1115.000.00 Income

1115.035.35 Net Income and Benefit Level Calculation

IM-54 May 15, 2020; IM-66 August 28, 2008; IM-51 June 8, 2007; IM-10 February 16, 1999

To determine net monthly food stamp income, use the exact dollars and cents for income, income exclusions and deductions of paid child support obligation expenses, excess shelter costs, and medical expenses. FAMIS rounds the monthly net food stamp income down if the net monthly income calculation ends in 1 through 49 cents (such as $103.19 = $103.00) and rounds up the net monthly food stamp income if the calculation ends in 50 through 99 cents (such as $130.70 = $131.00).

The following steps are completed by FAMIS to determine the EU’s monthly net income:

  • Add the total monthly unearned income of all EU members, minus income exclusions and the total gross monthly income earned by all EU members (including any net self-employment income), minus earned income exclusions.
  • Child Support Exclusion: Subtract the monthly amount of legally-binding child support the EU is paying to or for non-EU members.
  • Net Monthly Earned Income: Multiply the total gross earned income by 20 percent, subtract that amount.
  • Farm Loss: Subtract farm loss.
  • Standard Deduction: Subtract the standard deduction.
  • Dependent Care Deduction: Subtract monthly dependent care expenses. Dependent care expenses include the costs paid to the provider and the mileage or travel expense incurred by the EU to transport the dependent to the provider.
  • Excess Medical Deduction: If the EU is entitled to an excess medical deduction, subtract the portion of medical expenses which exceeds $35.
  • Determining Excess Shelter Cost: Subtract excess shelter cost up to the maximum allowed.
  • Result: Monthly adjusted net income.
  • The monthly Food Stamp allotment is determined by comparing the EU size and adjusted net income using the Food Stamp Basis of Issuance Tables.

To understand how the food stamp budget is calculated, refer to Manually Calculating a Food Stamp Budget.