TENNESSEE

Has state opted out of federal bankruptcy exemptions? Yes. Tenn. Code Ann. § 26-2-112.

Is opt out limited to residents or domiciliaries of the state? Yes (as to “citizens”). Tenn. Code Ann. § 26-2-112: “[C]itizens of Tennessee, . . . are not authorized to claim as exempt the property described in [§ 522(d)].”

Do state’s exemptions have extraterritorial application?

Homestead: Uncertain.

Personal property: Uncertain.

Wages: Tenn. Code Ann. §§ 26-2-102, 26-2-106 through 26-2-108.

Scope: Compensation paid or payable for personal services, whether called wages, salary, commission, or otherwise, including periodic payments pursuant to pension or retirement program. Tenn. Code Ann. § 26-2-102.

Amount: Similar to federal, with additional $2.50 per week exemption for each dependent child under age 16. Tenn. Code Ann. §§ 26-2-106, 26-2-107. Disposable earnings are those left after legally required deductions. Tenn. Code Ann. § 26-2-102.

Survival after payment/deposit: Not specified in exemption statute.

Waiver: Not specified in exemption statute.

Homestead: Tenn. Const. art. 11, § 11; Tenn. Code Ann. §§ 26-2-301 through 26-2-306, 26-2-311, 26-2-312.

Amount: $5000 in real property used as principal place of residence; joint debtors may only exempt $7500 in shared home. For an unmarried individual age 62 or older, the amount is $12,500. For a couple, when one party is age 62 or over, the amount is $20,000. For a couple, when both parties are 62 or older, the amount is $25,000. For an individual who has one or more minor children in such individual’s custody, the amount is $25,000. Tenn. Code Ann. § 26-2-301. Life estates and equitable estates covered, if owned by the individual and used as a residence by individual, or spouse or dependent. Tenn. Code Ann. § 26-2-302. Leased property covered if leased for not less than two or more than fifteen years. Tenn. Code Ann. § 26-2-303. Exemption protects against some criminal law seizures but not against subject to sale for payment of public taxes or satisfaction of debt for improvements. Tenn. Code Ann. § 26-2-306.

Procedural requirements: None stated. Homestead may be set apart at time of levy.

Special provisions: Insurance proceeds also exempt up to $5000. Tenn. Code Ann. § 26-2-304. After owner’s death, or if owner deserts family, exemption continues to protect spouse and minor children. Tenn. Code Ann. § 26-2-311. Homestead exemption does not apply to property purchased with, maintained by, or whose ownership has been maintained by funds obtained by defrauding another person. Tenn. Code Ann. § 26-2-312.

Waiver: May be waived by written contract for “a debt secured by the homestead” (Tenn. Code Ann. § 26-2-301(c)) but may not be waived in a note, other instrument evidencing debt, or any other instrument not conveying property in which a homestead may be claimed (Tenn. Code Ann. § 26-2-301(d)).

Tangible personal property: Tenn. Code Ann. §§ 8-36-111, 26-2-102 through 26-2-104, 26-2-111, 49-5-909.

Household goods: See miscellaneous and wildcard exemptions.

Motor vehicles: See miscellaneous and wildcard exemptions.

Tools of trade: $1900. Tenn. Code Ann. § 26-2-111(4).

Clothing and jewelry: Necessary and proper clothing. Tenn. Code Ann. § 26-2-104.

Miscellaneous and wildcard: Personal property to the aggregate value of $10,000 (includes cash or bank accounts) (Tenn. Code Ann. § 26-2-103); health aids (Tenn. Code Ann. § 26-2-111(5)); family portraits and pictures; Bible and school books. Tenn. Code Ann. § 26-2-104. Burial space. Tenn. Code Ann. § 26-2-305. No exemption for property purchased with, maintained by, or whose ownership has been maintained by funds obtained by defrauding another person. Tenn. Code Ann. § 26-2-103(b).

Waiver: Not specified in exemption statute.

Benefits, retirement plans, insurance, judgments, and other intangibles: Tenn. Code Ann. §§ 8-36-111, 26-2-105, 26-2-110, 26-2-111, 49-5-909.

Public benefits: Right to receive Social Security, unemployment, veterans’ benefits. Tenn. Code Ann. § 26-2-111(1). See also Tenn. Code Ann. §§ 71-2-216, 71-3-121, 71-4-117, 71-4-1112 (exempting benefits under various state public assistance statutes).

Pensions, retirement plans, and annuities: Public employees’ retirement benefits (Tenn. Code Ann. §§ 8-36-111, 26-2-105, 49-5-909); certain tax-qualified private retirement benefits (private retirement payments treated like wages). Tenn. Code Ann. §§ 26-2-105, 26-2-111(1).

Insurance, judgments, or other compensation for injury: Accident, health, or disability insurance benefits (Tenn. Code Ann. §§ 26-2-110, 26-2-111); certain life insurance; up to $15,000 aggregate in right to receive or property traceable to an award up to $5000 under crime victim reparations law, compensation up to $7500 for personal bodily injury, or up to $10,000 for wrongful death of person on whom debtor was dependent (Tenn. Code Ann. § 26-2-111(2)); compensation for loss of future earnings so far as necessary for the support of debtor or dependents. Tenn. Code Ann. § 26-2-111(3).

Bank accounts: Archer Medical Savings Account, or tax-qualified health savings account. Ten. Code Ann. § 36-2-105(b). See also Tangible Personal Property, supra.

Alimony, child support: Right to receive certain alimony and child support. Tenn. Code Ann. §§ 26-2-111(1)(E), 26-2-111(1)(F). Funds or liquid assets owed for court-ordered child support; exempt only if immediately paid into court or attached on behalf of the obligee. Tenn. Code Ann. § 26-2-111(6).

Tax refunds: Not specified in exemption statute.

Survival after payment or deposit: Not specified but note language in certain benefit exemptions regarding “right to receive” or “right to receive and property traceable to.” State pensions remain exempt in bank account.