Transfer of Funds

Overview

Assets are Non-countable for Categorically Eligible Households

The transfer of assets rules will be applied to any household which contains a member disqualified

from receiving SNAP benefits due to:

• a failure to comply with the SNAP Work Program
• a disqualification for Intentional Program Violation (IPV)
• receipt of multiple SNAP benefits
• trading SNAP benefits, being a fleeing felon or voluntary quit

In addition the transfer of funds rules will be applied to any household that contains a non-SSI elder household with income in excess of the 200% Categorical Eligibility Gross Income Standards.

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Transfers Resulting in Disqualification

At the time of application, households must provide information regarding any assets that a household member has transferred within the three-month period immediately preceding the date of application.

Households that have transferred assets knowingly in the three-month period prior to application, or knowingly transferred assets after certification, for the purpose of qualifying for or attempting to qualify for SNAP benefits will be disqualified from participation in the program for up to one year from the date of the discovery of the transfer.

ExampleExampleThe household acquires assets after being certified and then transfers them to prevent the household from exceeding the maximum asset eligibility limit. 

When action is taken to disqualify a currently certified household, advance notice of adverse action and the right to continued benefits pending a hearing decision must be provided to the household. The notice must also include the reasons for and length of the disqualification.

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Transfers Not Resulting in Disqualification

Eligibility for SNAP will not be affected by a transfer of assets in the following cases:

• the asset would not otherwise affect eligibility ExampleExampleExcluded personal property such as furniture or money that, when added to other countable household assets, was less than the allowable limits at the time of transfer. 
• the assets are sold or traded at or near fair market value
• the assets are transferred between members of the same household; and
• the assets are transferred for reasons other than qualifying or attempting to qualify for SNAP benefits ExampleExampleA parent placing funds in an educational trust fund. 

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Period of Disqualification

The length of the disqualification period is based on the amount by which the countable transferred asset, when added to other countable assets, exceeds the allowable asset limit.

The following chart will be used to determine the period of disqualification:

Amount in Excess of the Asset Limit	Period of Disqualification
$0.00 to 249.99	1 Month
$250.00 to 999.99	3 Months
$1,000.00 to 2,999.99	6 Months
$3,000.00 to 4,999.99	9 Months
$5,000.00 and up	12 Months

ExampleExample