Exempt
Exempt

EXEMPT PROPERTY

In Arizona, a debtor against whom a judgment has been rendered is able to keep certain personal and real property, preventing the Sheriff from seizing and selling the property to pay off the judgment.  Likewise, an Arizona resident is allowed to keep certain personal and real property if the person files a petition in bankruptcy. The property which a person is allowed to keep is known as “exempt” property.

Some exemptions are automatic, and some must be properly asserted in order to be recognized.  Years ago, a “homestead declaration” had to be properly prepared and recorded in order to be valid.  Now, the homestead exemption is automatic, but only under certain circumstances.  You may find a chart of exemptions here.  Also, here is another chart showing Arizona exemptions:

ITEM

EXEMPTION

Reference (A.R.S.)
HOMESTEAD

 

Real property; an apartment or mobile home you occupy, up to $150,000 in value; sale proceeds exempt 18 months after sale or until new home purchased, whichever occurs first  

33-1101

Arises by operation of law, but if multiple properties owned, may be required to designate 33-1102
PERSONAL PROPERTY

husband and wife may double all personal property exemptions

2 beds and living room chair per person; 1 dresser, table, lamp, bedding per bed; kitchen table; dining room table and 4 chairs (1 more per person); living room carpet or rug; couch; 3 lamps; 3 coffee or end tables; pictures, paintings, drawings created by debtor; family portraits; refrigerator; stove; TV, radio or stereo; alarm clock; washer; dryer; vacuum cleaner to $4,000 total  33-1123
Bank deposit up to $150 in one account 33-1126(A)(8)
Bible; bicycle; sewing machine; typewriter; burial plot; rifle, pistol or shotgun to $500 total 33-1125
Books to up to $250; clothing up to $500; wedding and engagement rings up to $1,000; watch up to $100; pets, horses, milk cows and poultry up to $500; musical instrument up to $250; prostheses, including wheelchair  

33-1125

Food and fuel to last 6 months 33-1124
Motor vehicle up to $1,500 ($4,000, if disabled) 33-1125(8)
Prepaid rent or security deposit to up $1,000 or 1-1/2 times your rent, whichever is less, in lieu of homestead 33-1126(D)
Proceeds for sold or damaged exempt property 33-1126 (A)(5), (7)
INSURANCE Fraternal benefit society benefits 20-881
Group life insurance policy or proceeds 20-1132
Health, accident or disability benefits 33-1126(A)(3)
Life insurance cash value up to $1,000 per dependent ($25,000 total) (husband and wife may double) 33-1126 \(A)(3)
Life insurance cash value up to $2,000 per dependent ($10,000 total) 20-1131(D)
Life insurance proceeds up to $20,000 if beneficiary is spouse or child (husband and wife may double) 33-1126(A)(1)
MISC. Minor child’s earnings, unless debt is for child 33-1126(A)(2)
Property of business partnership 29-225
PENSIONS Board of regents members 15-1628(I)
ERISA-qualified benefits deposited more than 120 days before filing bankruptcy 33-1126(B)
IRAs In re Herrscher, 121 B.R. 29 (D. Ariz. 1990)
Firefighters 9-968
Police officers 9-931
Public safety personnel 38-850(C)
Rangers 41-955
State employees 38-762
PUBLIC BENEFITS Unemployment compensation 23-783
Welfare benefits 46-208
Workers’ compensation 23-1068
TOOLS OF TRADE Arms, uniforms and accouterments you are required to keep 33-1130(3)
Farm machinery, utensils, seed, instrument of husbandry, feed, grain and animals upto $2,500 total (husband and wife may double) 33-1130(2)
Teaching aids of teacher 33-1127
Tools, equipment, instruments and books (except vehicle driven to work) up to $2,500 33-1130(1)
WAGES Minimum 75% of earned but unpaid wages, pension payments; bankruptcy judge may authorize more for low-income debtors