Will my new financed car affect my CalWORKs eligibility during recertification?

dont worry about it. calworks has a $10,000 vehicle exemption now and they only count the equity u have in the car not the full value. so if u just got it u probably have almost no equity since most of ur payments are going to interest not principal

You definitely need to report the car, but don't panic about losing your benefits. CalWORKs has specific rules for vehicles. As the previous commenter mentioned, there's a $10,000 vehicle asset exemption for cars used for work/transportation. Beyond that, they only count your equity in the vehicle (the difference between the car's value and what you still owe on it). For example: If your car is worth $19,000 but you still owe $18,500 on the loan, your equity is only $500, which is well under the limit. On your recertification form, make sure to include both the value AND the amount you still owe. There should be sections for both. This makes it clear you don't own it outright.

I went thru this EXACT thing last year!! The eligibility worker told me they look at the "equity value" not the purchase price. Since you just got the car your equity is super low. Just be honest about everything and you'll be fine. They also told me that even if your equity was high, they don't count the first $10k of a car's value against your resource limit if you need it for work or to transport kids to school/childcare so you're double protected.

The resource limits for CalWORKs can be so frustrating! I had a similar issue when reporting my car. Make sure you list BOTH the value AND the loan amount clearly on your SAR7/recertification. They should only count the difference (your equity). One thing to watch out for - if you're doing DoorDash, make sure you're reporting that income correctly too. Self-employment income reporting is super important for CalWORKs and they'll want to see proof of your expenses too so you get the right deductions. Missing income reporting is actually more likely to cause problems than your car situation.

DONT WORRY!!! I own TWO cars on my CalWORKs case right now. One is worth about $12k (2018 Honda) and another worth about $7k (older Toyota) and I still get benefits no problem. They only care about the equity value. Also there's a $10k exemption per vehicle used for essential transportation now in California. You're totally fine as long as you're honest about everything. Just make sure you have all your loan paperwork ready in case they ask for verification. My worker never even asked to see mine but better safe than sorry!

Let me clarify something important about vehicles and CalWORKs resource limits: 1. California exempts up to $10,000 of equity value for ONE vehicle per household 2. For your situation, they calculate: Car value ($19,000) minus amount owed on the loan = your equity 3. If your equity is less than $10,000, it's fully exempt 4. If your equity is over $10,000, only the amount over $10,000 counts toward your resource limit Make sure on your recertification form you clearly indicate: - The car's value ($19,000) - The outstanding loan amount - That you use it for work transportation (DoorDash) Since you just purchased it and have only made a couple payments, your equity is likely very low, so this shouldn't affect your eligibility at all.

just tell them the truth thats what i always do. they got ways of checking stuff anyway so no point in hiding it. my worker told me they mostly care about bank accounts not cars anyway

I had a NIGHTMARE getting through to my worker when I needed to explain my car situation. Kept calling for 3 days straight and either got voicemail or disconnected. Finally I tried this service called Claimyr (claimyr.com) that got me through to a real person in about 20 minutes. They have a video showing how it works at https://youtu.be/jzISHxCPLwE - it was way better than wasting hours redialing. My worker explained exactly how to list my car and loan on the recert and it was no problem at all.

One more thing to consider - make sure your car insurance is up to date when you submit your recertification. Sometimes they ask for proof of insurance too, especially if you're using the vehicle for work purposes like DoorDash. Just have that documentation ready with your other paperwork so you don't delay the process if they request it.

I'm glad everyone's reassuring you about the car situation - they're absolutely right about the equity calculation. Just wanted to add that since you mentioned you're struggling with the monthly payments, you might want to look into whether your county has any transportation assistance programs or car repair vouchers through CalWORKs. Some counties offer help with car maintenance/repairs for people who need their vehicles for work. It's worth asking your eligibility worker about during your recertification appointment. Also, keep all your DoorDash expense receipts (gas, car maintenance, phone bill, etc.) organized - those deductions can really help lower your countable income and might even increase your benefit amount.