§ 6.1     11 U.S.C. § 101(30): Individual with Regular Income
Cite as:    Keith M. Lundin, Lundin On Chapter 13, § 6.1, at ¶ ____, LundinOnChapter13.com (last visited __________).

Section 101(30) works with 11 U.S.C. § 109(e) to define eligibility for Chapter 13. Section 101(30) requires that the debtor be an “individual” with income “sufficiently stable and regular” to make payments under a Chapter 13 plan.1 Use of the term “individual” in § 101(30) excludes partnerships and corporations from eligibility for Chapter 13. Individual partners or corporate owners, officers or directors may be eligible. That the individual must have “stable and regular” income has been broadly interpreted to permit access to Chapter 13 for individuals with almost any source of income so long as there is available, after payment of reasonable and necessary expenses, an amount sufficient to fund a plan. Contributions of income from family members and nonfiling spouses make for interesting and sometimes difficult eligibility decisions2—further complicated by a different but overlapping notion of “income” at confirmation of a plan.3


Section 101(30) excludes from Chapter 13 eligibility stockbrokers and commodity brokers.