Food Stamps, officially known as the Supplemental Nutrition Assistance Program (SNAP), help people with low incomes buy food. To get Food Stamps, you need to meet certain requirements. One of these is having a limited amount of “countable assets.” Assets are things you own that have value, like money in a bank account or a car. This essay will explain what countable assets are for Food Stamps and what is not counted.
What Are Countable Assets?
Countable assets are resources that the Food Stamp program considers when deciding if you qualify for benefits. These are things you own that can be converted into cash to pay for food. The limit on how much you can have in countable assets varies based on state and household size. It’s important to check with your local SNAP office for the exact amounts in your area.
Here’s a general overview of what usually gets counted:
- Cash in a bank account: Checking and savings accounts are usually counted.
- Stocks and bonds: Investments that can be quickly sold for money are assets.
- Land and buildings (other than your home): Properties not used as your primary residence are considered assets.
- Vehicles (beyond certain limits): The value of a car may be considered, especially if it’s worth a lot of money.
The program looks at what you have on the day they check your eligibility. It doesn’t always care about what you had in the past. This helps them determine if you have enough financial resources to meet your food needs without assistance.
Keep in mind that these rules can be complex, and some states may have exceptions or different rules.
Cash and Bank Accounts
Cash is, well, cash! This includes actual bills and coins you have on hand. The same goes for money in your checking and savings accounts. The SNAP program wants to know how much liquid money you have available. This means assets you can easily use.
Banks will provide a statement, or information, detailing your current balance. The SNAP office will use that information to determine your countable cash. There may be a limit on how much money you can have in these accounts and still qualify for food stamps. If your balance exceeds this limit, you may be deemed ineligible.
- Checking Accounts: Money available for everyday expenses.
- Savings Accounts: Money kept for future needs.
- Certificates of Deposit (CDs): Though they may have penalties for early withdrawal, they are still seen as an asset.
- Money Market Accounts: Similar to savings, these usually offer higher interest rates.
Keep in mind that if you receive any money from outside sources, like a relative, these funds might be included.
Stocks, Bonds, and Other Investments
Stocks, bonds, and other investments are usually considered assets because you can sell them for cash. The value of your investment portfolio is assessed by the SNAP office. This assessment helps determine if you meet the eligibility requirements for food stamps.
Investments that can easily be sold are counted. Things like mutual funds and exchange-traded funds (ETFs) are also assessed. The current market value of these investments will be used to determine their worth.
- Stocks: Shares of ownership in a company.
- Bonds: Loans to a government or corporation.
- Mutual Funds: A collection of stocks and bonds managed by a professional.
- Retirement Accounts: Some retirement accounts are not considered assets in certain situations, but it’s best to check with the local SNAP office for specific rules.
Sometimes, there might be exceptions. For example, some retirement accounts might not be counted as assets. It really depends on state and local rules, so it is always important to ask.
Land and Buildings (Not Your Home)
If you own land or buildings, these can be counted as assets. The value of the land or building is assessed, and if it’s worth a significant amount, it could impact your eligibility for food stamps. This includes things like a second home, rental properties, or undeveloped land.
The assessed value is determined by an appraisal, or estimate of what the property is worth. The SNAP office will consider the current market value. You may have to provide information to show proof of ownership and market value.
- Vacant Lots: Undeveloped land that can be sold.
- Rental Properties: Buildings used for income.
- Second Homes: Properties you don’t live in full-time.
- Commercial Buildings: Buildings used for business.
If you are selling a property, but have not yet received funds, there may be some exemptions for a limited time.
Vehicles
Vehicles, or cars, are a bit trickier. Generally, one vehicle is often exempt from being counted as an asset. It is assumed you need a car for transportation. However, if you own a very expensive car, or multiple vehicles, the SNAP program might consider the value of your vehicle. This is to determine if you have an excess of assets.
The program generally looks at the fair market value of the vehicle. This is how much the car would be worth if you sold it. They consider vehicles with a high market value to be assets.
| Vehicle Type | Asset Consideration |
|---|---|
| One primary vehicle | Often exempt |
| Additional vehicles (beyond one) | May be counted, depending on value |
| Vehicles with high market value | May be counted |
The rules are often based on a vehicle’s fair market value, but vary.
What Assets Are Usually NOT Counted
While there are many things the SNAP program does count, there are also many things that are not usually included when determining your eligibility. For instance, your primary home is not typically counted. SNAP recognizes that you need a place to live.
Other things that are usually not counted are household items, like furniture and appliances. Wedding rings and other jewelry that can’t be easily converted into cash are also usually excluded. There are also usually exemptions for certain items that you might own.
- Your primary home: Where you live.
- Household items: Furniture, appliances, etc.
- Personal property: Clothing, jewelry (with some limits).
- Certain retirement accounts: Rules vary by state and account type.
It is extremely important to provide the SNAP office with the correct information. This guarantees that you get the correct benefits.
Reporting Changes
If your asset levels change, it is important to report these changes to the Food Stamp office. They will want to be kept up to date on any of your asset changes, like a new investment, a car purchase, or changes in your bank account balances.
Not reporting changes could result in a loss of benefits or penalties. You need to be truthful. They need to know your financial situation to determine if you still qualify for food assistance.
- Changes in bank account balances: Report increases or decreases.
- New investments: Adding to your portfolio.
- Vehicle purchases: Buy a car? Let them know.
- Sale of assets: If you sell something, let them know.
By keeping the agency informed, you ensure you’re receiving the correct assistance. The SNAP office will have forms that you can fill out.
Always check with your local SNAP office or your state’s guidelines for the most up-to-date and specific information. They can give you a full list of what is and is not counted in your specific area.