The U.S. Bankruptcy Code also allows individual debtors who meet certain financial criteria to adopt extended time payment plans for the payment of debts. An individual debtor on a regular income may submit a plan for installment payment of outstanding debts. This is called a Chapter 13 Plan. This plan must be confirmed by the court. Once it is confirmed, debts are paid in the manner specified in the plan. After all payments called for by the plan are made, the debtor is given a discharge. The plan is, in effect, a budget of the debtor's future income with respect to outstanding debts. The plan must provide for the eventual payment in full of all claims entitled to priority under the Bankruptcy Code. The plan will be confirmed if it is submitted in good faith and is in the best interest of the creditors.
A Chapter 13 plan must provide for the submission of all or such portion of future earnings or other future income of the debtor to the supervision and control of the trustee as is necessary for the execution of the plan. After the confirmation of a Chapter 13 plan, the court may exercise its discretion and order any entity from whom the debtor receives income to pay all or part of such income to the trustee.
Nebraska Order Requiring Debtor's Employer to Remit Deductions from a Debtor's Paycheck to Trustee is a legal document issued by a court to enforce the repayment of debts owed by a debtor. This order requires the debtor's employer to deduct a portion of the debtor's paycheck and remit it directly to the trustee handling the debtor's case. This ensures a consistent and timely payment towards the debtor's outstanding obligations. There are different types of Nebraska Orders Requiring a Debtor's Employer to Remit Deductions from a Debtor's Paycheck to Trustee, including: 1. Wage Garnishment Order: This type of order allows a trustee to collect a specific percentage or fixed amount from the debtor's wages directly through their employer. The employer is legally obliged to deduct this amount from the debtor's paycheck and remit it to the trustee. This type of order is typically used when a debtor has defaulted on a loan or has outstanding debt obligations. 2. Chapter 13 Bankruptcy Order: In a Chapter 13 bankruptcy case, the court may issue an order requiring the debtor's employer to make regular deductions from the debtor's wages and remit them directly to the trustee. These deductions are part of a court-approved repayment plan designed to help the debtor repay their debts over a specified period. 3. Child Support Order: In cases where a debtor owes child support payments, a Nebraska Order Requiring a Debtor's Employer to Remit Deductions from a Debtor's Paycheck to Trustee can be issued to enforce the collection of these payments. This order ensures that a portion of the debtor's wages is deducted and sent directly to the trustee responsible for distributing the funds to the appropriate child support recipients. 4. Tax Levy Order: In circumstances where a debtor has unpaid taxes, the Nebraska Order Requiring a Debtor's Employer to Remit Deductions from a Debtor's Paycheck to Trustee may be used to initiate a tax levy. This allows the IRS or state taxing authority to collect the owed taxes by garnishing the debtor's wages through their employer. These various types of Nebraska Orders Requiring a Debtor's Employer to Remit Deductions from a Debtor's Paycheck to Trustee provide legal mechanisms to ensure the consistent and timely repayment of debts or obligations owed by a debtor. The specific type of order issued will depend on the nature of the debt or obligation involved, such as wage garnishment, bankruptcy repayment plans, child support, or tax collection.
