Bankruptcy exemptions in Delaware: what you can keep
The Delaware exemption list, the homestead rule, which state's law applies and how to claim exemptions.
Checked against official sources: October 25, 2026.
Short answer
In Delaware you use state exemptions only (exemptions are the property the law lets you keep). Your home (homestead): $200,000 of equity in your principal residence (a house, other real property, or a manufactured home you live in).
- Exemption system
- State exemptions only
- Car or other vehicle
- $25,000 per debtor in a vehicle needed for work.
- Wildcard (any property)
- $25,000 per debtor in any personal property and/or equity in real estate other than your principal residence (aggregate fair market value)
- Amounts
- August 2, 2024 (84 Del. Laws c. 329, House Bill 318, raised the homestead from $125,000 to $200,000 and the vehicle and tools amounts from $15,000 to $25,000 each).
What Delaware lets you keep
Exemptions are the property the law lets you keep. You use the Delaware list. The federal list is not available in Delaware.
Law: Del. Code tit. 10, § 4914(a)
| What | Delaware exemption |
|---|---|
Home (homestead) | $200,000 of equity in your principal residence (a house, other real property, or a manufactured home you live in) The $200,000 is a total for the home in an individual or a joint case. Married couples filing together do not get $400,000. You cannot use this exemption if the bankruptcy court finds you owe a debt from securities-law violations, securities fraud, or a criminal act, intentional tort, or willful or reckless misconduct that caused serious physical injury or death in the last 5 years. Law: Del. Code tit. 10, § 4914(c)(1), (d), (e) |
Car or other vehicle | $25,000 per debtor in a vehicle needed for work Law: Del. Code tit. 10, § 4914(c)(2), (d) |
Household goods and clothing | All clothing of you and your family; the family Bible, school books, family library and family pictures; a church pew and a burial lot (no dollar limit). A sewing machine used by a family. A head of household can also keep other personal property of their choice worth up to $500. Law: Del. Code tit. 10, §§ 4902(a), (c), 4903, 4904 |
Wildcard (any property) | $25,000 per debtor in any personal property and/or equity in real estate other than your principal residence (aggregate fair market value) Law: Del. Code tit. 10, § 4914(b), (d) |
Tools of your trade | $25,000 per debtor in tools of the trade needed for work (separate from the vehicle exemption). A smaller general rule also exempts trade tools up to $75 in New Castle and Sussex Counties and $50 in Kent County. Law: Del. Code tit. 10, §§ 4914(c)(2), (d), 4902(b) |
Wages | 85% of wages are exempt from attachment (does not apply to collection of state fines, costs or taxes; does not cover self-employment income). Law: Del. Code tit. 10, § 4913 |
Retirement accounts | Retirement plans and accounts (401(k), 403(b), IRA, Roth IRA, 457 and similar), including inherited plans, are exempt. Rollover money is protected for 60 days. Not protected against a qualified domestic relations order (QDRO) or fraudulent-transfer claims. Law: Del. Code tit. 10, § 4915 |
Public benefits | Unemployment benefits are exempt (except for necessaries bought while unemployed and child support). Workers' compensation is exempt from creditors (except child support). State public assistance cannot be taken by creditors and is protected in bankruptcy. Law: Del. Code tit. 19, § 3374 |
Other exemptions |
Law: Del. Code tit. 10, § 4915(a); Del. Code tit. 10, § 4916 |
Amounts: August 2, 2024 (84 Del. Laws c. 329, House Bill 318, raised the homestead from $125,000 to $200,000 and the vehicle and tools amounts from $15,000 to $25,000 each). Delaware amounts are set by statute and are not indexed.
Your home in Delaware
$200,000 of equity in your principal residence (a house, other real property, or a manufactured home you live in)
The $200,000 is a total for the home in an individual or a joint case. Married couples filing together do not get $400,000. You cannot use this exemption if the bankruptcy court finds you owe a debt from securities-law violations, securities fraud, or a criminal act, intentional tort, or willful or reckless misconduct that caused serious physical injury or death in the last 5 years.
Law: Del. Code tit. 10, § 4914(c)(1), (d), (e)
What changed in 2024–2026 in Delaware
Effective August 2, 2024: homestead raised from $125,000 to $200,000; vehicle exemption raised from $15,000 to $25,000; tools-of-trade exemption raised from $15,000 to $25,000. The same law made workers' compensation (including from other states) exempt from all creditor claims except child support. (84 Del. Laws c. 329)
Retirement money
Retirement plans and accounts (401(k), 403(b), IRA, Roth IRA, 457 and similar), including inherited plans, are exempt. Rollover money is protected for 60 days. Not protected against a qualified domestic relations order (QDRO) or fraudulent-transfer claims.
Law: Del. Code tit. 10, § 4915
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)
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
- Maryland: State exemptions only. Home (homestead): your equity in the owner-occupied home you live in, up to the same dollar amount as the federal homestead exemption in 11 U.S.C. 522(d)(1), as adjusted.
- District of Columbia: State or federal, your choice. Home (homestead): unlimited: your whole interest in real property you use as your residence, or in a cooperative that owns property you or a dependent use as a residence.
- New Jersey: State or federal, your choice. Home (homestead): none — New Jersey state law has no homestead exemption for the equity in your home.
- Pennsylvania: State or federal, your choice. Home (homestead): none — Pennsylvania law has no homestead exemption.
Your next steps in Delaware
List what you own
List each thing you own and what it is worth on Official Form 106A/B.
Match each item to an exemption
The table above shows the Delaware amount for each kind of property.
List the exemptions you claim
The exemptions you choose go on Official Form 106C.
Free help in Delaware
- Legal Services Corporation of Delaware (LSCD) – helps low-income people with Chapter 7 and Chapter 13 bankruptcy · (302) 575-0408
- Delaware Legal Help Link (joint intake for DVLS, CLASI, LSCD and the state bar)
- Community Legal Aid Society, Inc. (CLASI)
- Delaware State Bar Association Online Lawyer Referral Service ($35 for a 30-minute first meeting)
- Find free legal aid at LawHelp.org
- U.S. Bankruptcy Court for the District of Delaware – Court's self-help page
Questions about exemptions in Delaware
State or federal exemptions in Delaware?
No. Delaware requires you to use the state exemptions.
How much home equity can I keep in Delaware?
$200,000 of equity in your principal residence (a house, other real property, or a manufactured home you live in)
Can I keep my car in Delaware?
$25,000 per debtor in a vehicle needed for work
Does Delaware have a wildcard exemption?
$25,000 per debtor in any personal property and/or equity in real estate other than your principal residence (aggregate fair market value)
What household goods can I keep in Delaware?
All clothing of you and your family; the family Bible, school books, family library and family pictures; a church pew and a burial lot (no dollar limit). A sewing machine used by a family. A head of household can also keep other personal property of their choice worth up to $500.
Is my 401(k) or IRA protected in a Delaware bankruptcy?
Retirement plans and accounts (401(k), 403(b), IRA, Roth IRA, 457 and similar), including inherited plans, are exempt. Rollover money is protected for 60 days. Not protected against a qualified domestic relations order (QDRO) or fraudulent-transfer claims.
What is the wage exemption in Delaware?
85% of wages are exempt from attachment (does not apply to collection of state fines, costs or taxes; does not cover self-employment income).