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West Virginia Income Maintenance Manual Chapter 5

West Virginia Income Maintenance Manual Page 90 Chapter 5 Assets

➢ When Penalty Periods Would Overlap? When assets have been transferred in amounts and/or frequency that would make the calculated penalty periods overlap, add together the value of all assets transferred, and divide by 100% FPL for the AG size. This produces a single penalty period that begins on the first day of the month in which the first transfer was made. Penalty Calculation Example: An individual transfers $10,000 in January, $10,000 in February, and $10,000 in March. Calculated individually, based on a 100% FPL of $1,111 a month, the penalty for the first transfer is from January through September, the second is from February through October, and the third is from March through November. Because these periods overlap, the Worker must calculate the penalty periods by adding the transfers together (a total of $30,000) and dividing by the FPL ($1,111). The penalty period is 27 months, beginning in January. ➢ When Penalty Periods Would Not Overlap? When multiple transfers are made in such a way that the penalty periods for each would not overlap, the Worker must treat each transfer as a separate event, with its own penalty period. All penalties for transferred assets run consecutively. 5.7.2.F.3 Who Is Affected by the Penalty? The WV WORKS AG is affected by any transfer described above when any AG member, disqualified individual or any entity acting on behalf of, or at the discretion of, a member or a disqualified individual transfers an asset. When the AG splits into two or more groups, the remaining penalty period is divided equally between the adults included in the WV WORKS benefit. A recording in each affected case must specifically explain the division of the penalty period.