Free Calculator to Determine the Bankruptcy Trustee’s Commission in a Chapter 7 and Chapter 11 Bankruptcy
Bankruptcy trustee compensation in Chapter 7 & 11 is fixed by many courts according to a specific statutory formula. The way that the formulate works is that the more the bankruptcy trustee distributes to creditors, the more money the trustee generally makes.
Specifically, the compensation of a trustee in a Chapter 7 bankruptcy or Chapter 11 bankruptcy is defined by statute under Section 326(a) of the Bankruptcy Code (11 U.S.C. Section 326(a)) as follows:
In a case under chapter 7 or 11, other than a case under subchapter V of chapter 11, the court may allow reasonable compensation under section 330 of this title of the trustee for the trustee’s services, payable after the trustee renders such services, not to exceed 25 percent on the first $5,000 or less, 10 percent on any amount in excess of $5,000 but not in excess of $50,000, 5 percent on any amount in excess of $50,000 but not in excess of $1,000,000, and reasonable compensation not to exceed 3 percent of such moneys in excess of $1,000,000, upon all moneys disbursed or turned over in the case by the trustee to parties in interest, excluding the debtor, but including holders of secured claims.
Use the free bankruptcy trustee compensation calculator to determine the trustee’s fee that the bankruptcy court is able to award.
If you have questions about bankruptcy, trustee’s rights and how to properly negotiate with a bankruptcy trustee, contact an experienced bankruptcy attorney who represents trustees, creditors, debtors, and interested parties in bankruptcy to consider your rights.
The bankruptcy attorneys at Talkov Law are skilled in the areas of:
- Business Bankruptcy
- Chapter 7 Bankruptcy
- Bankruptcy Adversary Proceedings
- Bankruptcy Nondischargeability
- Involuntary Bankruptcy
- Bankruptcy & Divorce
- Creditor Representation
Talkov Law provides bankruptcy attorneys in Los Angeles, Orange County, San Diego, San Bernardino, Riverside, Palm Springs, Palo Alto, San Jose, Sacramento, Santa Barbara, Redding, Oakland, Long Beach, and surrounding areas.