Colorado Bankruptcy Exemptions
While Bankruptcy law is Federal, exemptions are set by state law. As of the writing of this web page, a brief survey of the information available on the internet revealed that virtually all sources reported exemptions incorrectly. Many were simply not up to date – some for many years. Be very careful where you get information on exemption limits.
Exemptions are also treated differently depending on which Chapter of Bankruptcy you are filing. In a Chapter 7, they establish a dollar limit for certain categories of property that you are allowed to keep in a bankruptcy. Equity or value over the exemption limit can be bought from the bankruptcy estate or could lead to property seizure.
Determining the categorization of exemptions and their application are best left to experienced attorneys familiar with the exemption levels set by the laws of your state. To give you an idea of what to expect, here are the exemptions in Colorado:
| Individuals | Joint | |
| Automobile | $5,000 | $10,000 |
| Automobile (Elderly) | $10,000 | $20,000 |
| Earnings | 75% | 75% |
| Homestead | $60,000 | $60,000 |
| Library (Books/Pictures) | $1,500 | $3,000 |
| Library (Professional) | $3,000 | $6,000 |
| Tools of the Trade | $20,000 | $40,000 |
| Jewelry | $2,000 | $4,000 |
| Clothing | $1,500 | $3,000 |
| Unpaid Wages | 75% | 75% |
