If you file bankruptcy in Georgia, you cannot choose the federal bankruptcy exemptions. Georgia is an "opt-out" state, meaning state law (O.C.G.A. § 44-13-100) forces residents to use Georgia's own exemption list rather than the federal set found in 11 U.S.C. § 522(d). Under that Georgia statute, you can protect up to $21,500 of equity in your home, up to $5,000 of equity in a motor vehicle, and a flexible wildcard of $1,200 plus any unused portion of the homestead exemption up to $10,000. These figures, set by the Georgia General Assembly, are the heart of what you get to keep, and they are the same whether you file Chapter 7 or Chapter 13.
Georgia Requires State Exemptions, Not Federal
Federal bankruptcy law gives states a choice: let debtors pick either the federal exemption scheme or the state scheme, or require the state scheme only. Georgia, like most Southern states, has opted out. O.C.G.A. § 44-13-100(b) expressly bars Georgia residents from using the federal exemptions listed in 11 U.S.C. § 522(d). So when a Georgia filer fills out Schedule C, the property-claimed-as-exempt form, they must cite Georgia statutes.
One important federal carve-out survives: tax-exempt retirement accounts such as 401(k)s, 403(b)s, and most IRAs are protected under federal bankruptcy law (11 U.S.C. § 522(b)(3)(C) and § 522(n)) regardless of the state opt-out. Georgia law (O.C.G.A. § 44-13-100(a)(2.1)) also protects qualified retirement funds. In practice, your retirement savings are generally safe in a Georgia bankruptcy.
Who counts as a "Georgia" filer matters. Federal venue and the 730-day domicile rule in 11 U.S.C. § 522(b)(3) determine which state's exemptions apply. If you moved to Georgia recently, the court may require you to use the exemptions of the state where you lived during the earlier look-back period. Anyone who relocated within the last two years should confirm which state's rules govern before filing.
The Homestead Exemption
Georgia's homestead exemption protects up to $21,500 of equity in real or personal property that you or a dependent use as a residence, including a co-op (O.C.G.A. § 44-13-100(a)(1)). Equity means the home's value minus what you still owe on the mortgage. If your house is worth $200,000 and you owe $185,000, your $15,000 of equity is fully covered.
For married couples who file a joint bankruptcy, each spouse may claim the exemption on jointly owned property, so a couple can shield up to $43,000 of home equity. This doubling is a meaningful advantage in Georgia, where home values have risen sharply in the Atlanta metro and coastal areas.
If you do not own a home, or have little equity in it, the homestead exemption is not wasted. Up to $10,000 of any unused homestead amount can be redirected to protect other property through the wildcard provision, described below. This is one of the most useful features of Georgia's scheme for renters.
The Motor Vehicle Exemption
You may exempt up to $5,000 of equity in one or more motor vehicles under O.C.G.A. § 44-13-100(a)(3). As with the home, equity is the car's value minus any outstanding loan. A paid-off car worth $4,500 is fully protected; a financed car you are upside-down on has no equity and so needs no exemption to keep, as long as you stay current and reaffirm or keep paying the loan.
Spouses filing jointly can each claim the vehicle exemption, allowing up to $10,000 of combined vehicle equity to be shielded. If your car's equity exceeds the available exemption, you can usually apply the wildcard to cover the gap.
Personal Property and the Wildcard
Georgia protects a range of everyday belongings, each with its own cap under O.C.G.A. § 44-13-100(a):
- Household goods, furnishings, clothing, appliances, books, animals, crops, and musical instruments: up to $300 per item, with a total cap of $5,000.
- Jewelry: up to $500.
- Tools, books, and implements of your trade: up to $1,500.
- Health aids: professionally prescribed health aids are fully exempt.
- Wildcard: up to $1,200 of any property, plus up to $10,000 of any unused homestead exemption.
The wildcard is the most flexible tool in the Georgia statute. Because you can stack the base $1,200 with up to $10,000 of unused homestead, a debtor with no home equity can protect as much as $11,200 of cash, a tax refund, a bank balance, or extra vehicle or household value. This is often what lets filers keep a savings cushion or a second vehicle.