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HomeWelfare and Institutions CodeDiv. 7Ch. 2Art. 4§ 7281 Patient Deposit Fund Rules

§ 7281 Patient Deposit Fund Rules

Welfare and Institutions Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 7281 Patient Deposit Fund Rules

Key Takeaways

  • •If you're in a state hospital or care home, any money you have will be kept safe in a special fund called the 'patients’ personal deposit fund'.
  • •If you have more than $500 in this fund, the extra money can be used to pay for your care, food, and medical needs while you're there.
  • •After you pass away, any money left in your fund (after paying for your burial) can also be used to cover your care costs.
  • •You can use up to $500 from your fund to buy personal things or pay for your burial expenses.

Example

If John is staying in a state care home and has $700 in his personal deposit fund, $200 of that money can be used to pay for his care and medical needs.

The care home can use the extra money above $500 to help take care of John while he's there.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 7281 Patient Deposit Fund Rules

There is at each institution under the jurisdiction of the State Department of State Hospitals and at each institution under the jurisdiction of the State Department of Developmental Services, a fund known as the patients’ personal deposit fund. Any funds coming into the possession of the superintendent, belonging to any patient in that institution, shall be deposited in the name of that patient in the patients’ personal deposit fund, except that if a guardian or conservator of the estate is appointed for the patient then the guardian or conservator shall have the right to demand and receive the funds. Only for patients at an institution under the jurisdiction of the State Department of Developmental Services, whenever the sum belonging to any one patient, deposited in the patients’ personal deposit fund, exceeds the sum of five hundred dollars ($500), the excess may be applied to the payment of the care, support, maintenance, and medical attention of the patient. After the death of the patient, any sum remaining in the patient’s personal deposit account in excess of burial costs may be applied for payment of care, support, maintenance, and medical attention. Any of the funds belonging to a patient deposited in the patients’ personal deposit fund may be used for the purchase of personal incidentals for the patient or may be applied in an amount not exceeding five hundred dollars ($500) to the payment of the patient’s burial expenses. (Amended by Stats. 2022, Ch. 47, Sec. 64. (SB 184) Effective June 30, 2022.)

Last verified: January 23, 2026

Key Terms

patients’ personal deposit fundinstitutionpossessionmedicalhospitalportdeathjurisdiction

Related Statutes

  • § 7281.1 Patient Earnings Protection
  • § 18107 County Institution Inspection Requirements
  • § 7251 Patient Examination Requirements
  • § 7277.1 State Hospital Care Claims
  • § 7282 State Hospital Cost Recovery

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Welfare and Institutions Code. Section 7281.
View Official Source