Georgia Bankruptcy Guide

Complete guide to filing bankruptcy in Georgia, including current median income requirements, Georgia's homestead exemption up to $21,500, bankruptcy court information, and how to find qualified bankruptcy attorneys throughout Georgia.

Georgia Median Income for Bankruptcy (2026)

To qualify for Chapter 7 bankruptcy in Georgia, your household income must be below these median income levels. If your income exceeds these amounts, you may still qualify through the means test or need to file Chapter 13 instead.

Household Size	Annual Median Income	Monthly Median Income
1 person	$55,679	$4,640
2 people	$70,602	$5,884
3 people	$78,690	$6,558
4 people	$94,097	$7,841
5 people	$103,097	$8,591
6 people	$112,097	$9,341

Note: For households larger than 4, add $9,000 per additional person. These figures are updated annually by the U.S. Trustee Program.

Calculate Your Georgia Eligibility

Georgia Bankruptcy Exemptions

Georgia allows filers to choose between Georgia state exemptions or federal bankruptcy exemptions. The choice you make can significantly affect how much property you can protect in bankruptcy.

Georgia Homestead Exemption

Up to $21,500 (Georgia state exemptions) or $27,900 (federal exemptions).

Under Georgia state exemptions, you can protect up to $21,500 of equity in your primary residence. Under federal exemptions, you can protect up to $27,900 in homestead equity ($55,800 for married couples filing jointly).

For most Georgia homeowners, federal exemptions provide better homestead protection. Any unused portion of the federal homestead exemption can be added to the wildcard exemption to protect other property.

Georgia Vehicle Exemption

Up to $3,500 (GA state) or $4,450 (federal exemptions).

Under Georgia state exemptions, you can protect up to $3,500 of equity in one motor vehicle. Under federal exemptions, you can protect $4,450 in vehicle equity per person, making federal exemptions more favorable for vehicle protection.

Georgia Exemption System Choice

Georgia allows you to choose between two exemption systems:

Georgia State Exemptions Include:

• Homestead: $21,500
• Vehicle: $3,500
• Household Goods: $300 per item, up to $5,000 total
• Jewelry: $500
• Tools of Trade: $1,500
• Wildcard: $600 for any property, plus up to $5,000 of unused homestead exemption
• Wages: Minimum of 30 times federal minimum wage per week
• Personal Injury Awards: Up to $10,000

Federal Exemptions Include:

• Homestead: $27,900 ($55,800 for married couples)
• Vehicle: $4,450 per person
• Household Goods: $700 per item, up to $14,875 total
• Jewelry: $1,875
• Tools of Trade: $2,800
• Wildcard: $1,475 plus up to $13,950 of unused homestead exemption (total up to $15,425)

Other Protected Assets (Both Systems)

• Retirement Accounts: Fully protected including 401(k), IRA, pension plans, and government retirement benefits
• Public Benefits: Social Security, unemployment, workers' compensation, veteran's benefits, disability benefits, public assistance
• Life Insurance: Unmatured policies and proceeds (state); up to $14,875 loan value (federal)
• College Savings: 529 plans and Coverdell education savings accounts (federal)
• Alimony and Child Support: Reasonably necessary for support

Filing Bankruptcy in Georgia

Chapter 7 Bankruptcy in Georgia

Chapter 7 bankruptcy is the most common type filed in Georgia. The process typically takes 3-4 months from filing to discharge and eliminates most unsecured debts including credit cards, medical bills, personal loans, and past-due utility bills.

To qualify for Chapter 7 in Georgia, you must pass the means test by having income below the Georgia median or by showing that after allowable expense deductions, you lack sufficient disposable income to fund a Chapter 13 repayment plan. You must also complete credit counseling from an approved agency within 180 days before filing.

Georgia filers benefit from the choice between state and federal exemptions. For most people, federal exemptions provide better overall protection, especially the flexible wildcard exemption and higher vehicle exemption.

Learn more about Chapter 7 bankruptcy →

Chapter 13 Bankruptcy in Georgia

Chapter 13 bankruptcy allows Georgia residents to keep property while repaying some or all debts through a court-approved 3-5 year payment plan. This option is particularly beneficial if you're behind on mortgage or car payments and want to catch up while stopping foreclosure or repossession.

Chapter 13 is especially useful in Georgia's growing housing markets (Atlanta metro, Savannah, Augusta) where property values may exceed exemption limits. It's also valuable if your income is too high to qualify for Chapter 7 or if you have priority debts like recent taxes.

Learn more about Chapter 13 bankruptcy →

Bankruptcy Courts in Georgia

Georgia is divided into three federal bankruptcy court districts:

Middle District of Georgia

Main Courthouse: Macon (also Columbus, Valdosta)

Covers central Georgia including Macon, Columbus, Valdosta, Warner Robins, and surrounding counties in the middle portion of the state.

Court locations: Macon, Columbus, and Valdosta.

Northern District of Georgia

Main Courthouses: Atlanta, Rome, Gainesville, Newnan

Covers northern Georgia including the entire Atlanta metropolitan area, Rome, Gainesville, and surrounding northern counties. This is the busiest bankruptcy district in Georgia due to the Atlanta metro population.

Court divisions: Atlanta, Rome, Gainesville, and Newnan.

Southern District of Georgia

Main Courthouses: Savannah, Augusta, Brunswick, Statesboro, Waycross

Covers southern Georgia including Savannah, Augusta, Brunswick, and the coastal and southeastern portions of the state.

Court locations: Savannah, Augusta, Brunswick, Statesboro, and Waycross.

You must file in the district where you have lived for the greater part of the 180 days before filing. Visit the U.S. Courts website for specific court locations, filing procedures, and local rules.

Georgia Residency Requirements

To use Georgia bankruptcy exemptions (either state or federal, as both are available), you must have been domiciled (legally residing) in Georgia for at least 730 days (2 years) before filing. If you've lived in Georgia for less than 2 years, you must use the exemptions from the state where you lived for the 180 days immediately before the 2-year period.

Once you meet the residency requirement, you can choose between Georgia state exemptions or federal exemptions based on which system better protects your specific assets.

Find a Georgia Bankruptcy Attorney

Most Georgia bankruptcy attorneys offer free initial consultations. Given the choice between state and federal exemptions and the complexity of bankruptcy law, consulting with an experienced Georgia bankruptcy attorney is highly recommended.

What a Georgia Bankruptcy Attorney Can Do

• Determine which bankruptcy chapter is right for your financial situation
• Analyze whether Georgia state or federal exemptions provide better protection
• Navigate Georgia-specific bankruptcy procedures and local court rules
• Help you protect your home in Atlanta's competitive housing market
• Complete and file all required bankruptcy paperwork correctly
• Represent you at the 341 meeting of creditors
• Handle any objections from creditors or the bankruptcy trustee
• Guide you through the entire process from filing to discharge

Cost of Filing Bankruptcy in Georgia

Chapter 7 bankruptcy attorney fees in Georgia vary by location:

• Atlanta metro area: $1,200 to $2,000 plus $338 filing fee
• Savannah, Augusta, Columbus: $1,000 to $1,500 plus $338 filing fee
• Other Georgia cities and rural areas: $900 to $1,300 plus $338 filing fee

Chapter 13 attorney fees typically range from $3,000 to $4,500 plus a $313 filing fee. In Chapter 13, attorney fees are usually paid through your repayment plan rather than upfront.

Many Georgia attorneys offer payment plans for Chapter 7 to make bankruptcy more accessible.

Georgia-Specific Bankruptcy FAQs

Should I use Georgia state or federal exemptions?

For most Georgia filers, federal exemptions are better because they offer a higher homestead exemption ($27,900 vs. $21,500), higher vehicle exemption ($4,450 vs. $3,500), and a more flexible wildcard exemption. However, if you have minimal assets and specific items protected better under Georgia law, state exemptions might work. Consult an attorney to compare both systems for your situation.

Can I keep my house in Georgia bankruptcy?

It depends on your equity. Under federal exemptions, you can protect up to $27,900 of equity ($55,800 for married couples). Under Georgia state exemptions, you can protect up to $21,500. If your equity exceeds these amounts, you may need to file Chapter 13 to keep your home or consider other options.

Can I keep my car in Georgia bankruptcy?

Yes, in most cases. Federal exemptions protect up to $4,450 of equity per person in a motor vehicle, while Georgia state exemptions protect up to $3,500. If you owe more than your car is worth or have minimal equity, you can typically keep it by continuing to make payments.

How does bankruptcy affect my Georgia taxes?

Georgia state income taxes may be dischargeable in bankruptcy if they meet certain age requirements (generally 3+ years old). However, sales taxes and other Georgia tax debts may not be dischargeable. A bankruptcy attorney can help you understand which tax debts can be eliminated.

Will bankruptcy affect my security clearance in Georgia?

Bankruptcy itself doesn't automatically affect security clearances. Many Georgia residents work in defense-related jobs (military, contractors). Financial problems and ongoing debt issues are more concerning than bankruptcy filing. Consult your security officer and attorney if this is a concern.

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