There is no formula for figuring out when you should file a bankruptcy case. However, below are some indicators you may need to file for bankruptcy:

You have debt lawsuits filed (or being threatened) against you
You are paying monthly minimums on your cards and the balances are increasing
You are struggling to make the minimum payments on your cards
You are current on mortgage and car payments but not on unsecured payments
You are behind on your mortgage payments but want to catch up
You are facing foreclosure and you would like to try to keep the house
You already had a foreclosure or car repossession and have a deficiency
You are unable to keep up with a house mortgage wish to surrender it
You have a second mortgage or home equity line of credit
You are delinquent on HOA or condo fees
You are being contacted by creditors by phone
You have had one or more vehicles repossessed
You owe state or federal taxes
You have small business related debts
You are unable to make your student loan payments
Your are making student loan payments, but they are too high
You have judgments and/or judgment liens
You are more than 30 days behind on your bill payments
You are being contacted by collection agencies
Your wages or your bank account may be garnished
You have high medical bills not covered by insurance
You are facing issues with MVA registration
You owe parking tickets or other traffic violations
You have debt relating to a divorce
You do not have a substantial amount of savings
You need a fresh start

The above list is not exhaustive. There are numerous reasons for filing for bankruptcy.