CalWORKs Policy - Department of Public Social Services

property/resource limit.
See FS 63-501.1 Resource Determination for
more information.
CW 42-221 – Transferring
Property
Is there a period of ineligibility when an
applicant transfers property to qualify for
aid?
No, the transfer of property rules does not apply
to applicant families.
Can a participant sell or give away property?
Yes, the receipt of CalWORKs does not limit or
restrict a participant’s right to give, receive, sell,
exchange or change the form of property.
See Sanctions/Penalties/POI for LEADER
procedures.
Does a Period of Ineligibility (POI) exist
when property is sold, transferred or given
away for less than fair market value (FMV)?
Yes, a POI is applied when the participant/AU
gives away or transfers, for less than FMV,
nonexcluded property (including cash) to
become eligible for cash aid.
How is the POI determined when the
participant sold the property for less than
the FMV?
The POI is computed based on the amount that
is added to other countable property and
exceeds the property limit if the property had
been transferred at the FMV.
EXAMPLE
While on aid, a participant/AU of two persons
inherits a parcel of real property with a FMV of
$1,400. The value of this inherited property,
when added to other ($l,400) countable
property held by the AU, causes the AU to
exceed the allowable property limit. The AU
sells the parcel for $100 ($1,300 less than the
FMV).
FMV of the parcel of real property $1,400