This method is ideal when the debtor receives varied or inconsistent income. With this method, all pay advices from the last full 6 months will need to be entered.

Means Test: NextChapter will use the income entered to calculate the monthly average to be used on the Means Test.

Lock Income: NextChapter will use the filing date to lock in the income dates entered so that you can prepare any amendments later.
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Schedule I: NextChapter will use either the most recent pay advice entered for Schedule I. If you would like a different pay advice used, you can override this option by checking the box "Use on Schedule I" for a different pay advice or by checking the box "Use 6 Month Average for Schedule I."

*Tip: If the amount you want to use for the Schedule I income doesn't match any of the pay advices entered, you can enter a new pay advice with a "Received On" date that is outside of the last full 6 month and check the box "Use on Schedule I." NextChapter would then only use the income on that pay advice for Schedule I and it would not be used for the Means Test monthly average. 

You may also use an average of all income for Schedule I by clicking the box "Use 6 Month Average for Schedule I." (This will also default to use the 6 month average of all deductions for the means test. If you need to override any deductions you may do so in Means Test Questions.)

This method works great for debtor's who are salaried or who receive the same amount each pay. This option can also be used if you know the amounts you would like to use on Schedule I and the Means test.

Means Test:  NextChapter will calculate the monthly average for the Means Test based on the pay advice entered by the frequency that the debtor is paid.
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​Schedule I: The one pay advice entered will be used for both the Means Test and Schedule I, unless the box is checked to use a different pay advice for Schedule I. 

This method is ideal for clients with inconsistent pay, as it calculates the total income earned during the 6-month window without requiring you to enter every individual pay stub.

For this method, you will need to enter the first pay advice received immediately preceding the 6-month window and final pay advice received at the end of the 6-month period. Each pay advice should reflect the total year-to-date earnings as of that date.

For more information about income click here!