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For Licensed Insolvency Trustees

OSB Surplus Income Calculator

Calculate surplus income payments under OSB Directive 11R2-2024. Includes family unit size thresholds, joint filer apportionment, non-discretionary expense deductions, and full bankruptcy/proposal payment estimates.

Last updated: 2026-04-23

Save 2+ hours — extract these numbers automatically

Upload any bank statement PDF and get clean Excel/CSV in seconds.

Includes the debtor + dependents in the household.

Number of debtors filing
Bankruptcy filing history
$

Combined take-home pay after tax, CPP, EI deductions for all household earners.

Non-discretionary expenses (allowable deductions)Click to expand/collapse
$
$
$
$
$
$

Surplus income calculation

Per OSB Directive 11R2-2024

Monthly net income
$4,500.00
− Non-discretionary expenses
−$0.00
= Adjusted net income
$4,500.00
− Threshold (family of 1)
−$2,503.00
= Surplus income
$1,997.00
Monthly payment to estate
$998.50

50% of surplus income

Bankruptcy duration
21 months

Extended (surplus ≥ $200)

Total payment in bankruptcy
$20,968.50

$998.50 × 21 months

Consumer proposal floor

A consumer proposal must offer creditors at least as much as bankruptcy. Typical proposal range:

$23,065.00 – $27,259.00

10–30% above the bankruptcy total — the LIT structures the actual offer.

Estimate only. Final calculation requires verified income documents, full assessment of allowable expenses, and case-specific judgment from a Licensed Insolvency Trustee. Use this tool for client conversations and preliminary planning.

Cut bankruptcy file intake time in half

OSB requires 6+ months of bank statements per file. StatementsToExcel converts those PDFs into clean Excel/CSV in seconds — ready for categorization and budget analysis.

How this calculator works

The calculation follows the OSB’s prescribed sequence:

  1. Total monthly net income across all household earners (after tax, CPP, EI).
  2. Subtract non-discretionary expenses — child/spousal support, childcare, medical, court fines, and employment-related costs.
  3. Compare to the family-size threshold from Directive 11R2-2024. Excess is “surplus income.”
  4. 50% of surplus is the monthly payment to the estate.
  5. Multiply by duration — 9 or 21 months for first-time, 24 or 36 months for second-time filers (extended duration applies once monthly surplus exceeds $200).

For consumer proposals, this bankruptcy total is the floor — proposals are typically pitched 10–30% above it to give creditors a meaningful improvement over what bankruptcy would deliver.

Source & methodology

Thresholds per Office of the Superintendent of Bankruptcy, Directive No. 11R2-2024 (effective February 9, 2024). Calculator is a planning tool — final surplus income determination requires LIT review of verified income, expenses, and family unit composition.

Frequently Asked Questions

What is surplus income?
Surplus income is the amount a debtor earns above the OSB-published monthly thresholds. The Bankruptcy and Insolvency Act requires the debtor to pay 50% of their surplus income to the estate, which is then distributed to creditors. The thresholds depend on family unit size and are updated annually by the Office of the Superintendent of Bankruptcy.
Which directive does this calculator use?
This calculator uses OSB Directive 11R2-2024 — the Superintendent's Standard for Determining Surplus Income, effective February 9, 2024. The OSB updates these thresholds every February. We update this tool when a new directive is published.
How is the bankruptcy duration determined?
For first-time filers: 9 months if no surplus income, 21 months if surplus exceeds $200/month. For second-time filers: 24 months without surplus, 36 months with surplus. The calculator applies the right duration automatically based on your inputs.
What counts as a non-discretionary expense?
Allowable deductions before calculating surplus include: child support paid, spousal support paid, childcare costs to enable employment, medical/health expenses, court-ordered fines, and expenses required to earn employment income (specialized clothing, tools, etc.). The LIT verifies these against documentation.
How are joint filings (couple) handled?
When two debtors file jointly, the family unit threshold is apportioned based on each debtor's share of household income. This calculator uses a simplified 50/50 apportionment. For an exact case, the LIT will use the income-share method per OSB guidance.
How do I get the categorized monthly expense data for the consumer proposal budget?
OSB requires 6+ months of bank statement review for a consumer proposal or bankruptcy file. Manually categorizing transactions takes hours per file. StatementsToExcel converts the debtor's bank statements (CIBC, RBC, BMO, Scotiabank, TD, and more) into clean Excel/CSV in seconds — categorization-ready. Many LIT firms use it to cut intake time per file.

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