Means Test

Definition from Nolo’s Plain-English Law Dictionary

In bankruptcy, a formula that uses predefined income and expense categories to determine whether a debtor whose current monthly income is higher than the median family income for his or her state should be allowed to file for bankruptcy. Generally, a means test is any evaluation of inability to pay that is necessary to qualify for public assistance or another right. (See also: current monthly income)

Definition provided by Nolo’s Plain-English Law Dictionary.