M E M O R A N D U M

IM-118  08/27/99  TWO-PARENT HOUSEHOLD ELIGIBILITY: FINANCIAL NEED


SUBJECT:
TWO-PARENT HOUSEHOLD ELIGIBILITY: FINANCIAL NEED
 
DISCUSSION:
Missouri Senate Bill 387 changed requirements for Temporary Assistance for families with two parents in the home, when neither parent is incapacitated.  Effective August 28, 1999 it is no longer necessary for a parent to have a work history in order to be eligible for this type of assistance.  It is also no longer necessary for a parent to meet a definition of "unemployed".

This means we no longer need to obtain proof of earnings for six of the last thirteen quarters.  It also means that we do not need to determine whether a parent worked 100 hours in the last thirty days, or will work 100 hours in the next thirty days. This policy eliminates the parent under age 21 provisions.

When a child lives with both parents and both are able to work, that child's deprivation of parental support is based upon a determination of financial need.

All other eligibility factors for two-parent households continue to apply.  This includes quitting or refusing a job for which they are qualified without good cause.  Two parent households must also apply for and accept unemployment insurance.

S.B. 387 or this policy has not affected two parent households with respect to required hours of participation and work activities.

Following are examples of how this policy is applied to the eligibility determination.

SCENARIO #1:  Mr. and Mrs. J apply for Temporary Assistance.  Their household consists of Mrs. J's two children by a previous marriage, Mr. J's child by a previous marriage and their child in common.  Mr. J works 20 hours per week, at the rate of $9.50 per hour.  Their budget is calculated as follows:

Mr. and Mrs. J and all four children are included in the budget.
 

Gross monthly income
823.27
less than 185% (2307.00)
Standard work expense
-  90.00
Net income
733.27
Family meets the Full Need Standard for 6 (1247.00)

 
Net Income
733.27
$30+1/3
- 265.00
468.27
Ineligible on Percentage of Need for 6 (431.00)

Therefore, the J's in common child cannot be considered deprived of parental support.

If Mrs. J wishes to receive for her two children by her previous marriage, her eligibility for these children is determined as follows:

Complete stepparent deeming computation, using Mr. J's earnings and the needs of himself, his child by his previous marriage and the child in common.  Since his net income of $733.27 is less than the full need standard for three, $846.00, no income is deemed.  Enter a Y in Field 28-Stepparent of IMU5.

Mrs. J is eligible for a grant of $292.00 for herself and two children.

Mr. J is not eligible for a grant for himself and his child by a previous marriage because his earnings exceed the limit for a two person household.  Explore eligibility for MC+ for Mr. J and the two children who are ineligible for MAF.

SCENARIO #2: Mr. and Ms. S have four children, three in common and one of Ms. S's by her previous marriage.  Neither Mr. nor Ms. S is incapacitated.  Mr. S works 30 hours a week at the rate of $5.50 per hour.  Their budget is calculated as follows:

Mr. and Ms. S and all four children are included in the budget.
 

Gross monthly income
714.94
less than the 185% (2307.00)
Standard work expense
- 90.00
Net income
624.94
Family meets the Full Need Standard for 6 (1247.00)


Net Income
624.94
$30+1/3
-228.33
396.61
Eligible on Percentage of Need for 6 (431.00)
 431.00 - 396.61 = 34.39 (Grant 34.00)

Therefore, the S's in common children are considered deprived of parental support.

Mrs. S cannot receive a separate Temporary Assistance grant for her child by her previous marriage.

When talking with parents about their eligibility, there must be a discussion about time limits and the impact of using months of lifetime eligibility to receive a small grant or to receive a grant for some, but not all, children in the home.  Include in this discussion that they may be eligible for medical coverage without receiving Temporary Assistance.

 
NECESSARY ACTION:
  • Review this memorandum with appropriate staff.

  •  
  • Implement this policy effective August 28, 1999.

  •  
  • Continue using Code U in Field 8 and 13Q of the IMU5.
CMW
Distribution #6

[ 1999 Memorandums ]