zz – Obsolete

0905.012.70.15 $30 Earned Income Disregard – OBSOLETE

Once the $30 and 1/3 disregard has been applied for four consecutive months, the individual is eligible for a continuance of the $30 earned income disregard for the following eight months.  The eight-month period begins with the month following the fourth consecutive month in which the $30 and 1/3 disregard is applied.  It ends with the eighth consecutive month regardless of whether the $30 disregard is actually applied to the person’s earned income.

The eight month period runs:

  • Whether the claimant continues to have earned income against which to apply the $30 disregard, and
  • Even when the claimant loses eligibility for assistance.

If a claimant loses eligibility and reapplies during the eight-month period, an Eligibility Based on Need Budget is not required and the $30 disregard is applied on the Net Income Limit Test budget.  The $30 disregard is never applied in 185% of need (gross income) limit determination.

A recipient can regain eligibility for the $30 plus 1/3 disregard and the eight-month continuance of the $30 disregard if the family or claimant is off MAF/MC+ (Non-CHIP) for 12 consecutive months.  Follow instructions for determining 12 months off in $30 plus 1/3 disregard.  The policy applies even when all or part of the eight-month period of continuance of the $30 disregard occurred during the 12 consecutive months off.

Example:A claimant uses the fourth consecutive month of the $30 plus 1/3 disregard in April and is eligible for the $30 disregard for May through December.  The claimant loses eligibility in June.  Effective July 1 they case is changed to TMA.  If they remain off assistance (TMA is considered off assistance) from July through June of next year, they regain eligibility for the $30 plus 1/3 disregard and the eight-month continuance of the $30 disregard.

Adverse action notice is required if removing the $30 disregard adversely affects eligibility.

Families losing eligibility for MAF solely because the $30 disregard is no longer applied must be evaluated for TMA.