1115.000.00 Income

1115.035.30 Calculating Income Deductions

IM-97 November 29, 2023; IM-51 June 8, 2007; IM-36 April 4, 2006; IM-01 January 15, 1999

Enter the following expenses claimed by the household into the eligibility system. The eligibility system includes or excludes the appropriate expenses based on policy.

  • Income Expense
  • Medical Expense
  • Shelter Expense
  • Dependent Care Expense
  • Court Ordered Expense

For billed expenses, other than expenses that can be averaged, allow a deduction only in the month the expense is due, regardless of when or if the household intends to pay the expense. The intent to pay is not an eligibility factor. Amounts carried forward from past billing periods are not deductible.

Example: An expense that could be averaged would be prescription copays. Participants may have a prescription that comes in a 3 month supply and costs $75.00 every 3 months. The cost of the 3 month prescription is averaged as $25.00 monthly.

Agreed upon monthly installments on one-time medical expenses are allowable in the month that each installment is due. The expense is allowable even if the household was initially billed, and established a payment plan before the certification period began.

If a household makes a timely arrangement with a provider to pay the expense in installments, the installment is considered the household’s expense in the month each payment becomes due.

The payment arrangement does not have to be a formal contract. A mutually recognized agreement is sufficient.

If the certification period expires before the balance of the installments has been paid, the monthly payment may be allowed as a deduction into the new certification period.

If a provider and the household renegotiate the payments for a one-time expense, allow the expense in accordance with the new agreement.

Expenses paid by an ineligible student are not allowable even though the student lives with the SNAP household.  Allow the standard utility allowance (SUA) if the household has received energy assistance (EA).

Staff must record a comment or note in the eligibility system concerning all expenses reported by the SNAP household.  The comment must state what verification was used and explain how staff determined the amount of the expense that was entered for the eligibility determination.