Goering & Goering, LLC Goering & Goering, LLC 2026-08-30T19:58:57Z https://www.goeringandgoering.com/feed/atom/ WordPress /wp-content/uploads/sites/1103224/2023/06/cropped-favicon-32x32.png On Behalf of Goering & Goering, LLC <![CDATA[What happens to your tax refund in Ohio bankruptcy?]]> https://www.goeringandgoering.com/?p=48084 2026-08-30T19:58:57Z 2026-08-30T19:58:57Z How bankruptcy exemptions may protect your refund Your tax refund may count as part of your bankruptcy estate, which means the trustee may be able to claim it unless an exemption protects it. Ohio uses its own exemption rules in many bankruptcy cases, so filers generally rely on Ohio state law to protect property. Depending on the type of refund, Ohio's personal property exemption, the Earned Income Tax Credit exemption or the available wildcard exemption may protect some portion of a tax refund. Your refund amount depends on your tax return and withholding, which can help you estimate how much you may receive before filing.

Timing affects what you can keep

When you file in Ohio matters. If you file before receiving your refund, some or all of it may become part of your bankruptcy estate. If you file after receiving your refund, how you used the money may matter. Spending the money on ordinary living expenses may be treated differently from transferring it to others or using it in ways the trustee may challenge. Chapter 7 cases often close within a few months. Chapter 13 cases often last three to five years, and your repayment plan may require future refunds to be paid to the trustee, depending on the plan terms and the court’s requirements.

Ways to plan before filing

You may be able to adjust your withholding to reduce the size of future refunds. That can help you keep more money in your regular paychecks instead of accumulating as a large refund later that becomes part of your bankruptcy estate. If you already received a refund, keep records showing how you used the money. Bankruptcy may help you move toward financial stability, and understanding how Ohio law may treat your tax refund can help you plan. A bankruptcy attorney can explain which exemptions may apply in your case and how your filing date could affect your refund.]]> On Behalf of Goering & Goering, LLC <![CDATA[What happens to money customers owe your business in bankruptcy?]]> https://www.goeringandgoering.com/?p=48081 2026-08-14T08:12:31Z 2026-08-14T08:11:17Z When your business owes more than it can pay, the money your customers owe can feel like a lifeline slipping away. Those unpaid invoices, known as accounts receivable, are often one of a struggling company's most valuable assets. Filing for bankruptcy does not erase that money, but it changes who controls it and who can collect it. What happens next depends on the type of case you file and whether a lender has a claim on those payments.

Money customers owe becomes part of the bankruptcy estate

The moment you file, nearly everything your business owns moves into a legal pool called the bankruptcy estate. That estate covers almost anything your company has a right to, and the debts customers owe you count. Those outstanding accounts do not disappear; they simply become property the bankruptcy process now controls. Your customers still owe what they agreed to pay, though a billing dispute or a balance you also owe them can complicate collection. Who collects those debts depends on the kind of business bankruptcy you file.

Who collects those debts depends on the chapter you file

In a Chapter 7 case, your business usually stops operating and a court-appointed trustee steps in. That trustee gathers your assets, collects what customers owe and pays creditors in order of priority, the heart of how a liquidation case works.  Chapter 11 runs differently. Because it lets you reorganize instead of close, you usually stay in charge as the debtor in possession. In that role, you keep collecting receivables and put that cash toward daily operations and a court-approved repayment plan.

A lender may hold the first claim to your receivables

Things grow trickier if you borrowed against those receivables. Many businesses fund a line of credit by pledging unpaid invoices as collateral, which gives the lender a legal interest in that money. That pledge turns the cash those invoices bring in into what the law calls cash collateral. You generally cannot spend it without the lender's consent or the court's approval. Those same cash collateral rules also give the lender adequate protection, so it may claim part of what comes in to pay down the loan first.

Your unpaid invoices are worth protecting before you file

The money customers owe you survives your filing, but it is not fully yours to spend once a case begins. Whether a trustee collects it, you handle it yourself or a lender holds first rights, the result traces back to how you file. That is why mapping out your receivables early matters. Pull together a current list of who owes you, how much and any loan agreements that pledge those payments. Knowing that picture helps you protect as much of that income as the law allows.]]> On Behalf of Goering & Goering, LLC <![CDATA[Can bankruptcy stop wage garnishment in Ohio?]]> https://www.goeringandgoering.com/?p=48074 2026-07-31T16:03:17Z 2026-07-31T15:54:31Z What is wage garnishment? A creditor uses wage garnishment by getting court approval to deduct money owed directly from your wages. Federal law limits garnishment for standard consumer debt to either 25% of disposable income or the difference between weekly earnings and 30 times the federal minimum wage, depending on which amount is smaller. This means a significant portion of your paycheck could go to creditors before it reaches your hands.

How can bankruptcy stop wage garnishment?

Filing for bankruptcy triggers an automatic stay. This legal protection immediately stops most collection activities, including wage garnishment. The automatic stay goes into effect the moment your bankruptcy petition is filed. Creditors must then halt garnishment efforts or face potential penalties. Both Chapter 7 and Chapter 13 bankruptcy provide this protection. The automatic stay remains in place throughout your bankruptcy case, giving your finances breathing room.

Are there exceptions to the automatic stay?

While bankruptcy stops most wage garnishments, certain debts receive different treatment. Child support and alimony garnishments typically continue despite bankruptcy filing. Student loan garnishments pause temporarily during bankruptcy. However, may resume after the case concludes if the debt remains undischarged. However, most consumer debts, including credit card debt, medical bills and personal loans, are subject to the automatic stay.

What happens after bankruptcy is filed?

Once your bankruptcy case concludes, the outcome depends on the chapter filed. In Chapter 7 bankruptcy, the court discharges eligible debts. This means creditors can no longer collect them. This permanently stops garnishment for those debts. Chapter 13 bankruptcy reorganizes debts into a repayment plan. Creditors receive payments through this plan rather than through wage garnishment.

Which bankruptcy chapter should you choose?

The choice between these chapters depends on individual financial circumstances. Chapter 7 typically offers faster debt relief. Chapter 13 allows for catching up on secured debts like mortgages or car loans. In such cases, it can help to review financial details to determine how to address wage garnishment.

Taking control of your finances

Wage garnishment significantly impacts your ability to meet daily expenses. Bankruptcy stops this process and provides options for handling debt. Whether through Chapter 7 discharge or Chapter 13 repayment, it may help address outstanding debts and create a path toward financial stability.]]> On Behalf of Goering & Goering, LLC <![CDATA[Chapter 7 vs. Chapter 13 bankruptcy: Which path is right for you?]]> https://www.goeringandgoering.com/?p=48072 2026-07-10T13:08:58Z 2026-07-21T13:08:13Z Chapter 7: Liquidation Chapter 7 is often the fastest and most effective option for people with limited income. The process can wipe out overwhelming unsecured debts, including:
  • Credit card balances
  • Medical bills
  • Personal loans
  • Certain old utility bills
Chapter 7 bankruptcy can provide a clean slate in just a few months by liquidating these debts. Additionally, Ohio exemption laws help ensure that bankruptcy does not leave you without basic property like clothing, a residence or a car to move forward.

Chapter 13: Reorganizing debt

Chapter 13 is a powerful tool for people who earn a regular income but need help getting back on track. It offers a manageable and realistic way to pay off debt while protecting valuable assets. For Ohio homeowners facing foreclosure or sheriff’s sale, Chapter 13 can be especially important because it may provide the time needed to catch up and keep the home.

Key factors to consider

Both bankruptcy paths provide an automatic stay that stops creditor harassment. If you are looking for a quick discharge from debt, Chapter 7 is a better option. However, Chapter 13 is more beneficial if you are trying to save a specific asset like a home or business. Another factor is your income and whether you pass the Means Test, which compares your household income to the Ohio median for your family size. If your income is below state average, you may qualify for Chapter 7 more easily. If it is higher, Chapter 13 may be a better fit because it lets you pay back debt over time through monthly payments.

Protecting your financial stability

Choosing between Chapter 7 and Chapter 13 bankruptcy depends on your current situation, income level and specific objectives. A lawyer can review your specific financial situation to determine the best path forward.]]> On Behalf of Goering & Goering, LLC <![CDATA[Does business bankruptcy erase a personal guarantee?]]> https://www.goeringandgoering.com/?p=48066 2026-07-10T08:28:18Z 2026-07-10T08:28:18Z Why the company’s bankruptcy may not protect you A Chapter 7 or Chapter 11 filing generally triggers an automatic stay that pauses many collection efforts against the business, including lawsuits, repossessions and enforcement of judgments. However, the stay usually does not protect an owner who did not personally file for bankruptcy. Chapter 13 provides temporary protection for a co-signer on certain consumer debts, but that protection generally does not apply to guarantees tied to commercial obligations. If the company stops making required payments, a creditor can demand payment under the guarantee. Even if the business completes bankruptcy and no longer owes the debt, the creditor may still have the right to collect the guaranteed amount from you.

Which guarantee terms should you review?

Start by gathering the signed document, original loan agreement, amendments, payment records and any default notices. Review whether the documents include:
  • Language making the guarantee apply to future loans or additional credit
  • A dollar limit, expiration date or other restriction
  • Clauses waiving certain notices or limiting possible defenses
  • Cognovit language, which may allow a creditor to obtain a judgment against you without first holding a standard court hearing
  • Terms covering interest, collection costs or attorneys’ fees
These records can show whether later amendments or renewals changed the promise you originally signed.

Understand what the filing leaves unresolved

A company’s bankruptcy can address its debts without resolving what you personally agreed to pay. Reviewing the agreement can help you identify which debts it covers and how much you may owe. Depending on your circumstances, filing your own Chapter 7 or Chapter 13 case could provide a way to address a dischargeable guarantee debt. Reliable legal guidance can help you understand how the business filing affects your personal finances.]]> On Behalf of Goering & Goering, LLC <![CDATA[Budgeting while paying down a Chapter 13 bankruptcy ]]> https://www.goeringandgoering.com/?p=48063 2026-06-23T17:30:02Z 2026-06-23T17:30:02Z A Chapter 13 bankruptcy repayment plan can provide a path toward financial stability, but sticking to the plan requires effort and careful budgeting.  Because filers typically make court-approved payments for several years, staying organized and monitoring expenses is necessary. A realistic budget can help to better ensure that plan payments remain current while still covering a filer’s household's day-to-day needs.

Getting started 

If you’re either getting ready to repay a Chapter 13 filing or you’ve already started, the first step you’ll want to take involves understanding where your money goes each month. Many people are surprised to discover how much they spend on subscriptions, dining out, convenience purchases and other nonessential items. Tracking expenses can reveal opportunities to redirect money toward necessities and bankruptcy plan obligations. Creating a monthly budget should start with fixed expenses such as housing, utilities, transportation, insurance and food. Chapter 13 payments should also be treated as a priority expense. After accounting for essential obligations, you can evaluate discretionary spending and identify areas where adjustments may be necessary. Fortunately, several online tools can help filers to stay on top of their finances. Budgeting platforms such as EveryDollar, Monarch Money and YNAB (You Need A Budget) allow users to categorize spending, set financial goals and monitor cash flow. Many banks and credit unions also provide budgeting features within their online banking portals that can automatically track spending habits. If you prefer a simpler approach, free spreadsheet templates available through Google Sheets or Microsoft Excel can be effective budgeting tools. These options allow users to customize categories and maintain complete control over their financial records without additional subscription costs. Educational resources can also be valuable. Organizations such as the Consumer Financial Protection Bureau offer free budgeting worksheets, savings tips and financial education materials. Nonprofit credit counseling agencies may provide additional guidance on managing expenses and developing long-term financial habits. Completing a Chapter 13 plan often requires patience and discipline, but effective budgeting can make the process more manageable. ]]> On Behalf of Goering & Goering, LLC <![CDATA[Is a vehicle at risk in an Ohio Chapter 7 bankruptcy?]]> https://www.goeringandgoering.com/?p=48058 2026-06-13T19:32:47Z 2026-06-13T19:32:47Z Exemptions can protect vehicle equity Personal vehicles can be an important tool for people rebuilding financially after bankruptcy. People typically need transportation to work. They can also minimize their expenses by having their own vehicle instead of using on-demand services for transportation. Current bankruptcy statutes in Ohio allow for partial vehicle equity protection. Individuals filing for bankruptcy can protect up to $5,025 in equity. Married couples filing jointly can double that basic exemption. For those who have more vehicle equity than the exemption currently available, it may be possible to use the wild card exemption to preserve up to $1,675 in additional vehicle equity. Filers in Ohio must use state exemptions, as state law does not accept federal exemptions. Making effective use of bankruptcy exemptions can help Chapter 7 bankruptcy filers limit their losses and protect their most valuable assets. Vehicle exemptions help people maintain their source of transportation, which can be important for supporting their families, continuing their careers and building financial stability after filing for bankruptcy.]]> On Behalf of Goering & Goering, LLC <![CDATA[Why filing for bankruptcy is a positive action]]> https://www.goeringandgoering.com/?p=48056 2026-06-04T17:43:54Z 2026-06-04T17:43:54Z Many people file for bankruptcy every year. In 2025 alone, there were 549,577 personal filings, an 11% rise from the year before and a 26% increase from the year before that. Yet, despite this, there is still a bit of a stigma attached to doing so, in some quarters at least. While some people might think less of you if they were to learn that you had filed, this should not stop you from going ahead. Many just don’t realize how quickly and easily a stable financial situation can turn into an unstable one, often due to factors that the person has little to no control over.

Being realistic is a good thing

Bankruptcy is very often the only realistic option a person has to improve the impossible debt they find themselves with. Yet those who need to file often have difficulty accepting this. It’s common for people to prolong their situation by holding out for a miraculous solution to appear. Admitting you are in the kind of financial trouble you can’t escape from alone takes honesty, and moving to tackle the matter takes courage.

Resolving your situation allows you to contribute more 

You are unlikely to be at your best when you are plagued by worries about your debt. This can limit how much time you have to pursue your career or a business idea, or reduce the amount of energy you have to dedicate to your family and the local community. If bankruptcy allows you to reset things, you are better placed to contribute more, whether that be more time and love, or more spare cash at the end of each month to spend in the economy. A successful bankruptcy filing can bring a lot of positives for you and others. Much more so than staying trapped in debt you cannot afford. Experienced legal guidance can help to make it less intimidating.]]> On Behalf of Goering & Goering, LLC <![CDATA[How are complex Chapter 11 filings handled in Ohio?]]> https://www.goeringandgoering.com/?p=48052 2026-05-29T16:59:06Z 2026-05-29T16:55:54Z When large businesses face significant financial challenges, a standard bankruptcy process may not always be sufficient. Some cases involve substantial debt, multiple stakeholders, complex financial structures, and issues that require specialized court oversight. The Southern District of Ohio bankruptcy court has procedures designed to handle complex business bankruptcy cases. 

What qualifies a complex Chapter 11 case?

A Chapter 11 bankruptcy allows a business to reorganize its finances while continuing operations. However, some cases involve unusually large debts or publicly traded companies, creating additional layers of complexity. In Ohio, a case may qualify for complex treatment when it involves a business debtor with significant financial obligations or publicly traded debt or equity interests. These cases often require faster coordination between the court, creditors and other parties involved.

Which businesses may qualify?

Not every Chapter 11 filing receives complex case status. The procedures are generally reserved for larger business entities rather than individuals. Cases involving at least ten million dollars in debt may qualify, provided they meet other eligibility requirements. Certain small business and single asset real estate cases are typically excluded from this specialized process.

Why are the special procedures used?

Complex bankruptcy matters often involve extensive documentation, numerous creditors and time-sensitive decisions. Specialized procedures help streamline hearings, filings and communication among interested parties. This approach can reduce delays and provide a more organized framework for addressing major financial issues while preserving business operations whenever possible.

What happens before filing?

Businesses anticipating a complex Chapter 11 filing are generally encouraged to communicate with key parties before submitting their bankruptcy petition.  Because complex Chapter 11 matters can involve substantial financial and legal considerations, businesses facing significant restructuring challenges should seek reliable legal guidance to better understand available options and compliance requirements under Ohio bankruptcy procedures.  ]]> On Behalf of Goering & Goering, LLC <![CDATA[How to file for business and commercial bankruptcy]]> https://www.goeringandgoering.com/?p=48048 2026-05-06T08:53:04Z 2026-05-06T08:53:04Z Running a business comes with risks, and financial challenges can arise even with careful planning. Economic shifts, rising costs or unexpected events can quickly lead to overwhelming debt. Understanding how to file for business bankruptcy can help you regain control and explore options for recovery.

Understanding bankruptcy options

Business bankruptcy generally falls into two main categories, which are liquidation and reorganization. Liquidation involves closing the business and selling assets to repay creditors, while reorganization allows the business to continue operating while restructuring its debts.

Choosing the right bankruptcy chapter

Different bankruptcy chapters apply to different business types. Chapter 7 is often used when a business cannot continue and needs to wind down operations. On the other hand, Chapter 11 is designed for businesses that want to stay open and reorganize their debts. Sole proprietors may also consider Chapter 13, which allows repayment over time based on income.

Reviewing your business structure

Your business structure plays a key role in the filing process, and sole proprietors and partnerships may be personally responsible for business debts. Corporations and limited liability companies are treated as separate entities, which can affect how debts are handled. Understanding this distinction helps determine your financial exposure.

Filing the bankruptcy petition

The process begins by filing a petition with the bankruptcy court. This includes detailed information about your assets, liabilities, income and expenses. Once filed, an automatic stay takes effect, which stops most collection efforts, giving you time to organize your finances and proceed with the case.

Working through the process

After filing, you may attend a meeting with creditors where financial details are reviewed. In reorganization cases, you will propose a repayment plan that outlines how debts will be handled. After that, the court will review and approve the plan if it meets legal requirements.

Moving forward after bankruptcy

Bankruptcy can be a challenging step, but it can also provide a fresh start. Whether you close your business or restructure it, the process can reduce financial pressure. Seeking professional legal guidance can help you understand your options, complete the filing correctly and move forward with confidence.]]>