Hawaii Bankruptcy Exemptions — What You Keep
What property you can protect when filing for bankruptcy in Hawaii — homestead, personal property, vehicle, wage, and retirement exemptions.
Hawaii's exemption system
Hawaii requires use of state exemptions only — federal bankruptcy exemptions under §11 U.S.C. § 522(d) are not available. This means the specific Hawaii exemption amounts below control what you can protect.
Key Hawaii exemptions
Homestead
$30,000 ($20,000 if not head of household); automatic — no declaration required. Applies to real property used as the debtor's principal residence. Head of household or persons over age 65 may claim $30,000. This protects equity in your primary residence — if your home equity is within this limit, you keep the house in bankruptcy.
Personal property §651-121
Necessary household furnishings, appliances, books, and wearing apparel (no dollar limit); jewelry, watches, and items of personal adornment up to an aggregate $1,000. This covers household goods, furnishings, clothing, and everyday personal items.
Vehicle §651-121
$2,575 in equity. This protects equity in your car — meaning the value of the vehicle minus what you owe on it.
Wages §652-1
95% of the first $100/month; 90% of earnings between $100–$200/month; 80% over $200/month. This applies to wages already earned but not yet paid at the time of filing.
Retirement accounts §651-124
ERISA-qualified plans, IRAs, and Hawaii Employees' Retirement System (ERS) are fully exempt. Retirement accounts receive strong protection in bankruptcy — both under state law and federal law §29 U.S.C. § 1056 (ERISA).
Tools of trade §651-121
$1,000 in tools, implements, and books of trade. This protects the equipment you need to earn a living.
Hawaii exemption comparison
| Homestead | Personal property | Wildcard | |
|---|---|---|---|
| What it protects | Equity in your primary residence §11 U.S.C. § 522 | Household goods, furnishings, clothing §11 U.S.C. § 522 | Any property not covered by other exemptions §11 U.S.C. § 522 |
| Hawaii limit | $30,000 ($20,000 if not head of household); automatic — no declaration required | Necessary household furnishings, appliances, books, and wearing apparel (no dollar limit); jewelry, watches, and items of personal adornment up to an aggregate $1,000 §651-121 | Not available |
| Key limitation | Primary residence only — not investment property §11 U.S.C. § 522 | Individual item and aggregate caps may apply §11 U.S.C. § 522 | Total cap across all wildcard-claimed property §11 U.S.C. § 522 |
| Strategic value | Can be the largest exemption | Protects everyday necessities | Fills gaps left by specific exemptions |
How exemptions affect chapter choice
- In Chapter 7, non-exempt property can be liquidated by the trustee. High exemptions mean you keep more.
- In Chapter 13, the "best interests of creditors" test means your plan must pay unsecured creditors at least what they would have received if non-exempt assets were liquidated in Chapter 7. Higher exemptions can reduce your required plan payment.
Common exemption planning considerations
- Is your home equity within the homestead limit, or does it exceed the cap?
- Do you have a vehicle loan that reduces your equity below the exemption?
- Are there assets that could be reclassified or converted to exempt form before filing?
- Would waiting to file change the exemption calculation (e.g., recent large deposit, bonus, tax refund)?
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Frequently Asked Questions
General answers to common questions. Specific outcomes depend on your facts and timing.
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Related guides
- Necessary household furnishings, appliances, books, and wearing apparel (no dollar limit); jewelry, watches, and items of personal adornment up to an aggregate $1,000
- 95% of the first $100/month; 90% of earnings between $100–$200/month; 80% over $200/month