Question: I am considering filing bankruptcy in Ontario. I have 1 room mate and everything is split 50/50. The trustee stated that it is based on the entire household income, and that if the 2nd person did not wish to disclose information that the allotted amount of income per month would be the 2 person rate divided in half. Why does it matter how much my room mate makes as we split 50/50. It is not their debt but mine. Even on the work sheets it states spouse’s income. No spouse here, so why are they included? This than makes my surplus payments outrageous that I still won’t be able to pay those off, but it is too expensive to live on ones own.
Answer: It would appear there is some confusion here. Yes, surplus income is based on your family income, which in most cases is the same as your household income. If you live with your spouse, their income is factored in to the calculation. But if you live with a room-mate who is not a member of your family (ie. they are not your spouse), then their income is irrelevant. It is not included in your family income for household purposes.
Here is an explanation of surplus income payments in bankruptcy. If the person you met with did not explain it to your satisfaction, you should consult another bankruptcy trustee.