HB 422 Adds an engagement ring, interest in a 401(k), and interest in any type of IRA to the list of exemptions in bankruptcy proceedings, and increases the value amount of property that may be exempt

     Handler: Dixon

Current Bill Summary

- Prepared by Senate Research -

HCS/HB 422 - This act allows a person to exempt an engagement ring not to exceed $1,500 in value from attachment in bankruptcy proceedings. A person may also exempt any kind of property not to exceed $1,200, rather than not to exceed $600 as provided under current law.

Current law provides that a person can exempt from attachment the right to receive money from a retirement or profit-sharing plan. This act specifies that a person may also exempt money payable to him or her under a 401(k) retirement plan or any type of individual retirement arrangement. The exemption amount for an individual retirement arrangement is unlimited if allowed by federal law or limited to the maximum exemption allowed under federal law.

The head of a family may exempt any other property, real or personal, not to exceed $1,650 plus $450 for each dependent children, rather than not to exceed $1,250 plus $350 for each dependant child as provided under current law.

This act is identical to provisions contained in the truly agreed to and finally passed version of SB 128 (2017) and SCS/HCB 1 (2017).

JESSI BAKER

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