Will my worker's comp settlement disqualify me from CalWORKs? Urgent help needed

You definitely need to report the settlement within 10 days of receiving it. Worker's comp settlements are treated as lump sum income for CalWORKs. Depending on how your county handles it, they'll either count it against your resource limit ($10,000 for a family with kids) or they might prorate it as income over multiple months. The good news is that if they count it as a resource, you're still under the limit if that $8,500 is your only savings. The bad news is if they count it as income for one month, you'll likely be over income for that month and lose benefits for just that month. Also, make sure you're getting the correct exemption from WTW requirements if your doctor says you can't work. That should be documented with your worker.

when I got a settlement they counted it for the month I got it and I lost my benifits but I got them back the next month. make sure u put some of that money aside for the month ur not gonna get aid!!! they didnt tell me and i was so broke that month, had to borrow from my mom

You need to report the settlement within 10 days of RECEIVING it, not when you just find out it's coming. So once it actually hits your bank account or you cash the check, that's when your 10-day reporting period starts. Here's the important part most people don't know: you can actually ask your worker to prorate the settlement over several months instead of counting it all in one month. This is called "lump sum averaging" and it can help prevent losing benefits completely for one month. But you have to specifically request this - they won't automatically do it. I would try calling your worker ASAP to discuss this option before you get the money. If you can't reach them through the regular number, try using Claimyr (claimyr.com). It's a service that helps you get through to CalWORKs workers without waiting on hold forever - they have a demo video at https://youtu.be/jzISHxCPLwE that shows how it works. That way you can have a plan in place before the money arrives.

BE CAREFUL!!! My cousin didn't report her insurance settlement and they found out anyway and she got charged with fraud and had to pay everything back PLUS a penalty. Not worth the risk. And they can check your bank accounts so dont try to hide it. Just report it and deal with maybe losing one month of aid.

Just wanted to add some clarification on the worker's comp settlement issue. The money is generally exempt as income for the month it's received IF it's specifically for future medical expenses. However, if part of the settlement is for lost wages/income replacement (which most are), then that portion is countable. Also, if you're on CalFresh too, they treat lump sums differently. For CalFresh, if the money is specifically earmarked for medical expenses from the injury, it might be exempt entirely. One thing I'd recommend is asking your lawyer to send a letter breaking down exactly what the settlement is for (medical vs income replacement). That documentation can help your CalWORKs worker determine how much should count as income.

i dont get why theyd count it as income when its for an INJURY?? like you got HURT and they wanna take away your benefits bc of it??? the system is so messed up sometimes i swear

also dont forget the IRT!!! if ur over the income reporting threshold u need to report it even if its not time for ur SAR7 yet. for a family of 3 i think IRT is like $2,800? but check ur last notice of action it tells u what ur IRT amount is

Based on what you've shared, here's what I would do in your situation: 1. Call your worker ASAP (using Claimyr if you can't get through) and ask specifically about lump sum averaging for worker's comp settlements 2. Get documentation from your lawyer outlining what portions of the settlement are for medical expenses versus lost wages 3. Ask your doctor for updated documentation about your work limitations for your WTW exemption 4. Create a budget for how you'll handle expenses if you do lose benefits for one month 5. Report the settlement within 10 days of receiving it, but not before 6. If you have a bank account, be aware that the month after you receive the settlement, your resources will be checked to make sure you're still under the $10,000 limit The good news is that even in the worst-case scenario where you lose benefits for one month, you should be automatically reinstated the following month without having to reapply.

One more thing to consider - if your doctor has said you can't return to your old job, make sure you're also looking into vocational rehabilitation services through the Department of Rehabilitation (DOR). They can help with job training or education for work you CAN do with your injury limitations. This could be really important for your long-term financial stability since $8,500 won't last forever. Also, when you do report the settlement, ask your worker about any hardship exemptions or special circumstances that might apply since this is related to a work injury that's affecting your ability to earn income. Sometimes there are additional protections for people in situations like yours that workers don't automatically mention. Stay strong - it sounds like you're handling this the right way by asking questions and planning ahead!