Bankruptcy exemptions in Iowa: what you can keep
What property Iowa law protects in bankruptcy, item by item.
Checked against official sources: October 25, 2026.
Short answer
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.
- Exemption system
- State exemptions only
- Car or other vehicle
- $7,000 in one motor vehicle.
- Wildcard (any property)
- $1,000 total in cash, bank or credit union accounts, or any other personal property.
- Amounts
- Iowa Code 2026 (amounts in statute, not indexed; last changed 2018 or earlier).
Exemptions in Iowa, item by item
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).
IRAs, 401(k)s and pensions
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
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)
Keeping your home in Iowa
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
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
If you moved in the last 2 years
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
- Wisconsin: State or federal, your choice. Home (homestead): up to $75,000 per person in your home and the land reasonably needed for it: at least 0.25 acre if available, up to 40 acres.
- Illinois: State exemptions only. Home (homestead): $50,000 per person in a home you own or lease and live in (house and land, condominium, mobile home or co-op).
- Missouri: State exemptions only. Home (homestead): $15,000 in your home and the land used with it.
- Minnesota: State or federal, your choice. Home (homestead): $540,000 in equity, or $1,350,000 if the homestead is used mainly for farming (amounts effective July 1, 2026).
What to do now in Iowa
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
For each item, find the Iowa exemption that covers it and its limit.
List the exemptions you claim
Exemptions are claimed on Official Form 106C.
Talk to legal aid
Free help: Iowa Legal Aid and Iowa State Bar Association Volunteer Lawyers Project.
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
Questions about exemptions in Iowa
Does Iowa let me choose the federal exemptions?
No. Iowa requires you to use the state exemptions.
Can I keep my house in bankruptcy in Iowa?
Unlimited value. Up to 1/2 acre inside a city plat, or up to 40 acres elsewhere.
What is the vehicle exemption in Iowa?
$7,000 in one motor vehicle
What is the wildcard exemption in Iowa?
$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.
How much of my pay is exempt 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.