Page 808

West Virginia Income Maintenance Manual Chapter 5

West Virginia Income Maintenance Manual Page 82 Chapter 5 Assets

Burial Fund Example 2: A married couple purchased an irrevocable pre-need funeral trust for $20,000 from a funeral home. The director of the funeral home placed the funds in an irrevocable arrangement of $10,000 for each person. Because each irrevocable trust exceeds the $3,000 burial fund exclusion, no additional funds are excluded. The excess $7,000 in each irrevocable trust is not an asset. In addition, each has $1,500 set aside for burial. However, the $1,500 set aside for burial for each person cannot be excluded because the irrevocable burial trust meets and exceeds the maximum allowable exclusion. The couple, therefore, has countable assets of $3,000. Burial Fund Example 3: Same as example above except each person placed $10,000 in an irrevocable trust for burial purposes that do not meet the standard for a pre-need burial trust. The $3,000 maximum burial fund exclusion is excluded from the $10,000 irrevocable burial fund for each. The remaining excess $7,000 in each irrevocable trust is not an asset, because it is not accessible to him.

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Page 808

Official source

West Virginia Income Maintenance Manual Chapter 5

West Virginia Income Maintenance Manual Page 82 Chapter 5 Assets

Burial Fund Example 2: A married couple purchased an irrevocable pre-need funeral trust for $20,000 from a funeral home. The director of the funeral home placed the funds in an irrevocable arrangement of $10,000 for each person. Because each irrevocable trust exceeds the $3,000 burial fund exclusion, no additional funds are excluded. The excess $7,000 in each irrevocable trust is not an asset. In addition, each has $1,500 set aside for burial. However, the $1,500 set aside for burial for each person cannot be excluded because the irrevocable burial trust meets and exceeds the maximum allowable exclusion. The couple, therefore, has countable assets of $3,000. Burial Fund Example 3: Same as example above except each person placed $10,000 in an irrevocable trust for burial purposes that do not meet the standard for a pre-need burial trust. The $3,000 maximum burial fund exclusion is excluded from the $10,000 irrevocable burial fund for each. The remaining excess $7,000 in each irrevocable trust is not an asset, because it is not accessible to him.