Bankruptcy Lawyer Explains Chapter 7, Chapter 13 & Getting a Fresh Start
Bankruptcy Lawyer Career: Salary, Cases & What the Job Really Looks Like
$70K - $200K+
2/9/26
Attorney Barry Levine breaks down how bankruptcy law works and how lawyers build income in this field. he explains Chapter 7 and Chapter 13 bankruptcy, this episode offers real-world look at the work, the earning potential, and the role lawyers play in helping people get a financial fresh start including compilations with bitcoin assets.
What you’ll learn in this episode:
How to become a bankruptcy lawyer
The difference between Chapter 7 and Chapter 13
What bankruptcy attorneys actually do day to day
How lawyers get paid (per case vs salary)
How much you can earn in this field
What it takes to build a client pipeline
How much can you earn?
Bankruptcy lawyers: $90K–$150K
Experienced / partners: $200K–$300K+
Per case fees: $1K–$3.5K+
Paralegals: $50K–$75K
Income often depends on caseload—more clients, more earnings.
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FAQ
For People Considering Bankruptcy
Q: What is the difference between Chapter 7 and Chapter 13 bankruptcy? A: Chapter 7 wipes out most unsecured debt quickly (3–6 months) but may require liquidating assets. Chapter 13 lets you keep assets while repaying debts over 3–5 years through a structured plan.
Q: Will bankruptcy ruin my credit forever? A: No — Chapter 7 stays on your credit report for 10 years, Chapter 13 for 7. Most people begin rebuilding credit within 1–2 years of filing.
Q: What debts can bankruptcy actually erase? A: Credit card debt, medical bills, and personal loans can typically be discharged. Student loans, alimony, child support, and most tax debts generally cannot.
Q: How much does it cost to file for bankruptcy? A: Court filing fees run $300–$350. Attorney fees typically range from $1,500 for a simple Chapter 7 to $3,500+ for Chapter 13.
Q: Can I keep my house if I file for bankruptcy? A: Often yes — especially under Chapter 13. Chapter 7 may allow you to keep your home if you're current on payments and your equity falls within your state's exemption limit.
Q: How long does bankruptcy take? A: Chapter 7 is typically resolved in 3–6 months. Chapter 13 takes 3–5 years since it involves a repayment plan.
Q: Should I hire a bankruptcy lawyer or file on my own? A: While self-filing is possible, mistakes are costly. A bankruptcy lawyer ensures paperwork is correct, protects your assets, and significantly improves your outcome.
For People Interested in the Career
Q: How much does a bankruptcy lawyer make? A: Salaries range from $70,000 for associates at small firms to $200,000+ for experienced attorneys at larger practices or those running their own firm.
Q: Is bankruptcy law a good career? A: Yes — it's recession-proof by nature. Demand for bankruptcy lawyers actually increases during economic downturns, making it one of the more stable legal specialties.
Q: How do you become a bankruptcy lawyer? A: You need a law degree (JD), pass the bar exam, and typically gain experience at a firm handling bankruptcy cases. Some attorneys also earn a board certification in bankruptcy law.
Q: Is bankruptcy law emotionally difficult? A: It can be — clients are often stressed and financially desperate. But many bankruptcy lawyers find the work deeply rewarding since they're helping people get a genuine fresh start.
Q: What is the day-to-day life of a bankruptcy lawyer like? A: It involves meeting with distressed clients, filing court documents, attending hearings, negotiating with creditors, and guiding clients through what is often one of the hardest periods of their lives.