In bankruptcy, a homestead exemption protects equity in your home. Here, you'll find specific information about the homestead exemption in Wisconsin. For general information about how the homestead exemption works in both Chapter 7 and Chapter 13 bankruptcy, read The Homestead Exemption in Bankruptcy. For more bankruptcy information, read Filing for Bankruptcy in Wisconsin.
Wisconsin lets filers use the homestead exemption under either the federal or Wisconsin state exemption system. However, you can't mix exemptions from both lists, so select the system that will protect your most important assets.
To help you make an informed choice, we've listed the federal and Wisconsin homestead exemption amounts below. We've also included links to more complete lists so you'll have an easier time deciding which set will work best for you. If you're married, remember that spouses can double some exemption amounts, but not all. Find out about other filing considerations for spouses.
Federal Homestead Exemption |
Wisconsin Homestead Exemptions |
|
Homestead exemption amount |
$27,900 |
$75,000 |
Can spouses who file a joint bankruptcy double the exemption? |
$55,800 is available to spouses who co-own property. |
Yes |
Homestead exemption law |
11 U.S.C. § 522(d)(1) |
Wis. Stat. Ann § 815.20 |
Other information |
Amounts will adjust on April 1, 2025. |
See below. |
Compare other federal and state exemptions. |
You can use Wisconsin's homestead exemption to protect your home, condominium, mobile or manufactured home, co-op, or unincorporated co-op. You might be able to use the homestead exemption in other instances, too, so check with a local bankruptcy attorney if you plan to leave the home temporarily or if you're involved in a rental or lease transaction. (Wis. Stat. Ann § 815.20.)
You can file for bankruptcy in Wisconsin after living there for over 180 days. However, you must live in Wisconsin much longer before using Wisconsin exemptions, at least 730 days before filing, to be exact. Otherwise, you'd use the previous state's exemptions.
But suppose you lived in multiple states during the two years before filing for bankruptcy. In that case, you'd use the exemptions of the state you lived in for most of the 180 days before the two years immediately preceding your filing. (11 U.S.C. § 522(b)(3)(A).) Learn more about filing for bankruptcy after moving to a new state.
You'll also need to meet other requirements. Find out more about keeping your home in Chapter 7 or Chapter 13.
You can search for Wisconsin exemption laws on the Wisconsin State Legislature Statutes & Constitution webpage. However, most statutes don't include updated amounts, and understanding statutory requirements can be challenging. It's best to consult with a local bankruptcy lawyer.
Bankruptcy mistakes, such as improperly disclosing or exempting assets, can be costly and often occur when filing without a bankruptcy lawyer. We've covered some of the most basic rules you'll encounter when protecting your home in bankruptcy. However, you must also meet other timing and exemption requirements to prevent losing your home.
A local bankruptcy lawyer's knowledge and expertise will help you avoid losing your home and other valuable assets and ensure you maximize the homestead exemption.
Did you know Nolo has made the law easy for over fifty years? It's true, and we want to ensure you find what you need. Below, you'll find more articles explaining how bankruptcy works. And don't forget that our bankruptcy homepage is the best place to start if you have other questions!
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We wholeheartedly encourage research and learning, but online articles can't address all bankruptcy issues or the facts of your case. The best way to protect your assets in bankruptcy is by hiring a local bankruptcy lawyer.
Updated October 6, 2023