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Additional Chapter 7 Trustee Payments Suspended for FY 2022

The Department of Justice (DOJ) has advised the Administrative Office of the U.S. Courts that it has insufficient funds available to transfer to the Judiciary to make additional payments to eligible chapter 7 bankruptcy trustees for fiscal year 2022. Trustees interested in receiving the additional payments for fiscal year 2023 should still file payment eligibility certifications.

The Bankruptcy Administration Improvement Act of 2020 (BAIA) established an additional payment for eligible chapter 7 trustees for fiscal years 2021 to 2026. The payments are funded by excess collections in the DOJ’s U.S. Trustee System Fund. Eligible chapter 7 trustees received an additional payment of $60 for each applicable case in fiscal year 2021. However, the DOJ has indicated that it lacks sufficient funds for the additional payment in applicable fiscal year 2022 cases. 

Amounts available for payment to chapter 7 trustees are determined annually based on the available balance in the U.S. Trustee System Fund, and by the case count of new chapter 7 filings and cases converted to chapter 7 during a fiscal year.

Visit the Bankruptcy Administration Improvement Act Chapter 7 Trustee Payments page for additional information about the payment process, regulations, and eligibility requirements.

Sign up to receive notification annually on payment information for future fiscal years.