Learn About California Bankruptcy Exemption Law

California has two different bankruptcy exemption schemes (Code of Civil Procedure section 703 and 704).

Exemption Statutes are California Bankruptcy Laws that Protect Your Property from Your Creditors.

Exemptions are laws passed by every state that allow you to protect certain types of your property from your creditors when you file bankruptcy-such as your home, car, pensions and IRAs, motor vehicles, clothing, tools, and other important property. California law provides a number of exemptions that protect your property, and I will be able to advise you on which exemptions are best for you to use on your bankruptcy petition.

California Homestead

Exemption is $75,000 for family member living with one or more non-owner family members; $150,000 for a person who is 65 or older, disabled, or who is 55 or older with an annual gross income of $15,000 or less if single or $20,000 or less if married. $50,000 for all other persons.


75 percent of all “paid earnings” are exempt.


Up to $2,300 of the equity in all automobiles.

Other Property

Household furnishings, appliances, provisions, wearing apparel, and other personal effects are 100% exempt if they are ordinary and necessary. $2,300of the aggregate equity in one or more automobiles is exempt. $6,075 each for jewelry and personal property used in the debtor’s trade or business is exempt.