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What are bankruptcy exemptions in Wisconsin?

Federal & State Law Editorial TeamLast reviewed: 2026-05-02

Wisconsin allows debtors to choose between state and federal exemptions, with moderate state amounts.

1. Choice Between State and Federal

Wisconsin did not opt out. Debtors may choose state exemptions (Wis. Stat. § 815.18) or federal exemptions (11 U.S.C. § 522(d)).

2. Wisconsin Homestead — Wis. Stat. § 815.20

  • $75,000 equity for individuals.
  • $150,000 for married couples filing jointly.

    • Moderate compared to neighboring states; not adjusted for inflation.

    3. Wildcard — Wis. Stat. § 815.18(3)(k)

  • $5,000 in any personal property (excluding tools of trade and motor vehicle).

    • 4. Motor Vehicle — Wis. Stat. § 815.18(3)(g)

  • $4,000 equity in one motor vehicle.
  • May add up to $9,000 of unused $5,000 wildcard + part of $5,000 personal property exemption if needed.

    • 5. Personal Property — Wis. Stat. § 815.18(3)(d)

  • Household goods, furniture, appliances, books, jewelry, clothing: $12,000 aggregate.
  • Burial property: $5,000.

    • 6. Tools of Trade — Wis. Stat. § 815.18(3)(b)

  • $15,000.

    • 7. Wages — Wis. Stat. § 815.18(3)(h)

    75% of disposable earnings exempt; 80% if supporting dependents (more generous than CCPA).

    8. Retirement Accounts — Wis. Stat. § 815.18(3)(j)

  • ERISA plans, IRAs, Roth IRAs: fully exempt to extent reasonably necessary for support.

    • 9. Insurance

  • Life insurance proceeds — Wis. Stat. § 815.18(3)(i): full proceeds + $4,000 cash value + 75% of unmatured policy.
  • Annuity — § 815.18(3)(j): up to $5,000.

    • 10. Public Benefits — Wis. Stat. § 815.18(3)(d)

    Social Security, unemployment, workers' comp, veterans', public assistance — fully exempt.

    11. Personal Injury Proceeds — Wis. Stat. § 815.18(3)(i)(d)

    Compensation for personal injury — $50,000 exempt.

    12. Federal Exemption Comparison — 11 U.S.C. § 522(d)

  • Federal homestead: $27,900 — much less than WI state for homeowners.
  • Federal wildcard: $1,475 + up to $13,950 unused homestead = $15,425. WI state has $5,000 — federal wildcard better for renters.

    • 13. Marital Property State

    Wisconsin is a community property state (Marital Property Act, Wis. Stat. ch. 766). Marital property held jointly may be entirely subject to creditor claims of either spouse — different from common-law tenancy by the entirety.

    14. Domicile Requirement

    730-day rule under 11 U.S.C. § 522(b)(3).

    15. Joint Filers

    Both spouses must use the same system — cannot mix.

    This is legal information, not legal advice.

    When to Talk to a Lawyer
    • You're a renter and need to evaluate whether federal exemptions' larger wildcard is better
    • Your IRA balance is large and you need to argue 'reasonably necessary for support'
    • You need help navigating Wisconsin's community property complications
    Related Statutes & Laws
    • Wis. Stat. § 815.18
    • Wis. Stat. § 815.20
    • Wis. Stat. § 815.18(3)(j)
    • Wis. Stat. ch. 766

    This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.