a) The value of
nonexempt assets shall be considered in determining eligibility only if a
household is not categorically eligible (see Section
121.76).
b) Value of Nonexempt Assets
1) The value of nonexempt assets is the
equity value (fair market value less the amount owed), except for prepaid
funeral agreements valued over $1500.
2) The Department considers the following
assets in determining eligibility:
A) Liquid
Assets
i) Liquid assets are those properties
in the form of cash or other financial instruments that are convertible to
cash, such as, but not limited to, cash on hand, money, in checking or savings
accounts, credit union accounts, savings certificates, stocks or bonds,
lump-sum payments, prepaid funeral agreements, and cash prize lottery or
gambling winnings of $4,500 or more (before taxes or amounts are withheld) won
in a single game.
ii) Exempt any
retirement funds in a plan, contract, or account, described in sections
401(a),
403(a),
403(b),
408,
408A,
457(b), and
501(c)(18) of the Internal
Revenue Code of 1986 and the value of funds in a Federal Thrift Savings Plan
account as provided in section
8439 of title 5, United States Code. Exempt any
funds in a qualified tuition program described in section
529 of the Internal Revenue Code of 1986 or
in a Coverdell education savings account under section 530 of that Code. Exempt
any funds and earnings from an Achieving a Better Life Experience (ABLE)
account.
B) Nonliquid
Assets
Nonliquid assets are those properties that are not in the
form of cash or other financial instruments, such as personal property,
licensed vehicles, unlicensed vehicles, buildings, land, recreational
properties, and any other property not specifically exempted in Section
121.58.
C) Assets of Sponsors of Aliens
Consider the assets of the sponsor and the sponsor's spouse
who sponsored an alien on or after February 1, 1983 (7 CFR
272.1(g)(54) (2012)) in
accordance with Section
121.55.
D) Prepaid Funeral Agreements
The value of prepaid funeral agreements over $1500 per person
is considered.
