How much will it cost to go bankrupt in Alberta?

How much it will cost to go bankrupt in Alberta depends on your situation. The various costs involved when you go bankrupt are explained below.

First, normally you will need to make a contribution to your bankruptcy estate to cover the government filing fees, mailing costs, court fees, and other administrative costs of bankruptcy.

Second, you are required to pay a fraction of your “surplus income”, as defined by the government, into your estate. If you and your family earn over a given amount each month, you lose a portion of your earnings over that limit. The calculation is somewhat complicated, so we suggest you bring your recent pay stubs to your meeting with the trustee. The trustee can estimate the amount of “surplus income” payments you must make while bankrupt.

Third, you will lose all of your non-exempt assets (see our bankruptcy exemptions page for a list of assets you can keep).

Fourth, you will lose any tax refunds and GST credits you would normally receive during the bankruptcy period. (Your trustee will explain how taxes work in a bankruptcy in more detail).

Finally, you will lose any windfalls you receive or become entitled to during the time of bankruptcy. For example, if you inherit money while bankrupt, or win the lottery, that money must be given to the trustee.

The amount you will pay while bankrupt will depend on your monthly take home pay, your family size, and your assets. To establish how much it will cost to go bankrupt in Alberta, contact an Alberta bankruptcy trustee today.