INFODAS.COM
January 2009 Newsletter
The Organisation for the Unemployed (ODAS-Montréal) DISHES
LEGAL INFORMATION ON LEGISLATION
FINANCIAL ASSISTANCE OF LAST RESORT (WELFARE)
This text is the ninth in a series of text documents to be produced on the new Quebec system of income support (financial assistance of last resort).
The comments do not in any way and in no way responsible for the ODAS-Montréal or of its author. This is legal information data according to legal materials available. The use of published information command caution and discernment. Therefore, it is not legal advice or legal opinions. It is strongly recommended to consult, as appropriate, a professional resource to know their rights and be able to fully exercise the undertaking, where relevant, the nature of appropriate legal steps.
Some capsules legal information on the Act on assistance to individuals and families and the Regulations on helping individuals and families (Law and Regulation on Social Assistance) which came into force on 1 January 2007.
POSSESSION OF LIQUID ASSETS AND PROPERTY AND SOCIAL SOLIDARITY PROGRAM
Legislation to fight against poverty and social exclusion provides that the government plan to fight poverty and social exclusion must propose amendments to the scheme of income support (financial assistance of last resort) in particular to enable adults and families to own property and liquid assets worth more than is allowed during the adoption of the plan action to promote self-sufficiency or to reflect the difficulties economic transition.
The government action plan on combating poverty and social exclusion plans to relax the rules for accounting of assets in the scheme of income support (financial assistance of last resort.
More Specifically, the action plan states:
much research tends to show that the possession of cash and real or personal property to a positive effect on the ability of people living in poverty to improve their financial independence . Without question the principle that a person in financial difficulty should use its own resources before calling on the collective solidarity.
The law on assisting individuals and families specifically provides that possibility in the framework of social solidarity, to adopt the Regulations on helping individuals and families, more flexible rules in For possession of property, amounts paid in pension plan assets received by inheritance;
The program of social solidarity for people traveling alone and families with severe employment constraints.
Regulations on helping individuals and families specifically provides for the program of social solidarity, that liquid assets and property values are excluded, up to an amount of $ 130,000:
Savings Vehicles retirement of the Registered Retirement Savings Plan (RRSP) is not locked (which can be cashed at any time prior to retirement age). The amount of allowable RRSP contribution is fixed in the latest notice of assessment issued by Canada Revenue Agency under the Law of Income Tax .. A lump sum for life and cumulative (not annual) $ 2000 may be paid as a contribution maximum excess if not already in use. These funds can be accumulated before or during the financial assistance of last resort. The Registered Retirement Savings (which no one can take before the retirement age is an asset whose value is wholly excluded;
Savings Plan (RESP). These funds may be accumulation in the limits of the amount imposed under the tax laws, before or during the financial assistance of last resort.
Income Fund (RRIF) (Conversion of an RRSP to receive a pension). These funds can be accumulated before or during the financial assistance of last resort.
capital comes from a grant or a loan to repair the residence or principal of a grant or a loan to start a business or create their own jobs if used in six months of its receipt for the purposes for which it was obtained.
Individual Development Account (DTA) to purchase training, an automobile of a house, or a working tool for the creation of a self-employment (maximum $ 5,000 per adult (in a family of 2 adults the exemption amount is $ 10,000). These sums must be accumulated during the financial assistance of last resort and has been authorized by the Minister Employment and Social Solidarity and be deposited in a separate account with a financial institution.
House (including the funds of land) occupied as a principal residence. It recognizes the equity in the residence (ie the value on the valuation roll, less the amount of mortgages and other real rights affecting the immovable). We consider both the conventional mortgage (eg mortgage given voluntarily by the owner of the property to ensure repayment of a loan used to finance the purchase of his house) that the mortgage law (eg resulting from a mortgage trial). According to a ministerial directive all mortgages on principal residence are subtracted from its value on the assessment roll to determine the net value of that property, even if the mortgage was not used to purchase, construction or repair (Ex: Mortgage given to secure a personal debt, even debt of another, is taken into account in determining the net value of the residence). The ministerial directive also states that it equates to a mortgage loan to the mere buying, setting up or repairing a mobile home that serves as a primary residence. In the case where the adult or family owns a building used as a residence, the exclusion of the overall price of $ 130,000 is increased to $ 1,000 per year of occupancy. For example, if a person has, as owner, residence she has held for 8 years. This person will be entitled, in addition to his exemption of $ 130,000, an additional exemption amount of $ 8,000 ($ 8ansX1000). A working farm is also included in the exemption.
Residence uninhabited due to accommodation, moving for reasons of health or safety or separation for a period of 2 years. It recognizes the equity in the residence or the value appearing on the municipal valuation less the value of mortgages and other real rights affecting the immovable.
Capital from the sale of the residence for a period 6 months, if these funds are used for the purchase or construction of a new residence. There exists an obligation to deposit funds in a separate account with a financial institution. ;
allowances received in compensation for immovable property following an expropriation, a fire or other disaster, an act of war, a terrorist or a criminal offense for a period 2 years. There exists an obligation to deposit funds in a separate account with a financial institution and use these funds for their intended purpose;
allowances paid as compensation for movable property following a fire or other disaster, an act of war, an attack or an indictable offense for a period of 90 days. There exists an obligation to deposit money in a separate account with a financial institution and use these funds for their intended purpose;
Although used in the exercise of self-employment or operation of a farm ;
liquid assets and property received as a result of a succession by an adult or a family member during the financial assistance of last resort. This means that to qualify for this exemption related to liquid assets and property from an estate, it must be admitted to the program of social solidarity. It is possible, under certain conditions, possess the property and liquid assets in the estate of an application program of social solidarity. This aspect will be discussed at the end of this text. This exemption applies to both successions (intestate or without a will) estates will or inheritance contract (marriage contract containing a gift in contemplation of death (testamentary on the last surviving spouse for spouses) . A ministerial directive recognizes that goods and liquid assets that remain the hands of the liquidator of the succession, in the process of the liquidation estate, are part of the estate of the deceased and not the legatee or heir, this ministerial directive also states that the estate is not liquidated until the heirs' have not received their full share of the inheritance. During the process of liquidation estate, the estate executor may make interim payments to heirs or legatees. These deposits are liquid assets in the month of their receipt by the legatee. This exemption also includes life insurance proceeds payable to the estate of the deceased or payable to the insured legal heirs or estate liquidator. Under the Civil Code of Quebec on this product life is part of the assets of the estate of the deceased.
Moreover, the amounts paid as a contribution under the principle of survival of the support obligation from a legal or testamentary succession is considered a product from an estate.
We do not recognize the legacy forward as the term for the rebate is not expired. According to a ministerial directive, such property or liquid assets are considered not to belong to the beneficiary until maturity the term. For example: Under the will of his father, Sir Marc Letendre, aged 20, inherited a sum of $ 100,000 that he can receive before the age of 35. For purposes of financial aid system of last resort, this money will not count, as liquid assets, or before the date Mr. Letendre may freely dispose of such money or at the age of 35 years.
mention that the property bequeathed by will and subject to a prohibition to alienate are not included in the calculation of financial assistance of last resort. For example: A will provides that the property bequeathed may be disposed of living of the legatee. He can not sell, mortgage or give the said property during his lifetime.
property bequeathed by testamentary trusts are also excluded in calculating the total financial assistance of last resort as a testamentary trust assets separate and independent of the recipient. A ministerial directive confirms that the assets and liquid assets held in trust are not part of the heritage of the recipient. The value of goods and liquid assets held in a testamentary trust may exceed therefore irrelevant, the value overall price of $ 130,000.
take advantage of this opportunity to acknowledge that during the realization of a right from an estate, the financial assistance of last resort paid is not refundable. For example: Under the will of his late mother who died in June 2008, a person admitted to the program of social solidarity has received, as heir, executor of the estate, her share in January 2009, a sum of $ 50,000. The last resort financial assistance paid since the death of his mother in June 2008, pending receipt of his inheritance in January 2009 is not refundable.
goods and liquid assets bequeathed to a minor or dependent child are major, principle, calculable in those of the family.
mention in passing that the provisions of the Act on assistance to individuals and families being of public order, they take precedence over the rules issued by the Civil Code with regard to guardianship for minor children. So we must consider exceptions, liquid assets and property of all family members even if the liquid assets and property administered by a parent in her capacity as guardian. However, assets liquid assets that a dependent child is in full owner are excluded if they are managed by an estate executor or guardian or a trustee before the rendering of accounts must be made. In the case of liquid assets, they must be a term deposit which does not dispose of freely. Moreover, according to a ministerial directive, the rules of the Civil Code of Québec regarding establishment of a guardianship for minor dependent children is required to exempt such property and liquid assets unless the limited assets justifies that measure. If you do not meet the conditions required to qualify for the specific exemption for goods and liquid assets of a dependent child, you can enjoy the flat rate exemption and $ 130,000 overall.
Also on the earnings of a dependent child from an estate, they are not in full before the option exists to provide for its maintenance. According to a ministerial directive, the exemption shall cease when the dependent child may benefit from income or require that he be given the form which allows them to contribute to its maintenance. This income is reportable.
So a dependent child who receives goods and liquid assets of an estate may be:
the partially exempt under the flat rate exemption and $ 130,000 overall enjoyed his family accepted into the social solidarity ;
Or the totally exempt under the exemption granted
specific to certain conditions.
to property and liquid assets of a dependent child if they are managed by an estate executor or guardian or a trustee before the rendering of accounts must be made
The benefits of police of life insurance received following the death of a person, as well as death benefits, if these benefits or allowances are paid as a lump sum during the financial assistance of last resort. This includes the proceeds of life insurance payable to a named beneficiary. Under the Civil Code of Quebec, the life insurance proceeds payable to a named beneficiary outside the trust estate of the deceased insured.
Property (other than a residence occupied property) with a vacant lot, a residence secondary (cottage) or an income property or a vacant residence for reasons of health or safety after the exemption period of 2 years. It recognizes the value appearing in the valuation roll, without the right to subtract the amount of mortgages and other real rights affecting the immovable. This property can be acquired before or during the financial assistance of last resort. This may also include a building acquired by inheritance and not eligible for specific exemptions relating to property received by inheritance during the financial assistance. For example: a person has inherited a building (Cottage) it does not live as a residence while she was not on the financial assistance of last resort. Another example: Following a donation by his father, a person with financial assistance of last resort admitted to the program of social solidarity has become a cottage that does not live.
is noted that this blanket exemption replaces certain specific exclusions for certain property and liquid assets which are exempted from the residence of a net worth of $ 90,000 plus $ 1,000 per year of occupation and the exemption for money invested in an RRSP is not locked, RESPs, RRIFs and CDI (individual development account) worth $ 60,000, with a total value exempt up to $ 150,000.
Individuals and families with severely limited employment accepted into the program for employment assistance under the Act respecting income support employment assistance and social solidarity have continued to benefit from these specific exemptions totaling $ 150,000 $ at the entrance of the Act on assistance to individuals and families on 1 January 2007, because they are grandfathered.
In addition to partially exclude the value of the residence and RRSPs RRIFs and RESPs and IDUs, note that this exemption overall price of $ 130,000 allows for some flexibility to exclude partially as liquid assets and property received during the financial assistance of an estate and other property property (not being received or financial aid) other than occupied residence or farm operation.
Moreover, this exemption also offers the flexibility to adjust the value of these assets and liquid assets mentioned above at its discretion without penalty up to a value of $ 130,000 plus $ 1,000 per year occupation a residence. Give two examples. For example: before the coming into force of this flat rate exemption and comprehensive, a person with severe limitations for use with only a non-locked RRSP allowed value of 60000 was unable to contribute to RRSP without an additional penalty. Moreover, even if that person had, the day of filing the application for financial assistance from non-locked RRSP an amount of $ 80,000, she was ineligible for financial assistance of last resort because it had of excess liquid assets of $ 20,000. Since the entry into force of this flat rate exemption, that person would no longer be ineligible for financial assistance of last resort because its RRSPs are worth less than the value of $ 130,000 exempt.
For example: a person with severe limitations to employment may have non-locked RRSP (which can take before the age of retirement) worth $ 65,000 and a residence occupied for 10 years of a net worth of $ 95,000 without being penalized because these goods are worth less than $ 140,000 (the exemption amount sum and total of $ 130,000 plus $ 10,000 (10 years of occupation X $ 1000 a year of occupation).
Moreover, treatment of liquid assets of a value exceeding the allowable limit of $ 130,000 is changed. Before the entry into force of this flat rate exemption and overall, any value of liquid assets in excess of the allowable limit was subtracted from the total amount of the benefit. Since the entry into force of this exemption, a penalty of 2% is applied to the excess instead of removing the excess amount in full
Individuals or families accepted into the program of Solidarity society continue to benefit from exemptions from other liquid assets or assets not replaced by the exemption of the overall price. To continue receiving these specific exemptions not replaced, it must respect the rules of their own. For example, the total exclusion of the amounts invested in Registered Retirement Savings Plan (RRSP) (which can not withdraw funds before retirement age) as of goods, continues to apply .
a levy of 2% applies to the calculation of the total value of goods and liquid assets that exceeds $ 130,000 (amount increased by $ 1,000 per year of occupancy in the case of a principal residence occupied as owner).
This exemption is specific to individuals and families with severely limited employment and admitted to the program of social solidarity. Therefore, individuals or families without severe limitations to employment recognized in social assistance program are not eligible for this exemption and flat overall.
This exemption applies to the overall price as long as the person or the family remains eligible for the program of social solidarity. However, if a change in the situation family makes it shall forthwith admitted to the welfare program, the person or family loses the benefit of that exclusion from this time (eg death or separation). However
for goods and liquid assets from an estate, the exemption ceases to apply after the first time that the property is converted into liquid assets or liquid assets are transformed into good unless it can eligible for another exemption. For example: A person admitted to the program of social solidarity inherited a building with a street value of $ 55,000. This person sells the property for a sum of $ 60,000 to buy a cottage. As the building led to a succession, the amount of $ 60,000 can qualify for the exemption of $ 130,000. Subsequently, this person uses this sum of $ 60,000 to buy a cottage. This chalet can only receive the exemption for bequests. By cons, this property can qualify for another exemption is that concerning other real estate also included in the flat rate exemption and $ 130,000 overall.
To qualify for this exemption on goods and liquid assets from an estate, the law does not require the formalities specific as opening a separate account with a financial institution or a trust account.
Nevertheless, it may be wise to place money from an estate in a separate account to be able to demonstrate.
It is essential to contact the financial aid officer to file, within one month of receiving the money and property from an estate or money from an allowance of life or death to advise him of the situation and to provide documentation that the act of sharing of the estate and the check of the estate.
If the amount of liquid assets from an estate is less than or equal to the value of exempt and permitted, and he can spend at its discretion without having to justify to the Department of Employment and social solidarity.
In the case of liquid assets in excess of the permitted value from an estate, the usual rules regarding the treatment of liquid assets apply. It is possible, within one month of receiving the capital of the estate and before the last day of this month to spend with Just consider these excess liquid assets, for example, buying furniture, food.
The specific exclusion related to the benefit of a life insurance death benefits and continuing to apply the first time that the benefits or allowances are turned into property.
The law specifically provides that the general exclusion from basic liquid assets for individuals admitted to the program of social solidarity or $ 2,500 for families in the amount of $ 5,000 does not apply to property included exemption in the overall price of $ 130,000. In other words, the law forbids to combine the specific exemption of $ 130,000 and the exemption for basic liquid assets.
SUMMARY OF EXEMPTION OF THE OVERALL PRICE $ 130,000 ONGOING FUNDING
This exemption permits to own property and liquid assets following a value of $ 130,000:
House (in the case of a house occupied by the person or family for financial assistance of last resort an additional $ 1,000 per year of tenure is added to the exemption
Registered Retirement Savings Plan (RRSP)
Income Fund (RRIF)
Savings Plan (RESP)
Individual Development Account (DTA)
Individual Development Account allows, under certain conditions, accumulate in the course of using financial sums of money to purchase training, car, house or a working tool for creating self-employment (up to the maximum sum of $ 5000 per adult (so if 2 adults in the family, this amount can reach $ 10,000).
Capital from the sale of a residence
liquid assets and property derived an estate received during the financial support (ie money received from an inheritance). This includes the proceeds of life insurance payable to the estate.
Allowances or death benefits or life insurance. This includes the proceeds of a life insurance payable to a named beneficiary.
This exclusion applies to individuals or families receive a claim slip (drug card) due to a deficit drug. This exclusion continues to apply the first time that the property is converted into liquid assets or liquid assets that are processed goods.
This exclusion continues, under financial assistance of last resort, to apply as long as the adult or family remains eligible for the program of social solidarity.
This exclusion may also apply under certain conditions, when filing an application for financial assistance of last resort.
Property (other than a family residence property) with a vacant, second home (cottage) or an income property.
CASE STUDY # 1
Éric Lapointe admitted to the program of social solidarity has the following liquid assets and assets : A Registered Retirement Savings Plan (RRSP) is not locked to a value of $ 40,000, an individual development account in the amount of $ 5,000, a vacant lot worth $ 15,000, received an inheritance During financial assistance amounting to $ 50,000. The vacant land was not acquired with the proceeds of the estate.
Mr. Lapointe will he be penalized?
No, these goods and liquid assets worth a total of $ 110,000 is included in property and liquid assets included in the exemption the overall price of $ 130,000 for individuals and families admitted to the program social solidarity.
CASE STUDY # 2
Louise Lafortune was admitted to the program of social solidarity. His father died a few months ago. In his will he bequeathed all his property to his daughter Louise, and he appoints his brother Marcel estate liquidator with full powers to administer and settle his estate. After doing all the legal requirements, the liquidator of the succession gave Louise a sum of $ 110,000. It owns no other property value.
Louise Will it penalized? In addition, Louise will she repaid the funding of last resort received during the period where she was awaiting the completion of his right from the estate of his father?
Louise will not be penalized because the sum of $ 110,000 received from the estate in an amount less than the exemption of the overall price of $ 130,000 including the property and liquid assets from an estate received during financial assistance.
Moreover, the financial assistance of last resort given to Louise since the date of death of his father until the receipt of his inheritance is not refundable.
CASE # 3 PRATQUE
Louise Lamarche admitted to the program of social solidarity has the goods and liquid assets: a Registered Retirement Savings Plan (RRSP) is not locked to a value of $ 25,000, an Individual Development Account valued at $ 2,500, an inheritance received during the financial aid comprising an amount of $ 45,000 and $ 45,000 for a cottage, and a Registered Education Savings Plan (RESP) worth $ 12,500. Ms. Lamarche does not live his cottage. Ms. Lamarche
Will it penalized?
No, these goods and liquid assets worth of $ 130,000 is included in the exemption the overall price of $ 130,000 for individuals and families admitted to the program of social solidarity.
CASE STUDY # 4
Ms. Labonte owns a nice residence in the countryside on the edge of a lake, she has held for 8 years, the value (including land) according to the municipal assessment is $ 135,000. To acquire residence, Ms. Labonte had taken out a mortgage with a balance in this day, is $ 20,000. To secure the repayment of a personal loan contracted by his son with the Bank, Mrs Labonte has agreed to a deed of mortgage bond worth $ 10,000. Currently, Ms. Labonte with severe limitations to employment, he receives an allowance of solidarity under the program of social solidarity. Ms. Labonte owns no other property or liquid assets.
Mrs. Will it penalized?
No, because the equity in his residence at $ 105,000 it occupies less than the exemption of the overall price of $ 138,000 that the law grants him as a person admitted to the program of social solidarity. Indeed, the exemption of the overall price of $ 130,000 is increased an additional amount of $ 8,000 ($ 8ansX1000).
The net value of the residence is determined as follows:
Municipal evaluation
$ 135,000 Less capital
balance of the mortgage ($ 20,000)
Mortgage Bond Amount ($ 10,000)
Net $ 105,000
CASE STUDY # 5
Mrs. Little with severe limitations to employment and admitted to the program of social solidarity received during the financial assistance from the estate liquidator in charge of administering the estate its late mother, a sum of $ 75,000. She owns a house, she has held for 15 years, with a net worth of $ 80,000 (municipal evaluation of $ 105,000 minus the outstanding principal balance of the mortgage of $ 25,000). It also has an amount of $ 2,500 in his bank account. This money does not come from inheritance.
Mrs. Little will she penalized?
YES. The amount of the residence ($ 80,000) and the amount of the estate ($ 75,000) received during the financial assistance worth a total of $ 155,000, it is a value in excess of the block exemption and sum of $ 145,000 (base amount of the exemption of the overall price of $ 130,000 plus an additional amount of $ 15,000 (15 years X $ 1,000 per year of occupancy).
In addition, the Act expressly prohibits for both this flat rate exemption and comprehensive with the exemption given to basic goods and liquid assets on the basis of exemption granted to property ($ 1,500 for single persons with or without severe limitations to employment and $ 2,500 for families with or without severe limitations to employment) and liquid assets ($ 2,500 for single people who severe limitations to employment or $ 5,000 for families with severely limited employment).
A penalty of 2% applies on the excess value of $ 10,000. A sum of $ 200.00 will be deducted from the monthly benefit (2% x $ 10,000). To avoid or reduce the financial penalty, it is possible to spend with due consideration during the month of receipt of the liquid assets, the excess amount, before the last day of the month, either by buying essential goods (eg food, clothing, furniture) or the payment of such debts or for the repair and maintenance of the residence .. It is wise to keep the vouchers or invoices or other documents showing how this amount was spent and to provide his financial agent of last resort.
mention that Mrs. Little may retain the amount of $ 2,500 deposited in his bank account without being penalized because the money does not come from inheritance and can benefit from the exemption of $ 2,500 based on of liquid assets given to individuals with severe limitations to employment.
CASE STUDY # 6
By notarial deed of gift, Mr. John Lacourse has transferred his lifetime ownership of a cottage, worth $ 65,000 to his son, Martin. Martin was admitted to the program of social solidarity and has no assets of value.
Martin will he be penalized? If
Martin decided to live in this cottage as a residence, it will not be penalized because of its value because it can benefit from the exemption of the overall price of $ 130,000.
If Martin decides not to live in this cottage, it will not be penalized because this building not used as a residence may benefit exemption as property included in the exemption the overall price of $ 130,000.
CASE STUDY # 7
Renee has received following the death of his uncle, ABC Inc., a check for $ 25,000, as designated beneficiary in the insurance policy life of his uncle. Renee admitted to the program of social solidarity has no assets of value.
Renee Will it penalized?
Renee will not be penalized because the proceeds of a life insurance payable to a beneficiary qualifies for the exemption of the overall price of $ 130,000.
CASE STUDY # 8
As a family, Louise Labonte, unrestricted employment and Marc Lariviere, with severe limitations to employment, was admitted to the program of social solidarity. Ongoing financial assistance, Ms. Labonte received in 2008, a legacy of a sum of $ 30,000. The family owns no other property or liquid assets. This liquid assets from an estate ranging from the flat rate exemption and $ 130,000 overall, he is relieved in full. In January 2009, Mr. Lariviere died. This family will
she penalized?
Following the death of Mr. Lariviere, Ms. Labonte continues to be accepted into the social solidarity as a family for 3 months following the death of a spouse with severe limitations to employment. It continues to benefit from the exemption of the overall price of $ 130,000 including the property and liquid assets received by inheritance outstanding financial aid until May 2009.
As of this date (May 2009), as an adult without constraint to employment, Ms. Labonte could be called to the aid program social because it has liquid assets not eligible for the exemption of the overall price of $ 130,000.
CASE STUDY # 9
Following the death of his father, Sir Martin Labonté, under the rules of succession law, received a sum of $ 10,000, as payment of maintenance.
Sums paid by way of financial contribution, under the principle of survival of the support obligation from a legal or testamentary succession are considered to be liquid. Aid paid between the date of death and that of receipt financial contribution is not refundable. This financial contribution is considered a product of the estate.
CASE # 10
A minor dependent child inherits a sum of $ 50,000 under the will of his grandfather. Hypothesis # 1
The estate liquidator appointed in the will has the power to administer part of the minor until his majority.
The family of a dependent child eligible for the program of social solidarity will she penalized? We assume that the exemption is $ 130,000 aggregate already used.
No, if the estate liquidator with powers to administer the majority of the minor dependent child that has invested money in the form of a term deposit that does not dispose freely . So until the dependent child does not have access to money in whole or in part, there is no impact. Hypothesis # 2
The estate liquidator remits the legacy of the sum of $ 50,000 to the guardian of the minor child. This amount was deposited in a separate account in trust in a financial institution.
The family of a dependent child eligible for the program of social solidarity will she penalized? We assume that the overall $ 130,000 exemption is already in use.
No, if the guardian to administer the said sum of money invested in a term deposit that does not dispose of freely. We assume that the formalities prescribed under the Civil Code relating to guardianship have been met.
EXCLUSIONLORS AN APPLICATION FOR FINANCIAL ASSISTANCE OF LAST RESORT
A person or family with a severely for use when filing an application for financial assistance of last resort, in the framework of social solidarity, can benefit from the exemption and standard global value of $ 130,000 including RRSPs, RRIFs RESP, real estate, whose house and assets and property from an estate and the benefits or death benefits or life insurance.
In cases where the independent adult or family owns a building used as a residence, the exclusion of the overall price is $ 130,000 plus $ 1,000 per year of occupation.
In the case of possession of property and liquid assets from an estate, a ministerial directive dealing with the initial allocation, when filing an application for financial assistance of last resort 3 summarizes the conditions for receiving exemption of the overall price. These conditions are:
-the person is assessed according to the criteria of the program of social solidarity;
AND
she has received a benefit of last resort financial assistance or the book-medication (ASM-2) in the six (6) months preceding the application;
AND
-bequest was received or when she was a recipient of financial assistance of last resort or she received the book-Drug (MA-2);
Therefore, these liquid assets and property from an estate can be excluded, provided that they were received during the six months preceding the application for financial assistance of last resort and that such person has been a provider of financial assistance program of last or has received the claim slip. However, for goods and liquid assets from an estate, the exemption ceases to apply after the first time that the goods are processed in liquid assets or liquid assets are transformed into good unless it can qualify for another exemption.
Moreover, the ministerial directive specifies that when the bequest is received after the date of application for financial assistance under the program of social solidarity, the agent checks if the applicant has qualified for a benefit month demand. If yes, liquid assets and assets can qualify for the exemption of the overall price.
As for benefits or death benefits or life insurance, they can be excluded when applying financial assistance of last resort, in the framework of social solidarity, it must meet three conditions:
-the person is assessed according to the criteria of the program of social solidarity;
AND
she has received a benefit financial assistance of last resort or the book-medication (ASM-2) during the six (6) months preceding the application;
AND
-compensation or benefits of a life or death when or she was a recipient of financial assistance of last resort or she received the book-Drug (MA-2);
CASE STUDY # 11
In January 2009, Mr. Louis Lamouche with serious and permanent health has filed an application for financial assistance of last resort, in the framework of social solidarity. He has, since October 2008, a sum of $ 95,000 he received following the death of his mother, as an heir. Upon receipt of this sum, he received the claim slip (drug card) of the Department of Employment and Social Solidarity of Quebec.
Mr. Lamouche will he be penalized?
Mr. Lamouche will not be penalized because the money from an estate is part of liquid assets and property included in the exemption the overall price of $ 130,000 and that the inheritance was received during the last six months, when he received a book claim (drug card) of the Department of Employment and Social Solidarity.
CASE STUDY # 12
Lise Lapointe filed January 10, 2009, an application for financial assistance of last resort, in the framework of social solidarity. Following the filing of this application for financial assistance, the estate liquidator in charge of settling the estate her late father gave him, January 25, 2009, his inheritance, a sum of $ 25,000. It owns no other property or liquid assets.
In the event that she is accepted into the Social Solidarity, Ms. Lapointe will she penalized?
No, because the date of admission to the program of social solidarity is retroactive to the date of filing the application for financial assistance, she was already admitted into the program of social solidarity at the time of receipt of his legacy.
CASE STUDY # 13
A family (2 adults without dependent children) admitted to Social Solidarity Programme has the liquid assets and property include: Bank account
$ 3500 (balance of the last day of the month)
Registered Retirement Savings $ 25,000
individual development account (money held for the purchase of a recognized training
and authorized by the Minister) $ 5000
family house occupied for 10 years by the families will
(mortgage free) $ 60,000
Inheritance (following the death of the father of the
a spouse $ 40,000
product of a life insurance payable to
one of the spouses (following the death of his mother) $ 15,000 $ 8,500 Automotive
This family will she penalized?
This family can keep their savings deposited in his bank account in the amount of $ 3,500 without being penalized because she is entitled to an exemption of $ 5,000 (the last day of the month).
This family may have a value of $ 130,000 (plus $ 1,000 per year of occupancy if the owner of a house) the property and liquid assets in RRSPs, RESPs, CDI and inheritance and compensation for a life insurance policy.
In our case the family has:
Registered Retirement Savings Account $ 25,000
individual development (money held for the purchase of a recognized training
and authorized by the Minister) $ 5000
Family House occupied for 10 years by the families will
(mortgage free) $ 60,000
Inheritance (following the death of the father of one of the spouses
$ 40,000 Proceeds from life insurance payable to a spouse
( following the death of his mother) $ 15,000 TOTAL $ 145,000
PERMITTED UNDER VALUE ($ 140,000)
($ 130,000 PLUS $ 10,000 (10 years of occupation MAISONX
$ 1,000)
EXCESS VALUE AT $ 5000 DEDUCT
PENALTY ON THE CHEQUE
$ 100.00 ($ 5,000 x 2%)
This family with a car worth $ 8500, is worth less than that authorized $ 10,000, this family will not be penalized.
FREE LEGAL CLINIC
Legal Clinic UQAM
209, rue Sainte-Catherine
East Montreal (Quebec), Canada
Tel: (514) 987-6760 Local
V-R530
free and confidential service
www.cliniquejuridique.uqam.ca
Legal Information Clinic of Mc Gill University Centre William Shatner
3480, Mc Tavish
McGill University Tel: (514) 398-6792
No appointment necessary
Monday to Friday from 9 am to 17 pm (this schedule is subject to change during exam periods and summer).
free and confidential service
Young Bar Association of Montreal
Program Legal Information: I
I talk to my lawyer for youth aged between 12 and 20 years
the Montreal area.
Tel: (514) 954-3446
Wednesday between 16 h and 18 h
Service free, confidential consultation
Application must be completed on the website
Legal Advisory Services to Small Claims Court
Young Bar Association of Montreal
Free service by appointment only
At Courthouse Montreal
Tel: (514) 954-3487
Childcare criminal
Quebec Bar
Service consultation with a lawyer if
arrest 7days on 7 and 24 hours on 24
Tel: (514) 954 - 3444
Communication Center customer
Ministry of Justice of Quebec
Tel: 1-866-536-5140 Email
: Informations@justice.gouv.qc.ca
Legal Information Services of the House of Notaries of Quebec
Tel: 514-NOTAIRE or 1-800-NOTAIRE
DID YOU KNOW?
We want to remind you that the United Nations Assistance Unemployed (ODAS-Montréal) offer free to people on welfare as well as speakers and networking professionals institutional and community service information line on Quebec's system of income support (welfare).
This service is available Monday through Thursday from 9: 30 am to 12 pm and 13 pm to 15 pm 30.
At this service complements the individual meetings. For this service, simply make an appointment with Madame Claire Bouchard (tel: (514) 932-3926).
WEBSITE AND BLOG
Our organization has a website whose address is: www.cam.org/ ˘ odas http://odas-montreal.blogspot.com/:Sur and a blog site and this blog, there are various texts and documents dealing with administrative and legal aspects of the system of income support in Quebec.
Please visit our website and our blog.
Design and Drafting: Omer Coupal
Sent by fax / mail: Hector Theriault
Omer Coupal
Computer Assistance: Claire Bouchard
Since its founding in 1985, the Organisation for the Unemployed (ODAS-Montréal) is an independent community that assist people on welfare in the community, the West Island of Montreal.
The ODAS-Montréal is an organization administered and managed by persons duly elected by universal suffrage of our members in general meeting.
The ODAS-Montréal maintains close links with the resources and significant institutional and community settings with local community service centers (CLSC), churches and support groups and solidarity.
The ODAS-Montréal is a member of the Common Front of welfare recipients in Quebec.
The ODAS-Montréal is an agency funded by United Way of Greater Montreal, the Secretariat for independent community action and social initiatives in Quebec and various religious communities.
