*** The Health Care Programs Manual (HCPM) has been replaced by the Minnesota Health Care Programs Eligibility Policy Manual (EPM) as of June 1, 2016. Please refer to the EPM for current health care program policy information. ***
Effective: March 1, 2009 |
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20.20 - Conversion of Assets |
Archived: June 1, 2016 |
The sale, exchange or replacement of assets is called a conversion of assets. Conversion of an asset to another form is not counted as income for any health care program. This is true even if the conversion is from an excluded asset. A conversion of assets includes, but is not limited to:
l Cash received from the sale of the client's property or assets. The cash is not counted as income, regardless of whether the asset was excluded.
Example:
An enrollee receives $3,000 from the sale of his car.
Action:
Do not consider this money as income because the $3,000 proceeds from the sale of the car was converted to cash, an asset.
l Money withdrawn from savings accounts or other liquid assets. Do not count this money as income because this is a conversion of an asset.
Example:
A household withdraws $300 each month from a savings account and uses it to pay rent.
Action:
Do not count this money as income. The household is spending an asset.
Note: Continue to count interest and dividends earned on the asset as income, even if it is immediately withdrawn.
l Reverse mortgages.
Promissory Notes, Contracts for Deed and Other Property Agreements.
Asset Assessment Determination.