AO-240 is the federal in forma pauperis (IFP) application. It lets a litigant proceed in federal court without paying the filing fee when they cannot afford it. The form looks short. It is not. A weak AO-240 is denied or sent back for clarification, and your client misses a filing deadline because of it.

Who can file AO-240

Any party — plaintiff, defendant, appellant — who can swear under penalty of perjury that they are unable to pay the costs. Bankruptcy is not required. Receipt of public benefits is not required. The standard is "unable to pay," not "indigent." Pro se litigants file it most often; represented parties can too.

Field-by-field walkthrough

1. Caption and case info

Match the caption to the complaint or notice of appeal exactly, including the court division. If you're filing in the Northern District of California, San Francisco division, write that exactly. Mismatches get the form bounced by the clerk.

2. Employment income

List gross monthly amounts, not net. Include side work, gig work, and seasonal employment. If your client just lost their job, list the last 12 months in the "Other" line with dates.

3. Other income

Social Security, SSI, SSDI, unemployment, child support received, alimony received, gifts. If the client receives food stamps or other in-kind benefits, list them with their cash value.

4. Cash on hand and bank balances

Including checking, savings, prepaid debit cards, and cryptocurrency. Do not omit a small balance because it feels embarrassing; omissions are the most common reason for IFP denials.

5. Assets

Real estate (with mortgage balance), vehicles (with loan balance), retirement accounts, stocks, bonds. If your client owns a home, list it with the mortgage. Owning a home does not disqualify the client from IFP; equity does.

6. Dependents

List every person the client supports, with names (or initials for minors) and the dollar amount of support.

7. Monthly expenses

Rent, utilities, food, transportation, medical, debt payments, child support paid, alimony paid, insurance. This is where many forms fall short — clients underestimate because they're embarrassed. Use the actual numbers from bank statements.

8. Debts and obligations

List every creditor, the total amount owed, the monthly payment, and whether they are in arrears.

9. Other circumstances

This is the narrative box. Explain anything that doesn't fit elsewhere: pending medical, recent layoff, eviction, asset that is unavailable (e.g., locked retirement account with early-withdrawal penalty).

10. Signature and date

Wet-ink signature unless the court accepts electronic signatures (most do via PACER). Date it the day of filing, not earlier.

What gets these denied

Inconsistencies between AO-240 and a recent affidavit elsewhere in the file.
Failure to disclose a vehicle, bank account, or cryptocurrency wallet.
Reported income that doesn't pay the reported expenses (which signals undisclosed income).
Reported expenses below the standard cost of living for the district.

What you file with it

The AO-240 itself.
A motion to proceed in forma pauperis (or use the local-form-equivalent).
A proposed order granting IFP status.
Your complaint or notice of appeal.
For prisoner litigants: a certified copy of the inmate trust account statement for the prior 6 months.

How Draftiro helps

Drop your client intake into Draftiro and ask: "Draft an AO-240 and accompanying motion to proceed in forma pauperis based on this intake. List anything that's likely to draw scrutiny from the court." The output gives you a complete form draft plus an annotated "weak spots" memo. You review it line by line — never file an AO-240 you haven't read.

Related reading: the in forma pauperis and Form AO-240 glossary entries, and how court-day math protects the filing deadline once IFP is granted.