What Is 11 USC 522?
11 U.S.C. Section 522 is the federal bankruptcy statute that governs exemptions -- the property you are allowed to keep when you file bankruptcy. It provides a list of federal exemptions and establishes the framework for state exemptions. Understanding Section 522 is essential because exemptions determine whether you lose any property in bankruptcy.
Federal vs. State Exemptions
Section 522(b) gives each state the option to opt out of the federal exemption scheme. Currently, about 30 states have opted out, meaning filers in those states must use state exemptions. In the remaining states, filers can choose between federal and state exemptions -- whichever is more favorable.
See our complete state-by-state exemption guide for specific amounts in your state.
Key Federal Exemption Amounts (2026)
| Property Type | 11 USC 522(d) Subsection | 2026 Amount |
|---|---|---|
| Homestead | 522(d)(1) | $27,900 |
| Motor vehicle | 522(d)(2) | $4,450 |
| Household goods (per item) | 522(d)(3) | $700 |
| Jewelry | 522(d)(4) | $1,875 |
| Wildcard | 522(d)(5) | $1,475 + unused homestead up to $13,950 |
| Tools of trade | 522(d)(6) | $2,800 |
| Retirement accounts | 522(d)(12) | Unlimited (IRAs up to $1,512,350) |
Section 522 Domicile Requirements
Section 522(b)(3) imposes a domicile requirement: you must use the exemptions of the state where you have been domiciled for the 730 days (2 years) before filing. If you moved states within the past 2 years, you may be required to use your former state's exemptions. If this leaves you with no state exemptions, you can use the federal exemptions.
Section 522(f): Lien Avoidance
Section 522(f) allows debtors to avoid judicial liens that impair exempt property. If a creditor obtained a judgment lien on your home and that lien impairs your homestead exemption, you can file a motion to avoid the lien entirely. This does not apply to consensual liens (mortgages) or statutory liens (tax liens).
Frequently Asked Questions
What exemptions does 11 USC 522 provide?
Section 522 provides federal exemptions for homestead ($27,900), motor vehicle ($4,450), household goods ($700 per item), jewelry ($1,875), wildcard ($1,475 plus unused homestead up to $13,950), tools of trade ($2,800), and retirement accounts (unlimited for qualified plans).
Can I choose between federal and state exemptions?
Only if your state has not opted out. About 20 states allow the choice. In opt-out states, you must use state exemptions. You cannot mix federal and state exemptions.
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