Filing Chapter 7 Bankruptcy in Alaska (2026)
Reviewed by DocDraft Legal Team · Alaska · Last updated August 18, 2026
Chapter 7 bankruptcy is federal law, but the property you keep is shaped by Alaska. Unlike most states, Alaska did not opt out of the federal exemptions: under AS 09.38.055 a debtor filing in Alaska may take either the Alaska state exemptions or the federal 11 U.S.C. 522(d) list, but not both. This page explains Alaska's homestead exemption under AS 09.38.010, the vehicle, personal property, and wage figures set by AS 09.38.020 and AS 09.38.030 and adjusted by regulation, the means-test median income, and the single federal court where Alaskans file. Chapter 7 discharges most unsecured debt but not most student loans, recent taxes, child support, or alimony.
Does Alaska use state or federal bankruptcy exemptions?
Alaska lets you choose. It did not opt out of the federal exemptions, so under AS 09.38.055 a debtor filing bankruptcy in Alaska may take either the Alaska state exemption set or the federal 11 U.S.C. 522(d) list. You must pick one system in full for the whole case; you cannot combine Alaska and federal exemptions.
Can I keep my house if I file Chapter 7 in Alaska?
Often yes. Alaska's homestead exemption under AS 09.38.010, as adjusted by regulation, protects $72,900 of equity in your principal residence. If your home equity fits within that figure, Chapter 7 generally lets you keep the house. The Alaska homestead is not doubled for a married couple; spouses share a single exemption.
Can I keep my car if I file Chapter 7 in Alaska?
Usually yes if your equity is modest. Alaska exempts $4,050 of equity in one automobile under AS 09.38.020, and only if the vehicle's total value does not exceed $27,000. If your car equity is at or below that figure and the value cap is met, the vehicle is protected. Higher equity may be partly reachable.
What is the income limit to file Chapter 7 in Alaska?
For cases filed on or after July 15, 2026, the U.S. Trustee median income figures for Alaska are $85,817 for one earner, $112,548 for two, $112,548 for three, and $142,136 for four, adding $11,100 per additional person. At or below your household figure, you pass the first part of the means test.
Alaska's Choice of State or Federal Exemptions and the $72,900 Homestead
Alaska is one of the minority of states that did not opt out of the federal bankruptcy exemptions. Under AS 09.38.055, a debtor filing in Alaska may elect either the Alaska state exemption set or the federal 11 U.S.C. 522(d) list, but must use one system in full and cannot mix them. The Alaska state homestead under AS 09.38.010 protects $72,900 of equity in a principal residence as adjusted by Department of Law regulation, and it is not doubled for a married couple filing jointly; spouses split one homestead. Alaska exempts $4,050 of equity in one automobile under AS 09.38.020 (with a $27,000 total-value cap), $4,050 in household goods, $1,350 in jewelry, and $3,780 in professional tools and books, all periodically adjusted by regulation. Alaska has no fixed dollar wildcard, but retirement plans and IRAs are broadly protected under AS 09.38.017. If instead a debtor elects the federal set, 11 U.S.C. 522(d)(5) supplies the federal wildcard. Alaskans file in a single court: the U.S. Bankruptcy Court for the District of Alaska, which sits in Anchorage.
Relevant Laws
Alaska Homestead Exemption (AS 09.38.010)
Sets Alaska's homestead exemption for a principal residence, with the statutory base amount adjusted by Department of Law regulation to $72,900 as reflected in the District of Alaska bankruptcy court's exemption schedule. The exemption is not doubled for a married couple filing jointly.
Alaska Choice of Exemptions in Bankruptcy (AS 09.38.055)
The statute governing exemptions in an Alaska bankruptcy. Because Alaska did not opt out of the federal 522(d) list, a debtor may elect either the Alaska state exemptions or the federal exemptions, but must use one system in full and cannot combine them.
Alaska Motor Vehicle and Personal Property Exemptions (AS 09.38.020)
Exempts $4,050 of equity in one automobile (only if its total value does not exceed $27,000), $4,050 in household goods with no single item over $800, $1,350 in jewelry, $1,350 in pets, and $3,780 in professional tools and books, all periodically adjusted by regulation.
Federal Bankruptcy Code Exemptions and Means Test (11 U.S.C. 522, 707)
The federal law behind Chapter 7. Section 522(b)(2) lets a state opt out of the federal 522(d) exemptions, which Alaska has not done, so Alaska filers may elect the federal list. Section 707(b) sets the means test measured against state median income.
Regional Variances
Alaska Chapter 7 Exemption Table
Homestead
AS 09.38.010: $72,900 of equity in a principal residence, as the statutory base of $54,000 adjusted by Department of Law regulation and applied in the District of Alaska bankruptcy court's exemption schedule. Not doubled for a married couple; spouses share one exemption. Alternatively, a debtor may elect the federal homestead under 11 U.S.C. 522(d)(1).
Motor vehicle
AS 09.38.020: $4,050 of equity in one automobile, allowed only if the vehicle's total value does not exceed $27,000. A vehicle worth more than $27,000 is not protected by this exemption. Equity above $4,050 may be reachable by the trustee.
Wildcard
Alaska's state set has no fixed-dollar wildcard. A debtor who instead elects the federal set may use the 11 U.S.C. 522(d)(5) wildcard, currently $1,675 plus up to $15,800 of any unused federal homestead, for a maximum of $17,475 in any property including cash. This trade-off is a key reason to compare the two systems.
Personal property
AS 09.38.020: $4,050 in household goods, furniture, and clothing with no single item valued over $800; $1,350 in jewelry; $1,350 in pets; and $3,780 in professional tools and books. AS 09.38.025 exempts up to $500,500 in the loan value of life insurance and annuities.
Wages
AS 09.38.030, as adjusted by regulation (8 AAC 95.030), exempts $473 of weekly net earnings for a debtor who receives regular earnings. A debtor who does not receive regular earnings may instead exempt up to $1,890 in aggregate cash and other liquid assets available in a month. The Alaska Permanent Fund Dividend is exempt only to 20 percent under AS 09.38.015(a)(9).
Retirement and tools
AS 09.38.017: pension, profit-sharing, and retirement plans are broadly exempt, and IRAs are protected up to the federal aggregate cap of $1,711,975 under 11 U.S.C. 522(n). ERISA-qualified plans are excluded from the bankruptcy estate under federal law. Professional tools and books are exempt to $3,780 under AS 09.38.020.
Suggested Compliance Checklist
Confirm the current Alaska means-test median income
Before you file days after startingCheck your household size against the U.S. Trustee Alaska median income figures in effect on your filing date, since these update periodically. For cases filed on or after July 15, 2026 the figures are $85,817 for one, $112,548 for two, $112,548 for three, and $142,136 for four, adding $11,100 per additional person.
Complete the pre-filing credit counseling course
Within 180 days before filing days after startingTake an approved credit counseling course from a provider authorized for the District of Alaska and keep the certificate. You must file it with your petition. Skipping this can get your case dismissed before your debts are addressed.
Choose the Alaska or federal exemption set and value your assets
Before preparing your schedules days after startingBecause Alaska did not opt out, decide under AS 09.38.055 between the Alaska state exemptions, with the $72,900 homestead, and the federal 522(d) list, with its larger wildcard. Value your home, vehicle, and personal property so you can match assets to exemptions. You must choose one set in full.
Prepare and file your petition and schedules
Filing day days after startingFile your petition, schedules, and exemption claims in the U.S. Bankruptcy Court for the District of Alaska, the single federal bankruptcy court for the state, which sits in Anchorage. Filing triggers the automatic stay that pauses collection and garnishment.
Attend the 341 meeting and finish the debtor education course
Before discharge days after startingAttend the 341 meeting of creditors and answer the trustee's questions under oath, then complete the required post-filing financial management course and file the certificate. Both are required before the court will grant your discharge. An attorney can help with contested exemptions.
| Task | Description | Document | Days after starting |
|---|---|---|---|
| Confirm the current Alaska means-test median income | Check your household size against the U.S. Trustee Alaska median income figures in effect on your filing date, since these update periodically. For cases filed on or after July 15, 2026 the figures are $85,817 for one, $112,548 for two, $112,548 for three, and $142,136 for four, adding $11,100 per additional person. | - | Before you file |
| Complete the pre-filing credit counseling course | Take an approved credit counseling course from a provider authorized for the District of Alaska and keep the certificate. You must file it with your petition. Skipping this can get your case dismissed before your debts are addressed. | - | Within 180 days before filing |
| Choose the Alaska or federal exemption set and value your assets | Because Alaska did not opt out, decide under AS 09.38.055 between the Alaska state exemptions, with the $72,900 homestead, and the federal 522(d) list, with its larger wildcard. Value your home, vehicle, and personal property so you can match assets to exemptions. You must choose one set in full. | - | Before preparing your schedules |
| Prepare and file your petition and schedules | File your petition, schedules, and exemption claims in the U.S. Bankruptcy Court for the District of Alaska, the single federal bankruptcy court for the state, which sits in Anchorage. Filing triggers the automatic stay that pauses collection and garnishment. | - | Filing day |
| Attend the 341 meeting and finish the debtor education course | Attend the 341 meeting of creditors and answer the trustee's questions under oath, then complete the required post-filing financial management course and file the certificate. Both are required before the court will grant your discharge. An attorney can help with contested exemptions. | - | Before discharge |
Frequently Asked Questions
No. Alaska did not opt out of the federal exemptions. Under AS 09.38.055, a debtor filing bankruptcy in Alaska may take either the Alaska state exemption set or the federal 11 U.S.C. 522(d) list, but not both. You choose one system in full for the entire case, which lets you compare Alaska's homestead against the federal wildcard before deciding.
Alaska's homestead exemption under AS 09.38.010, as adjusted by Department of Law regulation, protects $72,900 of equity in your principal residence. The statutory base figure is $54,000, raised to $72,900 by regulation as reflected in the District of Alaska bankruptcy court's exemption schedule. It is not doubled for a married couple; spouses share one homestead exemption.
Alaska exempts $4,050 of equity in one automobile under AS 09.38.020, but only if the vehicle's total value does not exceed $27,000. A car worth more than $27,000 is not protected by this exemption at all, even if your equity is small. Equity above the $4,050 figure may be reachable by the trustee.
No. Chapter 7 discharges most unsecured debt like credit cards and medical bills, but it does not erase most student loans, recent income taxes, child support, or alimony, and it will not discharge debts from fraud. Secured debts like a car loan remain unless you surrender the collateral or reaffirm the loan.
Largely yes. Under AS 09.38.017, pension, profit-sharing, and retirement plans are broadly exempt in Alaska, and IRAs are protected up to the federal cap of $1,711,975 under 11 U.S.C. 522(n). An ERISA-qualified plan is excluded from the bankruptcy estate under federal law, so it does not even need to be claimed as exempt. Recent excess contributions can be treated differently.
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