and retirement accounts receive the full protection the law allows. Proper exemption planning can mean the difference between a smooth no-asset case and having to surrender or buy back property from the estate.

Whether you are filing chapter 7 bankruptcy in Ohio or chapter 13 bankruptcy in Ohio, the right exemption strategy will determine what property you keep. An attorney familiar with Ohio law, local trustees, and current case rulings can give you clarity, confidence, and the best possible outcome as you move toward a more stable financial future.

Examples of Ohio Bankruptcy Exemptions Being Used

Bankruptcy exemptions are not just numbers in a statute—they make the difference between what you keep and what you may have to surrender. To help you understand how Ohio exemptions really work, here are three practical examples that show how they can apply in everyday situations.

Example 1: Protecting a Family Home

Sarah and James own a home in Cleveland with $150,000 in equity. Because Ohio’s homestead exemption protects up to $182,625 in equity, their home is fully exempt. Even if they file for chapter 7 bankruptcy, the trustee cannot force the sale of their home to pay creditors. This exemption allows families like Sarah and James to reorganize their debts without losing the stability of their residence.

Example 2: Keeping a Necessary Vehicle

Marcus, a teacher from Columbus, drives a car worth $9,000, but he still owes $5,000 on his auto loan. His equity is only $4,000, which is under Ohio’s motor vehicle exemption of $5,025. That means Marcus can keep his car, which is crucial for commuting to work. Without this exemption, he might have been forced to sell his vehicle, making it harder to maintain steady income during financial recovery.

Example 3: Household Items and Furnishings

Emily, a single parent in Dayton, owns typical household furniture and appliances worth about $10,000. Ohio’s exemption for household goods and furnishings protects up to $800 per item, with a total value of $16,850. Because her belongings fall under that limit, everything from her living room couch to her children’s beds remains safe. This exemption ensures that people can maintain a reasonable standard of living while working through the bankruptcy process.

These examples highlight how Ohio bankruptcy exemptions give individuals and families a fair chance to reset financially without losing the essentials of daily life. From your home to your car to your household necessities, the law is designed to protect what you need most while allowing a fresh start.

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