Wandering around Virginia, on allowance (7)
I believe the answer is:
vagrant
'wandering' is the definition.
(thesaurus)
'virginia on allowance' is the wordplay.
'virginia' becomes 'va' (US state abbreviation).
'on' means one lot of letters go next to another.
'allowance' becomes 'grant' (both can mean money given to someone).
'va'+'grant'='VAGRANT'
'around' acts as a link.
(Other definitions for vagrant that I've seen before include "Rough sleeper" , "One who has no home" , "One with no fixed abode" , "nomadic type" , "Unsettled person, a tramp" .)