Wisconsin Bankruptcy Exemptions 2026
Complete guide to what property you can keep when filing bankruptcy in Wisconsin
$75,000
Homestead Exemption
Choice
State or Federal Exemptions
2 Districts
E.D. Wis. & W.D. Wis.
Wisconsin Exemptions Chart
| Asset Type | Exemption Amount | Statute |
|---|
| Homestead | $75,000 | Wis. Stat. 815.20 |
| Vehicle | $4,000 | Wis. Stat. 815.18(3)(g) |
| Household goods | $12,000 total | Wis. Stat. 815.18(3)(d) |
| Clothing | Unlimited | Wis. Stat. 815.18(3)(a) |
| Wages | 75% of disposable earnings | Wis. Stat. 812.34 |
| Retirement accounts | Fully exempt (ERISA-qualified) | Wis. Stat. 815.18(3)(j) |
| IRA | Fully exempt | Wis. Stat. 815.18(3)(j) |
| Tools of trade | $15,000 | Wis. Stat. 815.18(3)(f) |
| Life insurance | $4,000 cash value per policy | Wis. Stat. 815.18(3)(i) |
| Public benefits | Fully exempt (unemployment, workers' comp, SSI, TANF) | Various |
| Wildcard | None under state; $1,475 + $13,950 unused homestead under federal | 11 U.S.C. 522(d)(5) |
Wisconsin Homestead Exemption Details
Wisconsin's homestead exemption protects up to $75,000 of equity in your primary residence. Key rules:
- The property must be your principal residence
- Covers houses, condos, mobile homes, and co-ops
- No acreage limit for urban or rural properties
- Doubles for married couples: $150,000 when filing jointly
- Wisconsin is a community property state -- both spouses' interests in marital property are considered
State vs. Federal Exemptions in Wisconsin
Wisconsin allows debtors to choose between state and federal systems:
- Choose state exemptions if: You have high home equity ($75,000 vs. $27,900 federal), high tools of trade value ($15,000 vs. $2,800 federal), or significant household goods ($12,000 vs. $700 per item federal)
- Choose federal exemptions if: You rent or have little home equity -- the federal wildcard ($1,475 + up to $13,950 of unused homestead = $15,425) covers more personal property
Community Property Considerations
Wisconsin is one of only nine community property states. This has significant bankruptcy implications:
- Both spouses' income and property may be considered even if only one spouse files
- Community property can be used to pay community debts even in one spouse's bankruptcy
- Separate property (owned before marriage or received as gift/inheritance) is generally protected from the other spouse's creditors
- Wisconsin calls its community property system "marital property" under the Wisconsin Marital Property Act
Important Notes for Wisconsin Filers
- Strong tools of trade exemption: $15,000 protects small business equipment, professional tools, and work vehicles
- Generous household goods: $12,000 total exemption covers most families' entire household
- Unlimited clothing: No dollar cap on personal clothing
- Two bankruptcy districts: Eastern District (Milwaukee) and Western District (Madison). Local rules differ -- check local filing requirements
- 730-day domicile rule: You must have lived in Wisconsin for at least 730 days before filing. If you moved recently, you may need to use your prior state's exemptions
Wisconsin Bankruptcy Statistics
Wisconsin's two districts process approximately 10,000-12,000 bankruptcy filings per year. The Eastern District (Milwaukee) handles roughly two-thirds of the state's filings. For current statistics, see our full Wisconsin bankruptcy guide.
Related Resources
Full Wisconsin Bankruptcy Guide | Homestead Exemptions by State | Federal Exemptions (Section 522(d)) | Means Test Calculator | How to File Bankruptcy in Wisconsin