The following liquid assets are excluded in full for benefit calculation purposes:
- Those accumulated by a DEPENDENT CHILD through the child's own work, whether through vacation, part-time or weekend work.
- Those owned by a DEPENDENT CHILD, where they are administered by a tutor, a liquidator of successions or a trustee, before an accounting is rendered, and where they have been placed in a term deposit which does not allow them to be freely disposed of.
The exclusion applies only to amounts that cannot be used for the child's care and welfare. Otherwise, if the money can be used for the benefit of the child, the child is still considered to be dependent on his or her recipient parents, and the amounts in question are counted as liquid assets for the family.
- Sums from LOANS AND GRANTS, and sums from a registered education savings plan that an adult or dependent child receives as a student where, within 6 MONTHS of receipt, it is used for the purpose for which it was obtained.
Any amount used contrary to the purposes for which it was obtained or not used within the specified time is considered to be a liquid asset for the entire month of the contravention.
- The cash SURRENDER value of LIFE INSURANCE policies.
- The amounts received to pay for additional expenses related to a recipient’s participation in an employment-assistance measure or program, provided those amounts are used for the purposes for which they were obtained.
- The amount of ADVANCE payments (amount paid on the last or second last day of the month for the following month) of family allowances received under the Act respecting family benefits.
- Sums from a succession up to the amount of the debts and charges for which the adult or dependent child is liable.
- The amount of a loan taken out TO CONSOLIDATE THE DEBTS of a recipient or a member of the recipient's family or to purchase the following property:
- movables and household articles;
- an automobile to a maximum of $10,000;
- books, instruments and tools needed for employment or for a trade or craft;
- equipment adapted to the needs of an adult or dependent child with functional limitations, including a vehicle adapted for transportation that is not used for commercial gain.
- a contract for the advance arrangement of funeral services or for the advance purchase of a sepulchre.
In order for the amount of such a loan to be excluded, the following CONDITIONS must be complied with:
- the amount of the loan is deposited without delay into a separate bank account in a chartered bank or another institution legally authorized to receive deposits, such as a caisse populaire, trust company, etc.;
AND
- it is USED within 30 DAYS of its receipt for the purposes for which it was obtained.
UNSANCTIONED USE OF SUMS
The exclusion is applicable so long as the sums are used for the purposes intended and within the prescribed time period.
Sums used for unsanctioned ends or that are not used within the prescribed time period are considered liquid assets for the entire month in which they were used contrary to these provisions (see section 3.3.10).