Eric: Now let’s take a look a little more closely at the Cash Value Food Instrument because it’s handled a little differently. Do you remember what it is used for?

Vanessa: Hmmm… fruits and vegetables?

Eric: As you can see the two are very similar. The biggest difference is in the description section that gives a maximum dollar amount that WIC customers can spend on fruits and vegetables. WIC customers are allowed to pay the difference between the actual cost and the amount printed if they choose to.

Vanessa: Example please….

Eric: For example, if the fruits and vegetables come to $7.30 and the cash value food instrument is for $6.00, the customer can pay the $1.30 using another form of payment or they can put some of the items back. This will determine the amount you write on this cash value food instrument. If the customer chooses to pay the difference with another form of payment, you write $6.00 on the cash value instrument and collect the rest of the payment – however they want to pay it. If they choose to return some of the fruits and vegetables, let’s say they remove an amount equal to $1.50, you would write $5.80 ($7.30 – $1.50 = $5.80) as the actual cost on the cash value food instrument.

Vanessa: I get that. Is that all I need to remember?

Eric: Not quite