Bankruptcy exemptions in California: what you can keep

Every California exemption with its amount and law, plus the federal rules that limit them.

Checked against official sources: October 25, 2026.

Short answer

In California you use state exemptions only (California has two state systems; you pick one). Your home (homestead): 704 system: the greater of $300,000 or the countywide median sale price for a single-family home in the calendar year before you claim the exemption, up to $600,000.

Exemption system: State exemptions only
Car or other vehicle: $8,625 total equity in motor vehicles (704 system).
Wildcard (any property): None in the 704 system. The 703.140(b) system has a wildcard of $1,950 plus any unused part of its $36,750 residence exemption.
Amounts: Judicial Council form EJ-156 (rev. July 20, 2026): 703.140(b) and most 704 amounts effective April 1, 2025 (next 3-year adjustment April 1, 2028); 704.220 deposit account $2,325 effective July 1, 2026.

Exemptions in California, item by item

Exemptions are the property the law lets you keep. You use the California list. The federal list is not available in California. California has two state systems; you pick one.

Law: Cal. Code Civ. Proc. 703.130; Cal. Code Civ. Proc. 703.140(a)

What	California exemption
Home (homestead)	704 system: the greater of $300,000 or the countywide median sale price for a single-family home in the calendar year before you claim the exemption, up to $600,000. Both figures are adjusted each January 1 (since 2022) for California inflation; no official table of the adjusted figures is published. The homestead protects your principal home (house, condo, mobile home, boat, co-op and more) where you or your spouse live. It applies automatically in bankruptcy; recording a homestead declaration is optional and mainly blocks judgment liens. Spouses get one homestead exemption between them. In the 703.140(b) system, the residence exemption is only $36,750. Law: Cal. Code Civ. Proc. 704.710, 704.720, 704.730, 704.950 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: Cal. Code Civ. Proc. 704.730 (official text, California Legislative Information)
Car or other vehicle	$8,625 total equity in motor vehicles (704 system). Law: Cal. Code Civ. Proc. 704.010; EJ-156
Household goods and clothing	Household furnishings, appliances, food, clothing and other personal effects that are ordinarily and reasonably necessary are exempt with no dollar cap (items of extraordinary value can be lost). Jewelry, heirlooms and art: $10,950 total. Law: Cal. Code Civ. Proc. 704.020, 704.040; EJ-156
Wildcard (any property)	None in the 704 system. The 703.140(b) system has a wildcard of $1,950 plus any unused part of its $36,750 residence exemption. Law: Cal. Code Civ. Proc. 703.140(b)(5); EJ-156
Tools of your trade	$10,950 in tools, equipment and other property used in your trade or business ($21,900 if you and your spouse work in the same trade). A commercial vehicle counts only up to $4,850 ($9,700 for spouses in the same trade). Law: Cal. Code Civ. Proc. 704.060; EJ-156
Wages	Paid wages you can trace into a bank account or cash are exempt to the same extent wages are protected from garnishment (all of them if they were already garnished). Unused vacation, sick leave and family leave pay: $8,625. Law: Cal. Code Civ. Proc. 704.070, 704.113; EJ-156
Retirement accounts	Private pensions and profit-sharing plans are fully exempt. IRAs and self-employed plans are exempt only to the extent needed for your support in retirement (and not less than the federal 522(n) IRA amount for personal debts). Public retirement benefits are fully exempt. Law: Cal. Code Civ. Proc. 704.110, 704.115
Public benefits	Unemployment and disability insurance benefits, workers' compensation, and public aid are exempt. Law: Cal. Code Civ. Proc. 704.120, 704.160, 704.170
Other exemptions	The other system, Cal. Code Civ. Proc. 703.140(b) (amounts from April 1, 2025): residence $36,750; motor vehicle $8,625; household goods, clothing, books, animals, appliances $925 per item; jewelry $2,175; wildcard $1,950 plus unused residence amount; tools of trade $10,950; life insurance loan value $19,625; unpaid wages/vacation/sick pay $8,625; personal injury payments $36,750; plus Social Security, unemployment, public assistance, veterans' and disability benefits, support and retirement payments needed for support. Married couples filing together must both use the same system. Life insurance loan value: $17,525 (704 system) (Cal. Code Civ. Proc. 704.100; EJ-156). Bank account: $2,325 per person (not per account) is exempt without a claim from July 1, 2026; the amount is updated each July 1 (Cal. Code Civ. Proc. 704.220; EJ-156). Direct-deposited Social Security: $4,400 automatic ($6,575 for two or more payees); public benefits $2,175 ($3,250); amounts above that are also exempt if they are benefit payments (Cal. Code Civ. Proc. 704.080; EJ-156).

Federal limit on a newly bought home

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: Judicial Council form EJ-156 (rev. July 20, 2026): 703.140(b) and most 704 amounts effective April 1, 2025 (next 3-year adjustment April 1, 2028); 704.220 deposit account $2,325 effective July 1, 2026. Homestead adjusts each January 1; EJ-156 does not list the adjusted homestead figures.

The California homestead exemption

704 system: the greater of $300,000 or the countywide median sale price for a single-family home in the calendar year before you claim the exemption, up to $600,000. Both figures are adjusted each January 1 (since 2022) for California inflation; no official table of the adjusted figures is published.

The homestead protects your principal home (house, condo, mobile home, boat, co-op and more) where you or your spouse live. It applies automatically in bankruptcy; recording a homestead declaration is optional and mainly blocks judgment liens. Spouses get one homestead exemption between them. In the 703.140(b) system, the residence exemption is only $36,750.

Law: Cal. Code Civ. Proc. 704.710, 704.720, 704.730, 704.950

Federal limit on a newly bought home

Law: 11 U.S.C. 522(p); 90 FR 8941

IRAs, 401(k)s and pensions

Private pensions and profit-sharing plans are fully exempt. IRAs and self-employed plans are exempt only to the extent needed for your support in retirement (and not less than the federal 522(n) IRA amount for personal debts). Public retirement benefits are fully exempt.

Law: Cal. Code Civ. Proc. 704.110, 704.115

Retirement money in tax-exempt accounts is protected whichever set of exemptions you use (IRAs subject to the 522(n) cap).

Law: 11 U.S.C. 522(b)(3)(C), 522(d)(12), 522(n)

New amounts in California

April 1, 2025: 3-year inflation increase to the 703.140(b) and 704 amounts (e.g., 704 vehicle $7,500 to $8,625; 703.140(b) residence $29,275 to $36,750). July 1, 2026: automatic bank account exemption updated to $2,325. Homestead limits adjust every January 1.

The 730-day rule

You use the exemption law of the state where you lived (your domicile) for the full 730 days (2 years) before you filed. If you moved between states during those 2 years, you use the law of the state where you lived for the 180 days before that 2-year period, or where you lived the longest part of those 180 days.

Law: 11 U.S.C. 522(b)(3)(A)

If this rule leaves you with no exemptions at all (for example, the state's exemptions apply only to its residents and you no longer live there), you can use the federal exemptions instead.

Law: 11 U.S.C. 522(b)(3), flush language

In nearby states

Nevada: State exemptions only. Home (homestead): $605,000 of equity in your home.
Utah: State exemptions only. Home (homestead): 2026: up to $53,700 per person in your primary personal residence (a house or mobile home plus up to 1 acre of land around it).
Oregon: State or federal, your choice. Home (homestead): $158,300 in equity for one debtor; $316,700 combined when two or more members of the same household are debtors.
Arizona: State exemptions only. 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).

Steps to protect what you can in California

Make a property list
Write down your home, car, bank accounts, household goods and other property, with a value for each. The form for this is Official Form 106A/B.
Compare with the list
The table above shows the California amount for each kind of property.
Claim your exemptions
The exemptions you choose go on Official Form 106C.
Ask for free help
Ask for free help: Public Counsel (Los Angeles area; linked by the Central District court) and Bay Area Legal Aid (linked by the Northern District court).

Where to get free help in California

Questions about exemptions in California

State or federal exemptions in California?

No. California requires you to use the state exemptions.

Can I keep my house in bankruptcy in California?

How much of a car can I keep in bankruptcy in California?

$8,625 total equity in motor vehicles (704 system).

What is the wildcard exemption in California?

None in the 704 system. The 703.140(b) system has a wildcard of $1,950 plus any unused part of its $36,750 residence exemption.

Are furniture and clothes exempt in California?

Household furnishings, appliances, food, clothing and other personal effects that are ordinarily and reasonably necessary are exempt with no dollar cap (items of extraordinary value can be lost). Jewelry, heirlooms and art: $10,950 total.

Is my 401(k) or IRA protected in a California bankruptcy?

What is the wage exemption in California?

Paid wages you can trace into a bank account or cash are exempt to the same extent wages are protected from garnishment (all of them if they were already garnished). Unused vacation, sick leave and family leave pay: $8,625.