CMI ain't about crime scenes, yellow tape or forensic gobbledygook. It's Current Monthly Income. Which isn't about currency. CMI is an average of your past monthly gross income. The applicable period for computing that average is the six months prior to the month of your bankruptcy filing. CMI is what determines presumptive eligibility to file a chapter 7 bankruptcy. A presumption is not conclusive. It is a default position that can be rebutted. But in this case, usually the presumption holds. Relative to your household size, if your CMI is below the state gross income, then you presumptively (more easily) qualify for a chapter 7. If your CMI is above the median, you can still qualify for a 7, but that requires more blogging, so we'll leave it to another day.

So how does this CMI income test work?

Say, Sookie, the industrious barmaid wishes to file a chapter 7. Her income isn't static: sometimes there's overtime, sometimes there ain't. Sometimes tips are good, sometimes it seems Tipping might really be a city in China. Based upon her bar work, Sookie's CMI comes out to $4000, which is below the February 2010 median income in her California burg (for a household of 1). However, Sookie sometimes moonlights as a special consultant to Sheriff Eric. At those times, she might make one-time yields of $1,000. Though, she can't hold her breath for when those times will come. Now, if Sookie had just one such date with Eric within 6 mos. of filing, she'd find herself above the median and not presumptively qualified to do a chapter 7. However, if six months pass without such work, then she'd remain below the median. Timing is key. So, what if Sookie's consulting picks up and becomes a regular gig? Well, that's step 2 and that's for another day.