The Bankruptcy Act and Regulations contain a number of thresholds, limits and other amounts that are regularly indexed (changed in line with the Consumer Price Index or the base pension rate).
Protected property
Tools
A bankrupt may keep tools used to earn an income up to this limit.
$3,800
Title
A bankrupt may keep vehicles (cars or motorbikes) used mainly for transport up to this limit. The amount refers to the equity in the vehicles (the value of the vehicles less the sum owing under finance).
$8,000
Limits updated each financial year
Income contributions
Used when calculating a bankrupt’s income contributions which vary according to the number of dependants.
Dependents - 0
$57,866.90 (net of tax)
Dependents - 1
$62,282.94 (net of tax)
Dependents - 2
$73,490.96 (net of tax)
Dependents - 3
$76,384.31 (net of tax)
Dependents - 4
$77,541.65 (net of tax)
Dependents - over 4
$78,698.98 (net of tax)
Limits updated twice a year: 20 March and 20 September
Dependants
Amount a person can earn and still remain a 'dependant'
A person may earn income up to this limit during the contribution assessment period and still be considered a dependant for the purpose of calculating a bankrupt’s income contribution liability.