§ 26-2-111 — Additional exemptions - Certain benefit payments - Awards - Tools of trade - Health care aids - Child support obligations

In addition to the property exempt under § 26-2-103 , the following shall be exempt from execution, seizure or attachment in the hands or possession of any person who is a bona fide citizen permanently residing in this state: (1) The debtor's right to receive: (A) A social security benefit, unemployment compensation, a Families First program benefit or a local public assistance benefit; (B) A veterans' benefit; (C) A disability, illness, or unemployment benefit, or a pension that vests as a result of disability; (D) (i) To the same extent that earnings are exempt pursuant to § 26-2-106 , a payment under a stock bonus, pension, profitsharing, annuity, or similar plan or contract on account of death, age, or length of service, where such payments are not exempted under § 26-2-105 , unless: (a) Such plan or contract was established by or under the auspices of an insider that employed the debtor at the time that the debtor's rights under such plan or contract arose; (b) Such payment is on account of age or length of service; and (c) Such plan or contract does not qualify under §§ 401(a) , 403(a) , 403(b) , 408 , 408A , or 409 of the Internal Revenue Code of 1954 ( 26 U.S.C. §§ 401(a) , 403(a) , 403(b) , 408 , 408A or 409 ); (ii) The assets of the fund or plan from which any such payments are made, or are to be made, are exempt only to the extent that the debtor has no right or option to receive them except as monthly or other periodic payments beginning at or after age fifty-eight (58). Assets of such funds or plans are not exempt if the debtor may, at the debtor's option, prior to age fifty-eight (58), accelerate payment so as to receive payment in a lump sum or in periodic payments over a period of sixty (60) months or less; (iii) No part of this section removes the subpoena prohibition found in § 26-2-105(b) for plans qualified under §§ 401(a) , 403(a) , 403(b) , 408 , 408A , or 409 of the Internal Revenue Code ( 26 U.S.C. §§ 401(a) , 403(a) , 403(b) , 408 , 408A , or 409 ). No part of this section makes plan payments or assets of plans qualified under §§ 401(a) , 403(a) , 403(b) , 408 , 408A , or 409 of the Internal Revenue Code ( 26 U.S.C. §§ 401(a) , 403(a) , 403(b) , 408 , 408A , or 409 ) available to creditors unless otherwise available pursuant to the exemption exceptions found in § 26-2-105 ; (E) Alimony to the extent that payment becomes due more than thirty (30) days after the debtor asserts a claim to such exemption in any judicial proceeding; and (F) Child support payments to the extent that payment becomes due more than thirty (30) days after the debtor asserts a claim to such exemption in any judicial proceeding; (2) The debtor's right not to exceed in the aggregate fifteen thousand dollars ($15,000) to receive or property that is traceable to: (A) An award not to exceed five thousand dollars ($5,000) under a crime victim's reparation law; (B) A payment, not to exceed seven thousand five hundred dollars ($7,500) on account of personal bodily injury, not including pain and suffering or compensation for actual pecuniary loss, of the debtor or an individual of whom the debtor is a dependent; or (C) A payment not to exceed ten thousand dollars ($10,000) on account of the wrongful death of an individual of whom the debtor was a dependent; (3) A payment in compensation of loss of future earnings of the debtor or an individual of whom the debtor is or was a dependent, to the extent reasonably necessary for the support of the debtor and any dependent of the debtor; (4) The debtor's aggregate interest, not to exceed one thousand nine hundred dollars ($1,900) in value in any implements, professional books, or tools of the trade of the debtor or the trade of a dependent of the debtor; (5) Professionally prescribed health care aids for the debtor or a dependent of the debtor; and (6) Liquid assets, stocks or bonds, to the extent of the amount of any obligations owed by the debtor pursuant to any final court order or judgment for child support. The exemption shall be effective as of the date such exemption is claimed by the debtor or by an intervening representative of the child or children to whom such support is owed. Further, this exemption is only valid if such assets are immediately deposited into court by the debtor or immediately executed upon, seized or attached on behalf of the child or children for the partial or full satisfaction of child support obligations.

Legislative History

Amended by 2024 Tenn. Acts, ch. 833,s 3, eff. 5/1/2024. Amended by 2024 Tenn. Acts, ch. 833,s 2, eff. 5/1/2024. Amended by 2024 Tenn. Acts, ch. 833,s 1, eff. 5/1/2024. Acts 1980, ch. 919, § 3; T.C.A., § 26-217; Acts 1994, ch. 880, §§ 1, 2; 1996, ch. 932, § 1; 1999, ch. 103, § 1; 2001, ch. 260, § 2.