Bankruptcy in Iowa
In Iowa you use state exemptions only (exemptions are the property the law lets you keep). Your home (homestead): unlimited value — up to 1/2 acre inside a city plat, or up to 40 acres elsewhere.
You file in one of 2 federal bankruptcy courts:
Checked against official sources: October 25, 2026. · Free letter and checklist ↓
What you can keep in Iowa
Exemptions are the property the law lets you keep. You use the Iowa list. The federal list is not available in Iowa.
Law: Iowa Code 627.10
| What | Iowa exemption |
|---|---|
Home (homestead) | Unlimited value. Up to 1/2 acre inside a city plat, or up to 40 acres elsewhere. A household can claim only one homestead. The homestead can still be sold for debts you owed before you acquired it (but only after your other non-exempt property is used up), for debts you agreed in writing could be collected from it, and for mechanic's liens and home-improvement debts. Law: Iowa Code 561.2; Iowa Code 561.16; Iowa Code 561.21 |
Car or other vehicle | $7,000 in one motor vehicle Law: Iowa Code 627.6(9) |
Household goods and clothing | $7,000 total for clothing, household furnishings and goods, appliances, electronics, computers and musical instruments. Separate limits: jewelry $2,000; wedding and engagement rings are exempt, but rings acquired after the marriage and within 2 years before filing are capped at $7,000 minus any other jewelry you claim; libraries, family bibles, pictures and paintings $1,000; one shotgun and one rifle or musket. Law: Iowa Code 627.6(1)-(3), (5) |
Wildcard (any property) | $1,000 total in cash, bank or credit union accounts, or any other personal property Law: Iowa Code 627.6(14) |
Tools of your trade | $10,000 for tools, implements and professional books (non-farmers). Farmers: $10,000 for farm equipment, livestock and feed. Law: Iowa Code 627.6(11)-(12) |
Wages | In bankruptcy, $1,000 total of earned but unpaid wages and state and federal tax refunds is exempt. Outside bankruptcy, garnishment is limited to federal limits and a yearly cap per creditor based on your expected earnings. Law: Iowa Code 627.6(10); Iowa Code 642.21 |
Retirement accounts | Payments from pensions and similar plans are exempt, except payments from unusually large contributions made within 1 year before filing. IRA, Roth IRA, SEP and similar accounts are exempt within yearly contribution limits, with earnings exempt in proportion. Retirement funds are not exempt from child support or alimony claims. Law: Iowa Code 627.6(8)(e)-(f); Iowa Code 627.6A |
Public benefits | Social Security, unemployment, public assistance, veterans' benefits, and disability or illness benefits are exempt. Workers' compensation is exempt except for child, spousal or medical support. Adoption assistance is exempt. Law: Iowa Code 627.6(8)(a)-(c); Iowa Code 627.13; Iowa Code 627.19 |
Other exemptions |
Law: Iowa Code 627.6(6); Iowa Code 627.6(15); Iowa Code 627.6(8)(d), (16); Iowa Code 627.6(17) |
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: Iowa Code 2026 (amounts in statute, not indexed; last changed 2018 or earlier).
The means test in Iowa: first step
Official Form 122A-1 compares your household's yearly income with the median income in Iowa. Here are the official medians:
- 1 person$67,617
- 2 people$88,800
- 3 people$104,133
- 4 people$126,058
- 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 Iowa
You file in the federal district where you lived (your domicile) for most of the last 180 days. Your county decides the district and division: Northern District county list at https://www.ianb.uscourts.gov/court-info/court-locations and Southern District county list at https://www.iasb.uscourts.gov/divisional-map-counties.
Law: 28 U.S.C. 1408
Divisions: Cedar Rapids, Sioux City (clerk's offices); Dubuque, Fort Dodge, Mason City, Waterloo (hearing locations)
Clerk's phone: 319-286-2200
Divisions: Western, Central, Eastern (clerk's office in Des Moines)
Clerk's phone: (515) 284-6230
Free help in Iowa
- Iowa Legal Aid · 1-800-532-1503
- Iowa State Bar Association Volunteer Lawyers Project · (515) 243-3904
- Iowa State Bar Association Lawyer Referral Service · (515) 243-3179
- Drake University Legal Clinic · (515) 271-3851
- Find free legal aid at LawHelp.org
- Northern District – Court's self-help page
- Southern District – Court's self-help page
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 Iowa's courts.
Bankruptcy in Iowa by topic
Exemptions in Iowa
Home, car, household goods, wildcard and more, with the law for each.
The means test in Iowa
The official median income and the first-step check.
Where to file in Iowa
The bankruptcy courts, divisions, fees and the 341 meeting.
Good to know in Iowa
- Iowa's homestead has no dollar limit, only an acreage limit (1/2 acre in a city, 40 acres elsewhere).
Law: Iowa Code 561.2
- A homestead is not protected from debts you owed before you bought it, once your other non-exempt property is used up.
Law: Iowa Code 561.21
- A household of people living together can claim only one homestead.
Law: Iowa Code 561.16
Questions about bankruptcy in Iowa
Can I use the federal bankruptcy exemptions in Iowa?
No. Iowa requires you to use the state exemptions.
What is the homestead exemption in Iowa?
Unlimited value. Up to 1/2 acre inside a city plat, or up to 40 acres elsewhere.
How much of a car can I keep in bankruptcy in Iowa?
$7,000 in one motor vehicle
Does Iowa have a wildcard exemption?
$1,000 total in cash, bank or credit union accounts, or any other personal property
What household goods can I keep in Iowa?
$7,000 total for clothing, household furnishings and goods, appliances, electronics, computers and musical instruments. Separate limits: jewelry $2,000; wedding and engagement rings are exempt, but rings acquired after the marriage and within 2 years before filing are capped at $7,000 minus any other jewelry you claim; libraries, family bibles, pictures and paintings $1,000; one shotgun and one rifle or musket.
Are retirement accounts protected in bankruptcy in Iowa?
Payments from pensions and similar plans are exempt, except payments from unusually large contributions made within 1 year before filing. IRA, Roth IRA, SEP and similar accounts are exempt within yearly contribution limits, with earnings exempt in proportion. Retirement funds are not exempt from child support or alimony claims.
Are my wages protected in Iowa?
In bankruptcy, $1,000 total of earned but unpaid wages and state and federal tax refunds is exempt. Outside bankruptcy, garnishment is limited to federal limits and a yearly cap per creditor based on your expected earnings.
Where do I file bankruptcy in Iowa?
You file in the federal district where you lived (your domicile) for most of the last 180 days. Your county decides the district and division: Northern District county list at https://www.ianb.uscourts.gov/court-info/court-locations and Southern District county list at https://www.iasb.uscourts.gov/divisional-map-counties.
What is the median income for the means test in Iowa?
For cases filed on or after April 1, 2026: 1 person: $67,617; 2 people: $88,800; 3 people: $104,133; 4 people: $126,058; Each extra person: +$11,100.
Where can I get free help with bankruptcy in Iowa?
Iowa Legal Aid, Iowa State Bar Association Volunteer Lawyers Project and Iowa State Bar Association Lawyer Referral Service.