Consumer Bankruptcy Law and Practice: I.2.5 Out-of-Pocket Health Care Expense Standard
On October 1, 2007, the IRS made substantial changes to its Collection Financial Standards, which were made effective for bankruptcy purposes on January 1, 2008. A new National Standard was added for out-of-pocket health care expenses. The dollar amount for this standard is intended to cover medical services, prescription drugs, and medical supplies (e.g., eyeglasses, contact lenses, etc.). Each debtor in the household is allowed the standard amount monthly, on a per person basis.