R986-200-239. How to Determine the Amount of the Financial Assistance Payment  


Latest version.
  • (1) Once the household's size and income have been determined, the gross countable income must be less than or equal to 185% of the Standard Needs Budget (SNB) for the size of the household. This is referred to as the "gross test".

    (2) If the gross countable income is less than or equal to 185% of the SNB, the following deductions are allowed:

    (a) a work expense allowance of $100 for each person in the household unit who is employed;

    (b) fifty percent of the remaining earned income after deducting the work expense allowance as provided in paragraph (a) of this subsection, if the individual has received a financial assistance payment from the Department for one or more of the immediately preceding four months; and

    (c) after deducting the amounts in paragraphs (a) and (b) of this subsection, if appropriate, the following deductions can be made:

    (i) a dependent care deduction as described in subsection (3) of this section; and

    (ii) child support paid by a household member if legally owed to someone not included in the household.

    (3) The amount of the dependant care deduction is set by the Department and based on the number of hours worked by the parent and the age of the dependant needing care. It can only be deducted if the dependant care:

    (a) is paid for the care of a child or adult member of the household assistance unit, or a child or adult who would be a member of the household assistance unit except that this person receives SSI. An adult's need for care must be verified by a doctor; and

    (b) is not subsidized, in whole or in part, by a CC payment from the Department; and

    (c) is not paid to an individual who is in the household assistance unit.

    (4) After deducting the amounts allowed under paragraph (2) above, the resulting net income must be less than 100% of SNB for size of the household assistance unit. If the net income is equal to or greater than the SNB, the household is not eligible.

    (5) If the net income is less than 100% of the SNB the following amounts are deducted:

    (a) Fifty percent of earned countable income for all employed household assistance unit members if the household was not eligible for the 50% deduction under paragraph (2)(b) above; and/or

    (b) All of the earned income of all children in the household assistance unit, if not previously deducted, who are:

    (i) in school or training full-time, or

    (ii) in part-time education or training if they are employed less than 100 hours per month. "Part-time education or training" means enrolled for at least one-half the number of hours or periods considered by the institution to be customary to complete the course of study within the minimum time period. If no schedule is set by the school, the course of study must be no less than an average of two class periods or two hours per day, whichever is less.

    (6) The resulting net countable income is compared to the full financial assistance payment for the household size. If the net countable income is more than the financial assistance payment, the household is not eligible. If it is less, the net countable income is deducted from the financial assistance payment and the household is paid the difference.

    (7) The amount of the standard financial assistance payment is set by the Department. The current amount is in the table that follows:


    TABLE


    Household Size Payment Amount

             1 $288

             2 $399

             3 $498

             4 $583

             5 $663

             6 $731

             7 $765

             8 $801


    Amounts for household sizes larger than 8 are available at all Department offices.