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2026 Figures

Louisiana Bankruptcy Exemptions

What property can you keep when filing Chapter 7 in Louisiana?

Louisiana Homestead Protection

$35,000

Louisiana protects up to $35,000 of equity in your primary residence from creditors.

Louisiana Exemption Table

2025/2026 figures — Chapter 7 bankruptcy

Homestead (Home Equity)
Protects equity in your primary residence
$35,000
Motor Vehicle
Protects equity in your car or truck
$7,500
Personal Property
Household goods, clothing, appliances
$5,000
Retirement Accounts
401(k), IRA, pension, and ERISA plans
Unlimited
Tools of Trade
Equipment needed for your occupation
$7,500
Wildcard
Apply to any property of your choice
None

How to Claim Exemptions in Louisiana

To claim your Louisiana bankruptcy exemptions, you must list each exempt asset on Schedule C of your bankruptcy petition. Louisiana has opted out of the federal exemption system, so debtors must use Louisiana state exemptions only. A bankruptcy preparer can help you list your property correctly — all claims are subject to court approval.

How does Louisiana compare to other states?

Use the side-by-side comparison tool to see which state offers more protection for your assets.

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Frequently Asked Questions

How much home equity can I protect in Louisiana bankruptcy?

Louisiana's homestead exemption protects up to $35,000 of your home's equity. If your equity exceeds this amount, the Chapter 7 trustee may sell your home — though in practice, most filers don't exceed this limit.

Can I keep my car when filing bankruptcy in Louisiana?

Louisiana's vehicle exemption protects up to $7,500 in car equity. If your car is worth less than this (or your equity after the loan balance is within this limit), you can typically keep it. If you're financing the car, you may also reaffirm the debt to keep it regardless of equity.

Are retirement accounts protected in Louisiana bankruptcy?

Yes — Louisiana protects Unlimited in qualified retirement accounts. This includes 401(k), 403(b), IRA, and pension accounts. Retirement assets are among the strongest-protected assets in bankruptcy across all 50 states.

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Non-Attorney Notice: JustiPal™ is a document preparation service — not a law firm. Exemption amounts shown are for educational purposes and reflect general 2025/2026 figures. Individual results depend on your specific assets, equity calculations, and applicable state law. Consult a licensed bankruptcy attorney for legal advice specific to your situation.

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