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What happens if you run out of money before the lump sum time is up?


DTA made a number of changes and suspended a number of rules during the COVID-19 pandemic. The Guide notes in red when a rule was suspended during the pandemic.

Produced by Deborah Harris and Betsy Gwin, Massachusetts Law Reform Institute
Reviewed December 2022

You can get your lump sum period of ineligibility recalculated only if

Advocacy Reminders:

  • Recalculation does not necessarily mean that you can get back on assistance right away. Because the lump sum rules are so complicated and because the consequences of spending your lump sum on disallowed expenses are so severe, it is important to check the rules before you get the money, whenever possible. If a lawyer is representing you in a lawsuit that may bring you money, make sure the lawyer is familiar with the lump sum rules before trial or settlement of the case. Do not rely on oral information from your case worker about how you can spend a lump sum.
  • The standard of need increases in September when the clothing allowance is paid. See How much income can you have and still get TAFDC? If your period of ineligibility includes September, you might be able to get it recalculated using the higher standard of need. Email [email protected] for more information.

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