Income Eligibility and Budgeting

Created on: 
Nov 15 2019

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See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

How does ACES determine income eligibility?

ACES is programmed to determine financial eligibility for all programs based on prospective eligibility. For more information, see EA-Z Manual - WAC 388-450-0215 How does the department estimate my assistance unit's income to determine my eligibility and benefits?

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How does ACES budget income?

ACES calculates and budgets income based on the valid values entered in the MethodFrequency and Expense Type fields on the Earned Income and Unearned Income pages.

For more information on income and budgeting, see:

 

See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

Related Chapters

Income Allocation and Deeming

Created on: 
Nov 15 2019

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See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

What is income allocation and deeming?

Allocation and deeming is the process of determining how much of a person’s income may be available to members of the household not included in the Assistance Unit (AU) or to a person(s) for which a household member is financially responsible. For more information, see:

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Where is allocated or deemed income entered?

The Allocation Expense page is used to enter information about an allocator's or deemor's expenses.

The IRS Dependent Allocation page is used to record legal Internal Revenue Service (IRS) dependents that are not included in the Assistance Unit (AU).

For situation in which entry may be required on one of these pages, see EA-Z Manual - Allocation and Deeming.

How is income allocated when a minor parent is living with a parent?

For ACES to correctly allocate income for a case in which a minor parent is living with a parent the relationship and financial responsibility codes on the AU Details and Household Composition pages must be correct and income coded on the correct person's income page(s).

Note: For this section, the minor parent's parent is referred to as the 'major parent' or 'major mom/dad'.
  1. Code the Household Composition page for the Temporary Assistance for Needy Families (TANF) Assistance Unit (AU) as follows:
Person Relationship to Head of Household field
Minor Parent Self/Head of Household (SE)
Minor Parent Child Child Natural/Adopted (CH)
Major Dad Other Related Adult (OT)
Major Mom Other Related Adult (OT)
  1. Code the AU Details page as follows:
Person Financial Responsibility field
Minor Parent Applicant (PN)
Minor Parent Child Applicant (PN)
Major Dad Parent of a Minor Parent (PM)
Major Mom Parent of a Minor Parent (PM)
Note: Siblings of a minor parent should not be included in the AU.
  1. If the major parent has income, the income must be entered on that parent's Earned Income or Unearned Income page. ACES does the allocation process based on major and minor parent's Financial Responsibility codes and income.
  2. On the IRS Dependent Allocation page for the major parent with income, complete the following field if the AU includes sibling(s) of the minor parent so that ACES correctly allocates the income of the major parent:
  • IRS In-Home Dependents field - Enter the [number of in-home dependent child(ren) (not including the minor parent)].
  1. ACES adds this number to the number of persons listed on the AU Details page with Financial Responsibility code Parent of a Minor Parent (PM) to determine the correct AU need standard.

How is income allocated for a financially responsible person excluded from the Assistance Unit (AU) because of alien status?

Processing Alternative: Income deeming from a citizen child to an undocumented child in a cash Assistance Unit (AU) PR 4290

A financially responsible person not included in the AU because of alien status is allowed certain deductions from their earned income when computing the amount of the ineligible person's income available to eligible AU members. For more information, see:

  1. For a new application, code the ineligible household member as Applicant (PN) in the Financial Responsibility field on the AU Details page.
Note: When the case is finalized, ACES changes the Financial Responsibility code for any ineligible member(s) to Undocumented Alien Adult (UA) for adult members and Undocumented Alien Child (UC) for children.
  1.  Ensure that all citizenship information is correct on the Client Details page.
Note: Do not enter anything on the IRS Dependent Allocation page for this type of case.
  1. On the Earned Income and Unearned Income pages, enter the [ineligible household member's income].
  • Use the correct income frequency type as all frequency types apply to this kind of case just as if the ineligible member were to receive benefits.
  1. For cash AUs, verify that the amount of income available to the eligible AU members is correct on the Eligibility Details page in the Deemed/Allocated field and confirm the benefits.
  • If there is no income to allocate to the eligible household members after allowable deductions the amount in the Deemed/Allocated field is zero.

 

See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

Income Case Specific Situations

Created on: 
Nov 15 2019

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See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

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How do I enter a cash gift?

For information on how income from a cash gift is treated and budgeted, see EA-Z Manual - WAC 388-450-0065 Gifts - Cash and noncash.

To enter a cash gift, complete the following fields on the Unearned Income page:

  1. Select the appropriate source from the Source field drop down menu based on how the gift is to be budgeted.
  2. If the case unit includes Temporary Assistance for Needy Families (TANF) and Basic Food, enter both the source codes listed below on separate Unearned Income pages so that the correct amount is budgeted for each program:
  • Enter the gift amount less any exemption as Other Countable - CA/MA Only (OA), and
  • Enter the entire amount of the gift as Other Countable - FS Only.
NOTE: If source code Cash Gifts (CG) is used, the amount entered is deducted dollar for dollar for both TANF and Basic Food. ACES does not exclude the $30 per person / quarter exemption allowed per policy.

How do I enter Community Jobs (CJ) income?

ACES excludes the first month’s CJ income for Temporary Assistance for Needy Families (TANF) and budgets it for Basic Food. For more information, see EA-Z Manual - WAC 388-450-0050 How does your participation in the community jobs (CJ) program affect your cash assistance and Basic Food benefits?

  1. To enter CJ income, complete the following fields on the Earned Income page:
  • Type field - Select Community Jobs Program (CJ) from the drop down menu.
  • Begin date field - Enter the [first of the month the client is to receive their first pay check].

How do I enter Income in Kind - Lieu of Rent?

To enter Income in Kind - Lieu of Rent, complete the following steps:

  1. On the Earned Income page, complete the following fields:
  • Type field - Select Income in Kind - Lieu of Rent (IL) from the drop down menu.
  • Amount field - Enter the [amount of income the client receives as compensation in lieu of paying rent].
  1. On the Shelter Expenses page, in the Rent field enter the [client's entire shelter obligation]. This is the amount the client would be expected to pay for rent if they were not working in exchange for a portion of the payment.

For Basic Food benefits, ACES determines the rent amount by calculating the difference between the rent and in lieu of rent amounts.

EXAMPLE: Client has a rental obligation is $300.00. He maintains the property in lieu of rent and his landlord verified that the in lieu of rent amount is equal to $200.00 per month. On the Earned Income page, select Income in Kind - Lieu of Rent (IL) from the Type field drop down menu. Next, enter [200.00] in the Amount field. On the Shelter Expenses page, enter [300.00] in the Rent field. ACES calculates $100.00 for rent in the Basic Food computation.
Note: Cash assistance budgets in kind income the same as earned income.

How do I enter Farming or Fishing Income?

To enter farming or fishing income, complete the following on the Earned Income page:

  1. In the Employer section, enter the [name of the employer / Doing Business As (DBA)] in the Employer Name field.
  2. In the Income section, update the following mandatory fields:
  • Type field - Select Farming/Fishing Income (FF) from the drop down menu.
  • Begin Date field - Enter the date [mm/dd/yyyy] the client started earning this self-employment income.
  • Method field - Select the appropriate budgeting method from the drop down menu.
  • Amount field - Enter the [amount client is receiving from self-employment] based on the budgeting method used.
  • Hours field - Enter the [number of hours client is doing self-employment] based on the budgeting method used.
  1. In the Work Expense section, take the following steps to add a new expense:
  • Click on the Add link to display Expense Type drop down box.
  • Select the appropriate expense type from the drop down menu.
  • Enter the [amount of the expense] and then select the appropriate valid value.
  • Repeat step 4 until all expenses are listed.
Note: If no self-employment deductions are entered, a standard 50% self-employment deduction is applied.

For Farming or Fishing Income, the system must first apply the 50% standard self-employment expense deduction to the gross self-employment income.  If any farm loss offset remains, it can be used against the total amount of earned and unearned income.  For additional information on Farming and Fishing losses, see EA-Z Manual -WAC 388-450-0085 Does the department count all of my self-employment income to determine if I am eligible for benefits? If a balance remains, a 20% earned income deduction is applied to any remaining earned and self employment income.

Example: Roy has a small chicken farm. He applies for food assistance for himself, his wife, and their four children. Roy reports he has the following income: $3000 self-employment earnings with no reported expenses and farming income of $1000 with $2000 in verified farming expenses. The system would determine his countable income by using the following calculation:
$3000 self-employment income - $1500 (50% self-employment deduction) = $1500 Earned Income.
$1000 farming income - $2000 expenses (greater than 50% deduction) = -$1000.00 Farm Loss.
$3000 - $1500 self-employment standard deduction - $1000 farm loss = $500 earned income.
$500 - 20% earned income deduction = $400 countable earned income.

How do I enter student fellowship income?

Student fellowships can either be considered earned or unearned income depending on the work requirements associated with a particular fellowship. There is no valid value for this type of income. For more information on student fellowship income, see EA-Z Manual - WAC 388-450-0035 Educational Benefits.

Complete the following fields to enter the student fellowship income:

  1. Type field - Select Other Countable Income (OC) from the drop down menu on the Earned Income page if it is earned income.
  2. Source field - Select Educational Assistance - Graduate (AG) from the drop down menu on the Unearned Income page, as fellowships are only given at the graduate level.

How do I enter Title IV and Bureau of Indian Affairs (BIA) work study income?

Educational assistance in the form of grants, loans or work study, issued from Title IV of the Higher Education Amendments (Title IV - HEA) and the BIA education assistance programs is not counted for cash and food assistance. For more information, see EA-Z Manual - WAC 388-450-0035 Educational Benefits.

  1. On the Earned Income page, complete the following fields to enter Title IV and BIA work study income:
  • Type field - Select Excluded Work Study (Title IV and BIA) (WT) from the drop down menu.
  • Amount field - Enter the [amount of the work study income].

How do I enter Non-Title IV and Non-Bureau of Indian Affairs (BIA) work study income?

State work study (SWS) earnings (wages) no longer fall under Title IV funding and must now be counted as earned income for SWS students receiving food assistance. For more information on work study income budgeting, see EA-Z Manual - WAC 388-450-0035 Educational Benefits.

  1. On the Earned Income page, complete the following fields to enter work study income that is countable:
  • Type field - Select Countable Work Study (Non-Title IV and Non-BIA) (WS) from the drop down menu.
  • Amount field - Enter the [amount of the work study income].

How do I enter WorkFirst work study income?

WorkFirst work study is not counted for cash assistance; however, is considered earned income for food assistance. For more information, see EA-Z Manual - WAC 388-450-0035 Educational Benefits.
 

To enter WorkFirst work study, take the following steps;

1. On the Earned Income page update the following fields:

  • Type field - Select WorkFirst Work Study (WW) from the drop down menu.
  • Amount field - Enter the [amount of the work study income]. 

How do I enter State Funded College Work Study earned income? 

State Funded College Work Study earned income isn’t counted for cash assistance; however, is considered earned income for food assistance. For more information, see EA-Z Manual - WAC 388-450-0035 Educational Benefits.

  1. To enter State Funded Work Study earned income, complete the following fields on the Earned Income page:
  • Type field - Select State Funded Work Study (WZ) from the drop down menu.
  • Amount field - Enter the [amount of the work study income].

How do I enter a Native American Tribal Needs Based Payment?

For more information on needs based income budgeting, see EA-Z Manual - WAC 388-450-0055 How does needs-based assistance from other agencies or organizations count against my benefits?

  1. On the Unearned Income page complete the following fields:
  • Source field - Select Native American Tribal Needs Based Payment (TN) from the drop down menu.
  • Begin Date field - Enter the benefit start date [MM/DD/YYYY].
  • Method field - Select the appropriate budgeting method from the drop down menu.
  • Amount field - Enter the [amount of the Native American Tribal Needs Based Payment].

 

See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

Income Deductions

Created on: 
May 27 2020

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See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

What income deductions are allowed for basic food and cash assistance?

To determine what income deductions or earned income incentives are allowed for cash benefits, see the following:

To determine what income deductions are allowed for basic food benefits, see the following:

When can medical expenses be used as a deduction for Basic Food benefits?

When a Basic Food Assistance Unit includes an elderly or disabled person, medical expenses may be used as a deduction for Basic Food computation. For more information, see EAZ Manual - WAC 388-450-0200 Will the medical expenses of elderly person or individuals with disabilities in my assistance unit be used as an income deduction for Basic Food?

What is a utility allowance?

When a household receives Basic Food and pays utility costs separate from their rent or mortgage, a set amount for utilities is used to determine the total shelter cost. For more information, see EAZ Manual - WAC 388-450-0195 Does the department use my utility costs when calculating my Basic Food or WASHCAP benefits?

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How are child support payments entered as a deduction?

To enter a child support payment deduction, complete the following:

  1. On the IRS Dependent Allocation page, complete the following fields:
  • IRS Out-of-Home Dependents - Enter the [number of legal dependents living outside the home].
    • This field is used to code legal dependents living outside the home for which the financially responsible person is paying legally obligated back child support.
    • Entry of at least [1] legal dependent is required in this field when a client pays court ordered child support.
  • IRS In-Home Dependents field - Enter the [number of legal dependents living in the home that are not recipients on the assistance unit].
  1. On the Allocation Expenses page, complete the following fields: 
  • Type field - Select the expense type from the drop-down list.
  • Amount field - Enter the [child support payment amount].

ACES allows the amount entered or the ceiling (one person need standard multiplied by the number of out of home dependents); whichever is less, when determining the allowable deemor expense. The allowable expense amount displays in the following places:

  • In the Child Support Deduction field in the Net Income Test section on the Food Stamp Eligibility page in ACES.online.
  • For basic food assistance, in the Child Support field in the Gross Income section on the Eligibility Details page in ACES 3G.

How are child care expenses entered as a deduction?

The Dependent Care Expense page is used to record information about dependent child care expenses.

To enter a child care expense on the Dependent Care Expense page, complete the following fields:

  1. Provider Name field - Enter the [Provider name].
  2. Dependent field - Select the appropriate dependent from the drop down list.
  3. Type field - Select the daycare expense type code from the drop down list.
  4. Method field - Select Anticipated Monthly (AM) or Combined Average (CA).
  5. Frequency field - Select how often the child care is paid from the drop down list.
  6. Amount field - Enter the [amount the client pays for child care].

ACES determines the amount of dependent care expense to be allowed in the Basic Food computation based on the client demographics on the AU Details page and the valid values entered in the TypeMethod and Frequency fields on the Dependent Care Expense page. For more information, see EAZ Manual - WAC 388-450-0185 What income deductions does the department allow when determining if I am eligible for food benefits and the amount of my monthly benefits?

How are self-employment deductions entered?

For more information on how to enter self-employment deductions, see How do I enter self-employment income?

How do I enter a recurring medical expense?

To enter a recurring medical expense, complete the following steps:

  1. On the Medical Expense Deduction page for the appropriate client, enter information as follows:
  • Type field - Select the appropriate recurring type code from the drop down list.
  • End Date field  - Enter the [end date to match the certification period end date].
  • Amount field - Enter the [amount of the expense].
  • TPL Amt field - Enter the [amount of the expense that is paid by a third party].
  • Provider Name field - Enter the [name of the medical provider or pharmacy].

How do I enter a one-time medical expense?

To enter a one-time medical expense, complete the following steps:

  1. From the Case Actions page in the Change of Circumstances section, click Start Changes.
  • ​If the expense is to be applied in a historical month, select the month from the Benefit Month drop down list.
  1. On the Medical Expense Deduction page for the appropriate client, enter information as follows:
  • Type field - Select the non-recurring type code from the drop down list.
  • End Date field - Enter the [end date to match the certification period end date].
  • Amount field - Enter the [amount of the expense].
  • TPL Amount field - Enter the [amount of the expense that is paid by a third party].
  • Provider Name field - Enter the [name of the medical provider or pharmacy].
  1. On the Eligibility Details page, click Confirm Benefits.
  2. On the Eligibility page, click Commit Changes.

How do I enter a one-time non-recurring medical expense to be averaged?

NOTE: When averaging a one-time non-recurring medical expense, the information on the Medical Expense Deduction page must be entered in the ongoing month. If processing a new Basic Food application, the Medical Expense Deduction page information needs to be entered as a one-time non-recurring medical expense in each of the application months prior to the on-going month. The application months may be accessed via the Process Application Months section on the Case Actions page. A manual computation is required to determine the amount to be coded as a one-time non-recurring medical expense in the application months prior to the ongoing month.
  1. From the Case Actions page in the Change of Circumstances section, click Start Changes.
  • ​If the expense is to be applied in a historical month, select the month from the Benefit Month drop down list.
  1. On the Medical Expense Deduction page for the appropriate client, enter information as follows:
  • Type field - Select the non-recurring expense type code from the drop down list.
  • Average Expense field - Check mark the box to indicate that this expense should be averaged.
  • Begin Date field - The system auto populates the date as the first day of the ongoing month. No entry is required by the user.
  • End Date field - Enter the [end date to match the certification period end date].
  • Amount field - Enter the [amount of the non-recurring expense].
  • TPL Amount field - Enter the [amount of the non-recurring expense that is paid by a third party].
  • Provider Name field - Enter the [name of the medical provider or pharmacy].
  1. On the Eligibility Details page, click Confirm Benefits.
  2. On the Eligibility page, click Commit Changes.

How do I delete an averaged one-time non-recurring medical expense?

For more information on how to delete a Medical Expense Deduction page, see How do I delete entered details?

NOTE: When it is determined that an averaged expense needs to be deleted from a historical month, a corrected average needs to be calculated and updated in each historical month up to the ongoing month.

How is the utility allowance coded on the Shelter Expenses page? 

The utility information normally is entered on the Shelter Expenses page of the client who is the head of household for the Basic Food Assistance Unit (AU). 

  1. To code the utility allowance, select one of the following utility standards from Utility Standard drop down list in the Utility Details section:
  • Limited (L).
  • Standard (S).
  • Telephone (T).
  • Zero (Z).

If the utility standard is entered on more than one client's Shelter Expenses page in a Basic Food AU, message Utility Standard is coded on multiple clients displays.

Where do I code the Shelter Expenses for a Basic Food household that has an Ineligible Assistance Unit (AU) member with income?

If the Basic Food Assistance Unit (AU) contains an ineligible household member with income, the shelter expenses for the household should be coded on that individual's Expenses - Shelter Expenses page to correctly prorate the shelter expenses.  This applies when the ineligible member:

  • Has either [EI] - Earned Income or [UI] - Unearned Income and
  • The member has a Financial Responsibility code of [ND] - Non IPV Disqualified and is due to any one of the following reasons:
  • Being an ineligible Able-Bodied Adult Without Dependents (ABAWD), or
  • Being ineligible due to their alien status, or
  • Refusing to get or provide the Department a Social Security Number (SSN)
NOTE:  If the Basic Food Assistance Unit (AU) contains an ineligible household member with income AND the household's shelter expenses are not coded on that individual's Expenses - Shelter Expenses page, the following soft edit message displays in ACES 3G on the Eligibility Summary page and Eligibility Details page:  An ineligible household member has income.  Were shelter expenses coded on the correct client?  When an AU has more than one ineligible member with income, the edit shall not display when the shelter expenses are coded on the Expenses - Shelter Expenses page of any ineligible member with income.

How do I code the Shelter Expenses page for a client in subsidized housing who only pays utilities?

When a client lives in subsidized housing and makes a utility payment instead of a rental payment, take the following steps:

  1. In the Utility Expenses section on the Shelter Expenses page, complete the following field:
  • Enter a [utility dollar amount] in one of the Expense Type fields. 
EXAMPLE: If the client is paying the electric bill only, code the average monthly amount in the Electric field in the Utility Expenses section.
  1. In the Utility Details section on the Shelter Expenses page, complete the following field: 
  • Public Housing or Rent Subsidy field - Select Yes (Y) from the drop down list.
  • Utility Standard field - Select the appropriate utility standard from the drop down list.

What is the Homeless Shelter Deduction for Supplemental Nutrition Assistance Program (SNAP) households?

For homeless households receiving SNAP that meet certain criteria, a minimum Homeless Shelter Deduction is applied to the Basic Food Assistance Unit (AU):

  1. All household members on the Basic Food AU have a Living Arrangement of Homeless w/Housing (HH) or Homeless w/out Housing (HO), and
  2. An amount is present in any of the Shelter Expenses / Expense Type fields.

The homeless shelter deduction is applied to the Basic Food AU if the calculated Allowable Shelter Deduction is less than the amount set in Homeless Shelter Expense from the Standards Chart.

For more information on how to calculate shelter cost deductions for Basic Food see, EAZ Manual - WAC 388-450-0190 How does the department figure my shelter cost income deduction for Basic Food?

NOTE:  The Homeless Shelter Deduction does not apply to WASHCAP households, homeless households with no shelter expense, or homeless households who receive income in kind in lieu of rent that equal their shelter costs.   

 

See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

Treatment of Income

Created on: 
Nov 15 2019

Online Processing

See ACES Screens and Online Pages for an example of pages or screens used in this chapter.

What types of income are not used when determining a client’s benefit eligibility?

To determine if a type of income is excluded or disregarded when determining a client's benefit eligibility, see:

What is self-employment income?

Self-employment income is income that a client earns from running a business, performing a service, selling items they make, or reselling items to make a profit. A client is self-employed if they earn income without having an employer/employee relationship with the person who pays them. This includes when a client:
  • Has primary control of the way they do their work; or
  • Reports their income using IRS Schedule C, Schedule C-EZ, Schedule K-1, or Schedule SE.

For more information on self-employment income, see:

Online Processing

Where do I enter earned income?

Earned income is entered on the Earned Income page, which is at the client level, and is completed for the client that has the earned income. For more information on earned income, see:

Where do I enter unearned income?

Unearned income is entered on the Unearned Income page, which is at the client level, and is completed for the client that has the unearned income. For more information on unearned income, see:

How do I enter Social Security Income?

It is important to enter the correct income source code and claim number for Social Security income. ACES interfaces with Social Security and in some situations automatically updates the case based on the following interfaces:

When an incorrect income source code and/or claim number is entered, ACES adds the income according to information received from the BENDEX and/or SDX interface, as the system thinks this is a new income source. This may result in the client’s benefits being reduced or terminated because the income is entered twice.

When the BENDEX and SDX interfaces run, both the income source code and claim number on the Unearned Income page are checked against the information Social Security has for that client. Any difference in income is updated automatically.

  1. To enter Social Security income, complete the following fields on the Unearned Income page:
  • Source field - Select the appropriate unearned income type from the drop down menu.
Note: The source code for Social Security benefits is determined by the client's Beneficiary Identification Code (BIC). For more information, see Beneficiary Identification Codes (BIC). BIC codes do not apply to Supplemental Security Income (SSI).
  • Claim Number field - Enter the [client's BIC], if appropriate. A client's BIC is the complete social security claim number under which a client receives benefits including the suffix.
  • Method field - Select Anticipated Monthly (AM) from the drop down menu.
  • Amount field - Enter the [monthly Social Security benefit amount].

How do I enter self-employment income?

For more information on how self-employment income is counted, see:

To enter self-employment income, complete the following on the Earned Income page:

  1. In the Employer section, enter the [name of the employer] in the Employer Name field. 
  2. In the Income section, complete the following mandatory fields:
  • Type field - Select Self-Employment Earned Income (SE) from the drop down menu.
  • Begin Date field - Enter the date [mm/dd/yyyy] the client started earning this self-employment income.
  • Method field - Select the appropriate budgeting method from the drop down menu.
  • Frequency field - Select the frequency of pay from the drop down menu.
  • Amount field - Enter the [amount client is receiving from self-employment] based on the budgeting method used.
  • Hours field - Enter the [number of hours the client is doing self-employment] based on the budgeting method used.
  1. In the Work Expenses section, click the Add link to display an Expense Type drop down menu.
  2. Select the appropriate Expense Type from the drop down menu.
  3. In the Amount field in the Work Expenses section, enter the [amount of the expense] and then select the appropriate valid value.
  4. Repeat steps three through five until all expenses are listed.
Note: If no self-employment deductions are entered, the system applies the standard 50% self-employment deduction.
Example 1: Jane Doe is self-employed and reports she earns, on average, $1000 per month. She has unverified self-employment expenses of $600 per month and verified and allowable self-employment expenses of $450 per month. Since her verified and allowable expenses are less than 50% of her gross income, she is given the new standard 50% employment expense deduction which would be $500, making her net income $1000 - 500 = $500. The 20% earned income disregard is applied leaving $400 as Jane's countable monthly earned income.
Example 2: At Jane’s recertification she states she still earns $1000 gross per month from her self-employment. She has verified and allowable self-employment expenses of $550 per month.  Since her verified and allowable self-employment expenses are over 50% of her gross self-employment income, her verified self-employment income expenses are deducted in their entirety from her gross $1000 - 550 = $450. The 20% earned income disregard is then applied leaving $360 as Jane’s countable monthly earned income.

 

See ACES Screens and Online Pages for an example of pages or screens used in this chapter.