Homeless person in Virginia given allowance (7)
I believe the answer is:
vagrant
'homeless person' is the definition.
(I've seen this before)
'virginia given allowance' is the wordplay.
'virginia' becomes 'va' (US state abbreviation).
'given' is a charade indicator (letters next to each other).
'allowance' becomes 'grant' (I've seen this before).
'va'+'grant'='VAGRANT'
'in' is the link.
(Other definitions for vagrant that I've seen before include "down-and-out" , "Itinerant" , "Traveller" , "Unsettled person, a tramp" , "Rough sleeper" .)