What is the asset limit for EA?

• The asset limit for EA is $2,500. That means you generally must have less than $2,500 of "countable assets" to qualify for EA.
• Some families are not subject to (or automatically meet) the EA asset limit. These include:
  • Families in shelter who have saved the money required by their EA Rehousing Plans (see What is a Rehousing Plan?) and
  • EA households in which all members receive TAFDC.
• For families subject to the asset limit, some assets count and others do not.
• Assets that do count include:
  • cash on hand,
  • bank accounts you have access to,
  • the value of vehicles owned by the household except for the first $10,000 in fair market value or the first $5,000 of equity value (whichever is greater) of one vehicle,
  • the cash surrender value of life insurance and burial insurance,
  • real estate other than a home you live in unless it qualifies for a six-month exclusion because you are trying to sell it.
• Assets that do not count include:
  • the first $10,000 in fair market value or the first $5,000 of equity value (whichever is greater) of one vehicle,
  • household and personal belongings,
  • assets you do not have ready access to (such as assets tied up in court proceedings or real estate you cannot immediately sell),
  • the Earned Income Tax Credit in the month of receipt and the following month, and assets used to produce income, such as a vehicle used for self-employment,
  • up to $7,500 in relocation payments that was received by a tenant to leave a foreclosed property, DTA Transitions, Jan. 2008, p. 7, and
  • the assets of an SSI recipient or a recipient of state or federal foster care payments.

    Note:

    Assets of an SSI recipient do not count toward the EA asset limit even though the income of an SSI recipient does count toward the EA income limit. See What is the EA income limit?

• Savings required during the EA 6-month over-income period (see What is the EA income limit?) are not countable for EA.

This is not a complete list of noncountable assets. Check the regulations for a complete list. 106 C.M.R. § 309.020(F), relying on 106 C.M.R. § 204.120 -- 204.140.

Advocacy Tip

If you are in EA shelter and have saved the money required by your Rehousing Plan, you should not be terminated for going over the asset limit -- even for assets other than those savings. 106 C.M.R. § 309.020(F). Contact an advocate if you get a termination notice for being over the asset limit.