Arizona Means Test 2026: Do You Qualify for Chapter 7?
Calculate if you pass the Chapter 7 means test in Arizona. Current income thresholds, deductions, and what happens if you don't pass.
What Is the Means Test?
The means test determines if your income is low enough to file Chapter 7 bankruptcy. It compares your household income to Arizona's median income. If you're below the median, you automatically qualify.
Disclaimer: This is general information, not legal advice. Income thresholds change every 6 months. Consult a licensed bankruptcy attorney for current figures and case-specific guidance.
2026 Arizona Median Income Thresholds
| Household Size | Annual Income Threshold | |----------------|------------------------| | 1 person | ~$57,000 | | 2 people | ~$70,000 | | 3 people | ~$79,000 | | 4 people | ~$94,000 | | Each additional | Add ~$9,500 |
If your household income is below these numbers, you pass the means test and can file Chapter 7.
How Income Is Calculated
The means test uses your average monthly income over the past 6 months (not your current income). This includes:
Counted as income:
- Wages, salary, tips
- Self-employment income
- Rental income
- Pension/retirement income
- Unemployment benefits
- Child support/alimony received
- Regular contributions from others (e.g., a partner paying bills)
NOT counted:
- Social Security benefits
- Payments to victims of war crimes or terrorism
What If You're Above the Median?
Being above the median doesn't automatically disqualify you. Part 2 of the means test allows deductions:
Common deductions:
- Mortgage/rent payments
- Car payments and ownership costs
- Health insurance premiums
- Child care costs
- Taxes (income, payroll, property)
- Court-ordered payments (child support, alimony)
- Past-due priority debts (back taxes, domestic support)
After deductions, if your disposable income is under ~$160/month, you still qualify for Chapter 7.
The Math (Simplified)
- Add up last 6 months of gross income
- Divide by 6 = average monthly income
- Multiply by 12 = annualized income
- Compare to Arizona median for your household size
- Below median? → You pass. File Chapter 7.
- Above median? → Apply deductions, then check disposable income
Special Circumstances
- Primarily business debts: The means test doesn't apply if most of your debt is business-related
- Disabled veterans: Exempt from the means test if disability was incurred during active duty
- Recent job loss: Your average may be inflated by previous higher income — discuss timing with an attorney
Next Steps
Not sure if you qualify? Take our free assessment quiz for an initial evaluation, or speak with a licensed Arizona bankruptcy attorney for a definitive answer.