Assets 430-05-45

 

Types of Assets 430-05-45-05

(Revised 01/01/04 ML2893)

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In determining the assets of a household, the following must be included and documented in detail.

 

Assets of a categorically eligible household are not counted but must be documented and verified if questionable.

 

Liquid Assets

Types of liquid assets include but are not limited to the following:

• Cash on hand.

• Money in checking or savings accounts.

• Stocks or bonds.

• Lump sum payments (counted as assets in the month in which they are received unless excluded by Federal law).

• Individual retirement accounts (IRAs).

• Keogh plans which do not involve the household member in a contractual relationship with individuals who are not household members.

• Simplified Employer Pension Plans (SEPs)

 

To arrive at the countable cash value for any account or plan that applies penalties for early withdrawals, subtract the amount of the penalty (if any) from the value of the account or plan.

 

If the account or plan has been used as collateral or if a lien has been placed on the account or plan, only the equity value available is counted.

 

Money in a checking or savings account must not be counted as income and as an asset in the same month. Workers must exclude any current month's income deposited in a checking or savings account.

 

If a check has been written and sent to the payee, even if it has not yet been cashed, the money is not available for other purposes and is deducted from the account balance. The check register is used as verification of outstanding checks.

 

Non-Liquid Assets

Types of non-liquid assets include but are not limited to the following:

• Personal property

• Licensed and unlicensed vehicles

• Buildings

• Land

• Recreational properties

 

The value of non-exempt assets (except for licensed vehicles not used for income producing purposes) is the equity value. The equity value is the fair market value less the amount owed.