Chapter 13 bankruptcy is a process that's designed to provide financial room and time for a debtor to get their situation under control. You and your attorney, though, will be required to file a plan that explains to the court and your creditors how you intend to accomplish this. Let's take a look at four key details that are required in a plan.

Information About Ongoing Expenses

The biggest concern a judge will have about your plan is whether you're actually going to be able to honor it. That means the court will want to see information about your utility bills, taxes, household expenses like food and other obligations. If it's clear that you don't have the resources to pay in accordance with the plan, you may be encouraged to skip restructuring and go straight to a Chapter 7 liquidation of all your assets.

Previous Tax Returns

Not only will the court want to see your last year's tax return, but they'll also want evidence that you've paid your taxes for the last four years. If you have an outstanding tax bill, this should be presented to the court. Be aware, though, that tax bills can't be discharged or restructured under Chapter 13 bankruptcy law.

A Timeframe

Most plans submitted to bankruptcy courts last for between three and five years. Presuming a debtor has paid on time, every time in accordance with the plan, any remaining debts at the end of the period will likely be discharged. While creditors usually take a bit of a haircut in return for getting anything, the trustee appointed by the court will want to see you've made your best effort to pay as much as possible.

Full Documentation of Debts

This one is more for your benefit than for the court or your creditors. If you don't include an outstanding debt obligation in your filings, that obligation isn't included in the bankruptcy. That means it will be a fully pursuable debt that the creditor can demand to be paid. The court is extremely reluctant to allow multiple filings within a few years of each other so you should be 100% sure that every debt you owe is included in your petition.

If you're not sure what you owe, contact your creditors and get hard numbers from them. Ask them to send you a bill in writing, but don't make any payment arrangements or discuss the matter further.