Bankruptcy in Arizona
In Arizona you use state exemptions only (exemptions are the property the law lets you keep). Your home (homestead): $400,000 of equity as written in the law, adjusted every January 1 since 2024 for inflation (CPI-U, rounded up to the nearest $100).
You file in the U.S. Bankruptcy Court for the District of Arizona.
Checked against official sources: October 25, 2026. · Free letter and checklist ↓
What you can keep in Arizona
Exemptions are the property the law lets you keep. You use the Arizona list. The federal list is not available in Arizona.
Law: A.R.S. 33-1133(B)
| What | Arizona exemption |
|---|---|
Home (homestead) | $400,000 of equity as written in the law, adjusted every January 1 since 2024 for inflation (CPI-U, rounded up to the nearest $100). No official table of the adjusted amount is published. One homestead per married couple or single person; the limit is for the couple's combined equity. It covers a house, condo or co-op, or a mobile home, RV, travel trailer, houseboat, manufactured home or other shelter you live in, plus the land under it. You must be at least 18 and live in Arizona. Cash from selling the home stays protected for 18 months or until you buy a new home, but cash taken out by refinancing is not protected. In bankruptcy the amount is fixed on the filing date, and if your equity is under the limit then, later increases in value during the case are also protected. Law: A.R.S. 33-1101 (as amended by Laws 2025, ch. 111) The law gives a rule here, not one dollar figure, and the figure can change each year. We show the rule exactly as the law states it and do not calculate a figure for you. Check the current figure in the official source or with the court. Official source: |
Car or other vehicle | $15,000 of equity in one motor vehicle; $25,000 if you or your dependent has a physical disability. Adjusted every January 1 since 2024 for inflation (CPI-U, rounded up to the nearest $100). Law: A.R.S. 33-1125(8) The law gives a rule here, not one dollar figure, and the figure can change each year. We show the rule exactly as the law states it and do not calculate a figure for you. Check the current figure in the official source or with the court. Official source: |
Household goods and clothing | Household furniture, furnishings, goods (including electronics) and appliances up to $15,000 total value, adjusted every January 1 since 2024 for inflation (CPI-U, rounded up to the nearest $100). Separate limits for clothing ($500), musical instruments ($400), wedding and engagement rings ($2,000), books ($250), one watch ($250), firearms ($2,000), and computer/bicycle/sewing machine/bible/burial plot ($2,000 total). All pets. Food and fuel for 6 months. Law: A.R.S. 33-1123; A.R.S. 33-1124; A.R.S. 33-1125 The law gives a rule here, not one dollar figure, and the figure can change each year. We show the rule exactly as the law states it and do not calculate a figure for you. Check the current figure in the official source or with the court. Official source: |
Tools of your trade | $5,000 in tools, equipment, instruments and books of your trade (and your spouse's); $2,500 in farm machinery, animals, feed and seed if farming is your main income. Law: A.R.S. 33-1130 |
Wages | At least 90% of your disposable earnings is protected: a creditor can take no more than the smaller of 10% or the amount above 60 times the highest applicable minimum hourly wage. For support orders, half is exempt. Law: A.R.S. 33-1131 |
Retirement accounts | 401(a), 403(a), 403(b), 408 and 408A (IRA/Roth IRA), 409 and 457 plans are exempt, except money contributed within 120 days before filing bankruptcy. Law: A.R.S. 33-1126(B) |
Public benefits | Unemployment benefits, workers' compensation and public assistance are exempt. Health, accident and disability insurance benefits are exempt. Child support and spousal maintenance you receive are exempt. Law: A.R.S. 23-783; A.R.S. 23-1068; A.R.S. 46-208; A.R.S. 33-1126(A)(3)-(4) |
Other exemptions |
Law: A.R.S. 33-1126(A)(9); A.R.S. 33-1126(A)(11); A.R.S. 33-1126(A)(1), (6); A.R.S. 33-1126(C) |
If you use your state's exemptions, you can protect no more than $214,000 of home equity that you acquired in the 1,215 days (about 3 years and 4 months) before you filed. Equity moved from an earlier home in the same state, bought before that period, does not count. The cap does not apply to a family farmer's main home.
Law: 11 U.S.C. 522(p); 90 FR 8941
Amounts: Base amounts as printed in the Arizona Revised Statutes on azleg.gov. The homestead, vehicle, household goods and bank-account amounts rise every January 1 since 2024 by CPI (August-to-August change); the adjusted dollar figures are not printed in the statute and no state agency publishes them.
The means test in Arizona: first step
Official Form 122A-1 compares your household's yearly income with the median income in Arizona. Here are the official medians:
- 1 person$73,935
- 2 people$89,027
- 3 people$104,965
- 4 people$121,174
- Each extra person+$11,100
Applies to cases filed on or after April 1, 2026. 1 = one earner; 2, 3, 4 = people in the household; add = amount added for each person over 4
Where to file in Arizona
You file in the federal bankruptcy district where you lived (your domicile) for most of the 180 days before filing. Arizona is one district. The court has offices in Phoenix and Tucson and also hears cases in Yuma, Flagstaff and Bullhead City: https://www.azb.uscourts.gov/court-info/court-locations.
Law: 28 U.S.C. 1408
Divisions: Phoenix, Tucson (offices); Yuma, Flagstaff, Bullhead City (hearing locations)
Clerk's phone: 602-682-4000 or 800-556-9230
Free help in Arizona
Free letter and checklist
Letter: tell a creditor you filed bankruptcy
Notice to a creditor or debt collector with your case number, court, filing date and chapter.
Checklist: what to gather before you file
Income, tax returns, debts, property and budget papers the federal forms ask about, with Arizona's courts.
Bankruptcy in Arizona by topic
Exemptions in Arizona
Home, car, household goods, wildcard and more, with the law for each.
The means test in Arizona
The official median income and the first-step check.
Where to file in Arizona
The bankruptcy courts, divisions, fees and the 341 meeting.
Good to know in Arizona
- Several Arizona exemptions (homestead, vehicle, household goods, one bank account) go up every January 1 with inflation, so the real limit is higher than the number written in the statute.
Law: A.R.S. 33-1101(D), 33-1123(B), 33-1125(8), 33-1126(A)(9)
- Retirement money deposited in the 120 days before you file is not protected.
Law: A.R.S. 33-1126(B)(2)
- Since the 2025 change, cash you take out of your home by refinancing is not covered by the homestead exemption.
Law: A.R.S. 33-1101(C)
Changes in 2024–2026
Annual CPI increases began January 1, 2024. In 2025, SB 1540 rewrote the homestead law: it now covers RVs, travel trailers, houseboats and other shelters plus land; excludes refinance cash-out; and fixes the bankruptcy homestead amount on the filing date (for petitions filed after the act took effect). It also added an exemption for earned income and child tax credits.
Law: Laws 2025, ch. 111; A.R.S. 33-1126(A)(11)
Source: Proposition 209, 2022
Questions about bankruptcy in Arizona
Can I use the federal bankruptcy exemptions in Arizona?
No. Arizona requires you to use the state exemptions.
What is the homestead exemption in Arizona?
$400,000 of equity as written in the law, adjusted every January 1 since 2024 for inflation (CPI-U, rounded up to the nearest $100). No official table of the adjusted amount is published.
How much of a car can I keep in bankruptcy in Arizona?
$15,000 of equity in one motor vehicle; $25,000 if you or your dependent has a physical disability. Adjusted every January 1 since 2024 for inflation (CPI-U, rounded up to the nearest $100).
What household goods can I keep in Arizona?
Household furniture, furnishings, goods (including electronics) and appliances up to $15,000 total value, adjusted every January 1 since 2024 for inflation (CPI-U, rounded up to the nearest $100). Separate limits for clothing ($500), musical instruments ($400), wedding and engagement rings ($2,000), books ($250), one watch ($250), firearms ($2,000), and computer/bicycle/sewing machine/bible/burial plot ($2,000 total). All pets. Food and fuel for 6 months.
Are retirement accounts protected in bankruptcy in Arizona?
401(a), 403(a), 403(b), 408 and 408A (IRA/Roth IRA), 409 and 457 plans are exempt, except money contributed within 120 days before filing bankruptcy.
Are my wages protected in Arizona?
At least 90% of your disposable earnings is protected: a creditor can take no more than the smaller of 10% or the amount above 60 times the highest applicable minimum hourly wage. For support orders, half is exempt.
Where do I file bankruptcy in Arizona?
You file in the federal bankruptcy district where you lived (your domicile) for most of the 180 days before filing. Arizona is one district. The court has offices in Phoenix and Tucson and also hears cases in Yuma, Flagstaff and Bullhead City: https://www.azb.uscourts.gov/court-info/court-locations.
What is the median income for the means test in Arizona?
For cases filed on or after April 1, 2026: 1 person: $73,935; 2 people: $89,027; 3 people: $104,965; 4 people: $121,174; Each extra person: +$11,100.
Where can I get free help with bankruptcy in Arizona?
Community Legal Services (central and western Arizona), Southern Arizona Legal Aid and AZLawHelp.org.