(Revised 10/00 ML #2629)
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"Liquid asset" is defined as any resource which can readily be converted to cash, and includes cash on hand, checking accounts, savings accounts, stocks (see 415-25-10-50), bonds, individual Indian monies, and other negotiable instruments. Note that certain large deposits designated for future living expenses may temporarily distort the liquid assets (#8).
"Liquid Assets" NOT Counted:
Cash surrender and loan values of life insurance. NOTE that if a life insurance policy is cashed in, proceeds are NOT considered income. Instead, it is treated as a conversion of an asset, and only those proceeds which have been converted to a countable asset will be counted (as an asset).
Annuities or other pension plans as long as the money remains in the pension fund (including IRA and Keogh Plans). If a retirement account is dispersed in a lump sum for reasons other than retirement, it is treated as a conversion of an asset. (See 415-25-10-30
NOTE: At the time when withdrawals can be made from an IRA, Keogh Plan, annuity, or similar instrument without a penalty (often at age 59 1/2), that instrument will be treated as a source of income. See 415-25-05-20-20, #2.
Savings resulting from earnings plus up to $250 resulting from gifts or other sources of each dependent child under age 19 who is still in elementary or high school.
The following loans held as liquid assets provided they are held in a separate account:
* Business/farm operating loans for the current operating year only
* Student loans for the current school year only
Per capita payments to Native Americans will NOT be counted indefinitely, as long as they are held in a separate account. If they are commingled with other funds, they will NOT be counted for six months from the date they are commingled, then counted as an available asset.
Payments received under the Civil Liberties Act of 1988 by American-Japanese citizens displaced during World War II. (Public Law 100-383, section 105 of Title I)
Payments received under Public Law 101-201, section 1(a) and P.L. 101-239, section 10405 regarding Agent Orange settlements.
Periodic or annual current income that exceeds a single month and is held in a liquid asset for future monthly living costs.
A maximum of $3,000 of an asset designated by the household expressly to pay for burial costs of members of the household who are age 60 and above. Such assets will be treated as follows:
Any amount in excess of $3,000 per household member (age 60 and above) will be counted as an available asset to the household.
Any withdrawal from the asset will be treated as an asset conversion. (See 415-25-10-25)
Interest accrued to the account will be considered part of the asset; interest paid to the household will be considered income. (See 25-05-20-20, #4)
The asset designated for burial purposes cannot be co-mingled with other assets.
The designated asset is NOT restricted to:
(1) Contracts with funeral homes,
(2) Specific types of financial instruments, or
(3) Instruments with financial institutions in North Dakota.
Payments received under the Aleutian and Pribilof Islands Restitution Act, Public Law 100-283, Section 206 of Title II for restitution made to Aleuts who were relocated by the U.S. government during World War II.
Payments made for major disaster and emergency assistance under the Disaster Relief and Emergency Assistance Amendments of 1988, Section 105 of Public Law 100-707 (45 USC 5141 et seq.).
Any amount necessary for the fulfillment of a Plan for Achieving Self-Support (PASS) under Title XVI of the Social Security Act (SSI) will NOT be counted as an asset to the household.
Payments made to volunteers including VISTA volunteers under the Domestic Volunteer Service Act of 1973 (42 USC 5044(9)(i)).
Payments received under Public Law 103-286, Subsection 1(a) from a foreign government for restitution made to victims of Nazi persecution.
Income acquired during a month cannot be considered as an asset in the same month.
