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I TANF TANF TANF TANF TANF TANF TANF TANF SNAP SNAP SNAP SNAP SNAP SNAP SNAP SNAP 549 RETIREMENT ACCOUNTS A retirement account is one in which an employee and/or the employer contributes money intended to provide for retirement. The amount of money in a retirement account, which is not an IRA or Keogh plan, is exempt even if accessible with a penalty. The money remains exempt until withdrawn from the retirement account. If a monthly retirement check is received, count it as income in the month received. If the total amount is withdrawn in a lump sum, it is counted as a resource beginning the month received. 549.1 Individual Retirement Accounts (IRAs) An individual retirement account (IRA) is an account to which an individual contributes an amount of money to supplement retirement income (regardless of participation in a group retirement plan). If an excluded type of plan is rolled over into an IRA, the cash value loses its exclusion and becomes a countable resource after roll-over. Note: Simplified Employer Pension Plans (SEPs) are considered IRAs by banks and the IRS, and are countable as a resource. Count money in an IRA as a resource, even if there Exempt money in an IRA plan as a resource even is a penalty for early withdrawal. Deduct the early if it is accessible with a penalty. withdrawal penalty and count the remainder as a resource. 549.2 Keogh Plans A Keogh plan is an individual retirement account for a self-employed individual. Count money in a non-exempt Keogh plan as a Exempt money in a Keogh plan as a resource even resource, even if there is a penalty for early if it is accessible with a penalty. withdrawal. Deduct the early withdrawal penalty and count the remainder as a resource. Exception: Do not count Keogh plans as a resource if there is a contractual withdrawal agreement with other people who are not household members but share the same fund. Consider this resource inaccessible. Division of Welfare and Supportive Services Eligibility and Payments Manual RESOURCES MTL 06/24 Nov 24 RETIREMENT ACCOUNTS A-549