What money in my bank account is protected from creditors in Michigan?

1. Federal Floor. Social Security, SSI, SSDI, VA, federal pensions, and OPM annuities are protected under 42 U.S.C. § 407 and 38 U.S.C. § 5301. The 31 C.F.R. Part 212 two-month rule provides automatic bank-level protection.

2. State Wild-Card / Cash Exemption. Michigan has no general cash wild card. MCL § 600.6023 personal-property exemptions are item-specific (household goods, tools of trade, motor vehicle to $4,000) and do not cover bank cash directly. Inflation-adjusted amounts are updated triennially.

3. Other Source-Specific Exemptions. MCL § 600.6023(1)(f) public assistance; § 421.30 unemployment; § 418.821 workers' comp; § 600.6023(1)(g) crime-victim comp; child support, alimony, fraternal benefits, and 60% of head-of-household wages under § 600.5311 are exempt.

4. Retirement Accounts. MCL § 600.6023(1)(k) and (l) broadly exempt IRAs, 401(k)s, 403(b)s, Roth IRAs, ERISA plans; § 600.6023(1)(j) protects pensions of public employees.

5. Joint Accounts. Michigan strongly recognizes tenancy by the entireties for personalty when so titled; entireties bank accounts of spouses are exempt from one spouse's individual creditors (DeYoung v. Mesler).

6. Claim of Exemption Process. MCR 3.101(K): writ of garnishment served on bank; debtor must file objection within 14 days; hearing scheduled within 21 days.

7. Burden of Proof. Debtor must prove exempt source or entireties character.

8. Penalty for Wrongful Garnishment. Garnishee liable to debtor for damages, including attorney fees, for wrongful processing.

9. Bankruptcy Interplay. Michigan allows election of state or federal exemptions; Chapter 7 reaches non-exempt cash.

This is legal information, not legal advice.