Indian Agencies Serving Tribes without a Near-Reservation Designation.
WAC 388-450-0035
WAC 388-450-0035
Effective September 12, 2002
WAC 388-450-0035 Educational Benefits
This section applies to cash assistance, medical programs for children, pregnant women and families, and food assistance.
We do not count:
Educational assistance in the form of grants, loans or work study, issued from Title IV of the Higher Education Amendments (Title IV - HEA) and Bureau of Indian Affairs (BIA) education assistance programs. Examples of Title IV - HEA and BIA educational assistance include but are not limited to:
College work study (federal and state);
Pell grants; and
BIA higher education grants.
Educational assistance in the form of grants, loans or work-study made available under any program administered by the Department of Education (DOE) to an undergraduate student. Examples of programs administered by DOE include, but are not limited to:
Christa McAuliffe Fellowship Program;
Jacob K. Javits Fellowship Program; and
Library Career Training Program.
For assistance in the form of grants, loans or work-study under the Carl D. Perkins Vocational and Applied Technology Education Act, P.L. 101-391:
If you are attending school half-time or more, we subtract the following expenses:
Tuition;
Fees;
Costs for purchase or rental of equipment, materials, or supplies required of all students in the same course of study;
Books;
Supplies;
Transportation;
Dependent care; and
Miscellaneous personal expenses.
If you are attending school less than half-time, we subtract the following expenses:
Tuition;
Fees; and
Costs for purchase or rental of equipment, materials, or supplies required of all students in the same course of study.
For cash assistance and medical programs for children, pregnant women and families, we also subtract the difference between the appropriate need standard and payment standard for your family size.
Any remaining income is unearned income and budgeted using the appropriate budgeting method for the assistance unit.
If you are participating in a work study program that is not excluded in subsection (1), of this section, we count that work study income as earned income:
You get any applicable earned income disregards;
For cash assistance, and medical programs for children, pregnant women and families, we also subtract the difference between the need standard and payment standard for your family size as described in chapter 388-478 WAC; and
Budgeting remaining income using the appropriate budgeting method for the assistance unit.
If you get Veteran's Administration Educational Assistance:
All applicable attendance costs as subtracted; and
The remaining unearned income is budgeted using the appropriate budgeting method for the assistance unit.
Title IV education assistance that is excluded regardless of how the money is used or a client's graduate or undergraduate status:
College Work-Study (CWS) Program, both federal and state programs
Direct Loan Demonstration Program
Family Education Loan Program (FELP)
HEP / CAMP Programs, special programs for students whose families are engaged in migrant and seasonal farmwork
National Early Intervention Scholarship and Partnership Program
Pell Grant Program
Perkins Loan Program
Presidential Access Scholarships
PLUS Loan Program
Robert C. Byrd Honors Scholarship Program
Special Child Care Services for Disadvantaged College Students
Stafford Loan Program
State Need Grant (SNG) Program
State Student Incentive Grant (SSIG) Program
Supplemental Education Opportunity Grant (SEOG) Program
Supplemental Loans for Students (SLS) Program
TRIO Programs, special programs for students from disadvantaged backgrounds
Educational assistance benefits where we exclude just the funds used for attendance costs:
Carl D. Perkins Vocational and Applied Technology Education Act, P.L. 101-391
Bilingual Education - - Fellowship Program
Christa McAuliffe Fellowship Program
Dwight D. Eisenhower Mathematics and Science Education Program
Jacob K. Javits Fellowship Program
Library Career Training Program
National Science Scholars Program
Patricia Roberts Harris Fellowship Program
Paul Douglas Teacher Scholarships
Ronald E. McNair Post-Baccalaureate Achievement Program
Other educational assistance, not listed above, in the form of grants, work study, scholarships, or fellowships
Bureau of Indian Affairs (BIA) education assistance benefits that are excluded regardless of use:
BIA Higher Education Grants
Indian Education - Fellowship for Indian Students
Employment or training funds:
For information on employment or training funds, see WAC 388-450-0045.
TOPS Program at Highline CC:
TOPS is a WorkFirst work study program that will fall under WAC 388-450-0035 (3). If you are participating in WorkFirst work study, that work study income is: Not counted for cash and medical assistance; Counted as earned income for Basic Food.
Averaging educational assistance over the period of use:
Average educational assistance income meant to cover more than one month over the months the school expects the client to use the money.
Changing from one school term to another:
When one school term ends and a new term begins in the same month, count the first day of the next full month as the start of the term.
Do not use costs from one school term to offset the educational assistance a client earns or gets in another term.
Educational expenses disregardedas income may reduce a client’s allowable deductions for Basic Food:
If you disregard a client's educational benefits under WAC 388-450-0035 (2), allow only the expenses above the educational benefits you disregarded as an expense for Basic Food. See WAC 388-450-0185 for information on expenses that can be allowed as a deduction for Basic Food.
EXAMPLE
A client gets $1200 in educational benefits through the Perkins Act for January through March. $400 is identified as being for childcare expenses. Client pays $195 monthly for the care of their five-year-old daughter.
$175.00 -133.33 $41.67
Maximum dependent-care deduction (age two and over)
($400 Earmarked expense / 3 months) Dependent-care deduction
Consider student loans that clients must repay as bona fide loans under WAC 388-450-0015. Do not count student loans as income regardless of whether the student is part-time, full time, a graduate student, or an undergraduate.
Count work-study income that is not specifically excluded in WAC 388-450-0035 as earned income using the following steps;
For cash assistance:
Exclude the amount earmarked for educational expenses;
Subtract the difference between the AUs need and payment standard from the remaining income of (i) above; and
Budget the remaining income as earned income to the AU. Average this income over the period of time the client's award letter states the assistance is for.
For Basic Food:
Exclude the amount earmarked for educational expenses; and
Budget the remaining income as earned income to the AU. Average this income over the period of time the client's award letter states the assistance is for.
Examples of work-study income that is not excluded under WAC 388-450-0035 include WorkFirst work-study for Basic Food and VA work-study for cash and Basic Food.
See WAC 388-450-0170 for the TANF / SFA earned income incentive and deduction and WAC 388-450-0175 for the GAU earned income incentive and deduction.
Educational assistance for TANF / SFA, RCA, GA and medical programs for children, pregnant women and families:
Look at the student's financial aid award letter to identify the amount and type of educational assistance.
Use the Student Grant and Expense Verification, DSHS 14-173, to verify the gross amount of the educational assistance and the student's attendance costs.
Disregard and exclude educational assistance as allowed under WAC 388-450-0035.
Subtract the difference between the AU's need and payment standard from the remaining income of [c.] above. See STANDARDS - Cash Assistance to find the need and payment standards for the AU.
Budget the remaining income as unearned income to the AU. Average this income over the period of time the client's award letter states the assistance is for.
Carl D. Perkins (Perkins Loan Program) educational assistance for TANF / SFA, RCA, GA medical programs for children, pregnant women and families:
Decide if the student is a full-time or half-time student. The school defines a full-time schedule. A half-time schedule is at least 1/2 the full-time schedule.
Subtract attendance costs allowed in subsections (2) (a) and (b) of WAC 388-450-0035 from the student's educational expenses based on the student's full- or half-time status.
Subtract the difference between the AU's need and payment standard from the remaining income of [b.] above. See STANDARDS - Cash Assistance to find the need and payment standards for the AU.
Budget the remaining income as unearned income to the AU. Average this income over the period of time the client's award letter states the assistance is for.
Veteran's Administration educational assistance for TANF/SFA, RCA, GA and medical programs for children, pregnant women and families:
Subtract all attendance costs allowed in sub-sections (2) (a) and (b) of WAC 388-450-0035 from the student's educational assistance. Budget the amount left as unearned income to the AU. Average this income over the period of time the VA states the assistance is for.
DO NOT deduct the difference between the assistance unit's need standard and payment standard.
EXAMPLE
GA-U client began school in September and has attendance costs of $600 for the semester of September through December. The client gets VA educational assistance of $400 a month.
$1600 - $600 $1000
VA educational assistance Sept. - Dec. ($400x4)
Attendance costs
Non-excluded income
$1000 ÷ 4 $250
Non-excluded income
Months in term Monthly unearned income
Educational assistance for Basic Food:
Student income: Use the following steps to calculate student income for eligible AU members at certification or recertification:
Exclude all Title IV and Bureau of Indian Affairs (BIA) education assistance;
Subtract the allowable attendance costs from the remaining amount; and
Budget any remaining income as unearned income to the AU. Average this income over the period of time the client's award letter states the assistance is for.
Work-study income that is not funded through Title IV or paid through the BIA is counted as earned income after subtracting educational expenses. Examples of work-study income that are not excluded for Basic Food are WorkFirst work-study and VA work-study.
Exclude federal and state work-study income. Both federal and state work-study are Title IV work-study;
For all other types of work-study, subtract amounts earmarked for educational expenses when the client is enrolled in classes; and
Count the remaining work-study income as earned income.
NOTE:
If a client is still employed in work-study over the summer and is not taking classes, do not subtract any educational expenses.
WAC 388-450-0040
WAC 388-450-0040
Effective September 1, 1998
WAC 388-450-0040 Native American benefits and payments.
This section applies to TANF / SFA, RCA, GA medical and food assistance programs.
The following types of income are not counted when a client's benefits are computed:
Up to two thousand dollars per individual per calendar year received under the Alaska Native Claims Settlement Act, P.L. 92-203 and 100-241;
Income received from Indian trust funds or lands held in trust by the Secretary of the Interior for an Indian tribe or individual tribal member. Income includes:
Interest; and
Investment income accrued while such funds are held in trust.
Income received from Indian judgment funds or funds held in trust by the Secretary of the Interior distributed per capita under P.L. 93-134 as amended by P.L. 97-458 and 98-64. Income includes:
Interest; and
Investment income accrued while such funds are held in trust.
Up to two thousand dollars per individual per calendar year received from leases or other uses of individually owned trust or restricted lands, P.L. 103-66;
Payments from an annuity fund established by the Puyallup Tribe of Indians Settlement Act of 1989, P.L. 101-41, made to a Puyallup Tribe member upon reaching twenty-one years of age; and
Payments from the trust fund established by the P.L. 101-41 made to a Puyallup Tribe member.
Other Native American payments and benefits that are excluded by federal law are not counted when determining a client's benefits. Examples include but are not limited to:
White Earth Reservation Land Settlement Act of 1985, P.L. 99-264, Section 16;
Payments made from submarginal land held in trust for certain Indian tribes as designated by P.L. 94-114 and P.L. 94-540; and
Payments under the Seneca Nation Settlement Act, P.L. 101-503.
Indian income, judgment funds, trust funds, and lands held in trust that are excluded under federal law:
Educational assistance issued from the BIA
P.L. 102-325
Payments from Alaska Native Claims Settlement Act
P.L. 92-203 and P.L. 100-241
Indian Judgment Funds or Funds Held in Trust
P.L. 93-134, P.L. 97-458 and P.L. 98-64
Payments from the Puyallup Tribe of Indians Settlement Act of1989
P.L. 101-41
Payments from Lease of Restricted Lands
P.L. 103-66
White Earth Reservation Land Settlement Act of 1985
P.L. 99-264, Section 16
Payments made from Submarginal Land held in Trust for Certain Indian Tribes
P.L. 94-114 and P.L. 94-540
Payments from the Disposition of Funds to the Grand River Band of Ottawa Indians
P.L. 94-540
Payments from the Indian Claims Commission to the Confederated Tribes and Bands of the Yakima Indian Nation and Apache Tribe
P.L. 95-433
Relocation Assistance Payments to Members of the Navajo and Hopi Tribes
P.L. 93-531, Section 22
Payments under the Seneca Nation Settlement Act
P.L. 101-503
Payments under the Turtle Mountain Band of Chippewas, Arizona
P.L. 97-403
Funds Distributed Per Capita or Held in Trust Under the Sac and Fox Indian Claims Agreement
P.L. 94-189
Payments under the Red Lake Band of Chippewas
P.L. 98-123
Payments and Certain Funds Held in Trust for Chippewa Indians
P.L. 98-102, 99-146, 99-264, 99-346, and 99-377
Payments to the Blackfeet, Gros-Ventre, and Assiniboine Tribes of Montana, and the Papago of Arizona
P.L. 97-408 and 98-124
Per Capita Shares of $2,000 or Less to Heirs under the Old Age Assistance Claims Settlement Act
P.L. 98-500
Payments made to the Confederated Tribes of the Colville Reservation Grand Coulee Dam Settlement Act
P.L. 103-436
Payments under the Maine Indian Claims Settlement Act of 1980
P.L. 96-420
All other Indian benefits and payments:
For TANF/SFA, RCA, GA, medical, and Basic Food, if Indian payments or benefits are not specifically excluded under WAC 388-450-0040 or any federal law, the payments are counted as unearned income to the AU.
Identify any benefits a client receives from the Alaska Native Claims Settlement Act. The types of benefits issued include:
Cash (including cash dividends on stock received from a Native Corporation);
Shares of stock (including stock issued or distributed by a Native Corporation as a dividend or distribution on stock);
A partnership interest;
Land or an interest in land (including land or an interest in land received from a Native Corporation as a dividend or distribution on stock); and
An interest in a settlement trust.
Disregard:
The first $2,000 per calendar year each client receives from this Act; and
Shares of stock, a partnership interest, land, and interest in a settlement trust.
Count the following as unearned income:
Cash received above the disregard of $2,000 per individual per calendar year; and
Profit earned from the client's Alaska Native Claims Settlement Act resources (e.g., interest or dividend payments earned from investment of the excluded $2,000).
Treat payments from the annuity fund established by the Puyallup Tribe of Indians Settlement Act of 1989, (annuity fund payments) made to a Puyallup Tribe member as follows:
Disregard the payment when the annuity fund payment is kept as cash on hand or deposited in a checking or savings account; and
Budget income (i.e., interest) derived from the annuity fund payment as unearned income.
Document on the REMARKS screen whether you gave the client the information sheet in person or mailed it to the client.
Disregard real or personal property the client bought directly with funds from the annuity fund payment (initial investments). Disregard the amount of the funds invested from the annuity fund payment.
Budget income received from the initial investments as unearned income; and
When the real or personal property bought by the client is not excluded as a resource, count any increase in the initial investment's value as a resource.
At the client's eligibility review, decide if the initial investment has increased in value.
Determine the effect of any increase on the client's resources.
Disregard payments to a Puyallup Tribe member from the Puyallup Tribe of Indians Settlement Act trust fund.
When clients transfer an initial investment, see TRANSFER OF PROPERTY to decide how the transfer affects the client's eligibility.
When a client tells you that the BIA superintendent of the tribe controls their trust fund, use the following procedures:
Request verification of the status of Indian trust funds (including any amount that is in the client's account). DO NOT determine eligibility until you have the verification; and
Refer the client to the superintendent to attempt to make the trust funds above the excluded level available to meet the client's needs.
NOTE:
Excluded level means:
The personal property resource limit for the program
plus
Amounts held in trust or which were received as the result of per capita judgment funds awarded by the Indian Claims Commission or Court of Claims.
Tell the client they must provide us with a written statement from the superintendent telling us:
Whether the superintendent is maintaining control of the client's trust funds; and
Whether trust funds above the excluded level will be available to meet the client's current need.
How to count funds above the excluded level:
Count funds above the excluded level as available to meet needs when:
The funds are paid directly to the client; or
The superintendent pays the funds to someone else for items that duplicate basic needs.
Don't count funds above the excluded level as available to meet needs when:
The funds are not paid out; or
The superintendent pays the funds to someone else for items that do not duplicate items contained in the department's need standard.
Budget the available income as unearned income to the AU.
Review payments from the trust account at each eligibility review.
Request the client to get a written statement from the superintendent to identify all payments and why each payment was made in order to redetermine eligibility.
If necessary, write the superintendent to request the needed information. Enclose a Statement of Collateral Information, DSHS 14-222 and a Release of Information signed by the client.
BIA General Assistance meets "essential needs" of Indians while they wait for a GAU eligibility determination or if they have been denied eligibility for other federal, state, county or local assistance programs.
Refer Indian clients who have applied for GAU to the appropriate Indian agency to apply for BIA General Assistance when the client:
Is a member of a United States federally-recognized tribe; and
Lives on an Indian reservation in Washington State; or
Indians that aren't native to the local BIA are not eligible for BIA General Assistance when they live in a near-reservation designated area.
Have the client complete an Authorization to Release Information, DSHS 14-012(X). Be sure the form is completed to allow the department to provide information to the Indian agency as well as request information from the Indian agency.
Usually, BIA General Assistance is issued when an Indian client is determined not eligible for other assistance programs. In an emergency case, a person may qualify for BIA General Assistance while DSHS makes an eligibility determination. Do not deny benefits to a client because BIA General Assistance is available to them.
When a client gets BIA General Assistance and is found eligible for GAU, count the BIA General Assistance as assistance from other agencies and organizations. See WAC 388-450-0055.
WAC 388-450-0045
WAC 388-450-0045
Effective September 1, 2006
WAC 388-450-0045 How do we count income from employment and training programs?
This section applies to cash assistance, Basic Food and medical programs for families, children, and pregnant women.
We treat payments issued under the Workforce Investment Act (WIA) as follows:
For cash assistance and medical programs for families, children, and pregnant women, we exclude all payments.
For Basic Food:
We exclude OJT earnings for children who are eighteen years of age or younger and under parental control as described in WAC 388-408-0035.
We count OJT earnings as earned income for people who are:
Age nineteen and older; or
Age eighteen or younger and not under parental control.
We exclude all other payments.
We exclude all payments issued under the National and Community Service Trust Act of 1993. This includes payments made through the AmeriCorps program.
We treat payments issued under Title I of the Domestic Volunteer Act of 1973, such as VISTA, AmeriCorps VISTA, University Year for Action, and Urban Crime Prevention Program as follows:
For cash assistance and medical programs for families, children, and pregnant women, we exclude all payments.
For Basic Food we count most payments as earned income. We exclude the payments if you:
Received Basic Food or cash assistance at the time you joined the Title I program; or
Were participating in the Title I program and received an income disregard at the time of conversion to the Food Stamp Act of 1977. We continue to exclude the payments even if you do not get Basic Food every month.
We exclude all payments issued under Title II of the Domestic Volunteer Act of 1973. These include:
Retired Senior Volunteer Program (RSVP);
Foster Grandparents Program; and
Senior Companion Program.
We count training allowances from vocational and rehabilitative programs as earned income when:
The program is recognized by federal, state, or local governments; and
The allowance is not a reimbursement.
When GAU clients receive training allowances we allow:
The earned income incentive and work expense deduction specified under WAC 388-450-0175, when applicable; and
The actual cost of uniforms or special clothing required for the course as a deduction, if enrolled in a remedial education or vocational training course.
We exclude support service payments received by or made on behalf of WorkFirst participants.
JTPA ended and was replaced by the Workforce Investment Act (WIA).
Job Corps
Job Corps is funded though Title 1-C of WIA and is treated as described in WAC 388-450-0045 (1).
WIA Paid Work Experience
Paid work experience that is funded by Title 1 of WIA is treated as described in WAC 388-450-0045(1). For Basic Food purposes, this is considered WIA on-the-job training and must be budgeted according to WAC 388-450-0045(1)(i) and (ii).
AmeriCorps Income
The AmeriCorps program is issued under the National and Community Service Trust Act of 1993. We exclude all payments issued under AmeriCorps. Although it sounds similar, the AmeriCorps and AmeriCorps VISTA programs are two different programs and how we treat the income varies between the two programs.
VISTA / AmeriCorps VISTA Income
The Volunteers In Service To America (VISTA) program, commonly known as AmeriCorps VISTA, is issued under title II of the Domestic Volunteer Act of 1973. How we treat this income for Basic Food depends on receipt of cash or food benefits at the point someone joins the VISTA program.
We exclude VISTA income for all cash and medical programs.
How to identify AmeriCorps or AmeriCorps VISTA and know which stipends to count as income:
AmeriCorps
AmeriCorps VISTA
AmeriCorps participants (typically referred to as members) generally begin their term of service in late summer or fall. (August - October), but on occasion may start at other times throughout the year.
Full-time AmeriCorps members serve for a period of no less than 9 months and not more than 12 months per term of service.
An individual is eligible to serve up to two terms of service in AmeriCorps.
Receive funds under the National and Community Services Trust Act of 1993.
VISTA participants (typically referred to as volunteers) attend a Pre-Service Orientation (PSO) prior to beginning their term of service. Enrollment windows are established by the Corporation for National Service. Enrollment occurs at various times throughout the year.
VISTA volunteers serve for 12 months.
An individual is eligible to serve up to three terms of service in VISTA.
Receive funds under Title I of the Domestic Volunteer Act of 1973.
How to treat AmeriCorps income:
Exclude AmeriCorps income for all programs.
How to treat AmeriCorps VISTA income:
Exclude VISTA income for cash & medical.
For Basic Food:
If the volunteer received cash or Basic Food benefits at the time they joined the VISTA program, exclude the VISTA income.
If the volunteer did not receive cash or Basic Food benefits when they joined the VISTA program, count VISTA payments as earned income.
If someone is not sure whether they are volunteering in a program under AmeriCorps or AmeriCorps VISTA, ask the person for copy of their letter of introduction. The letter will identify the program and should include one of the logos shown in the above table.
WAC 388-450-0050
WAC 388-450-0050
Effective July 1, 2004
WAC 388-450-0050 How does your participation in the community jobs (CJ) program affect your cash assistance and Basic Food benefits?
There are two different types of income in the community jobs program. They are:
Subsidized, where your wages are paid from TANF or SFA funds; and
Unsubsidized, where your wages are paid entirely by your employer.
We figure your total monthly subsidized or unsubsidized income by:
Estimating the number of hours you, your case manager, and the CJ contractor expect you to work for the month; and
Multiplying the number of hours by the federal or state minimum wage, whichever is higher.
Because you are expected to participate and meet the requirements of CJ, once we determine what your total monthly income is expected to be, we do not change your TANF grant if your actual hours are more or less than anticipated.
We treat the total income we expect you to get each month from your CJ position as:
Earned income for cash assistance, except we do not count any of the CJ income for the first month you receive your paycheck.
Earned income for Basic Food after you have been transferred to your employer's regular unsubsidized payroll; or
Unearned income for Basic Food while you have subsidized income.
If your anticipated subsidized income is more than your grant amount, your cash grant is suspended. This means that you are still considered a TANF/SFA recipient, but you do not get a grant.
Your grant can be suspended up to a maximum of nine months.
You can keep participating in CJ even though your grant is suspended, as long as you would be eligible for a grant if we did not count your subsidized income.
The months your grant is suspended do not count toward your sixty-month lifetime limit.
If your unsubsidized income, after we subtract half of what you have earned, is greater than your grant, your TANF/SFA case will close. This happens because your income is over the maximum you are allowed. You will still be able to participate in the CJ program for up to a total of nine months.
If your income from other sources alone, not counting CJ income, makes you ineligible for a cash grant, we terminate your grant and end your participation in CJ.
The Community Jobs (CJ) program places TANF/SFA parents into subsidized jobs when they did not succeed in job search or when the parent may have barriers to employment. See WAC 388-310-1300 for additional information on CJ.
Employer of Record for Community Jobs:
The Community Jobs Contractor (CJC) is the parent's employer of record, not the worksite where the parent is placed. It is not a change if a the parent moves from one job assignment to another so long as the contractor does not change.
Subsidized Income:
There are two types of Community Jobs where the income is subsidized:
The parent is placed in a work assignment (Classic Jobs).
The initial placement (up to five months) in a work assignment where the parent is expected to be hired by the placement site (Career Jump). This is the first phase of Career Jump.
In both cases, the income is earned for TANF/SFA and unearned for Basic Food Assistance.
Unsubsidized:
When the parent moves into the second phase of Career Jump, the placement site officially hires the parent, and the employer then pays the wages. Community Jobs still works with the parent but is not responsible for the wages. This income is earned income for both TANF/SFA and Basic Food Assistance.
WORKER RESPONSIBILITIES
Budgeting CJ income:
The start date for income is the month that the parent will actually receive the first paycheck. This first month’s income is not counted towards the TANF grant.
EXAMPLE
Parent starts work on the job site March 14th but does not receive the first paycheck until April 10th. The first month of income is April.
ACES automatically excludes a parent's anticipated CJ income for TANF / SFA and counts it for Basic Food in the parent's first month of CJ participation.
If you enter a change in income that causes the grant to be less than $10.00, ACES will put the case into suspense.
EXAMPLE
Parent starts work March 14th and expects to receive the first check on April 10th. The CJ contractor indicates the first paycheck will be for 2 weeks, 20 hours per week, at $7.16 per hour. The second paycheck, scheduled for April 24, will also be for 2 weeks, 20 hours per week at $7.16 per hour. For April, you should budget 20 x $7.16 x 2 x 2.15 = $615.76. For TANF, ACES will ignore this income for April only and will budget it for May as earned income. For Basic Food, ACES will budget this income as unearned income in April and May.
If CJ income alone makes the AU ineligible for TANF / SFA:
If there is no other income other than CJ wages and these wages alone put the AU over the maximum earned income limit for TANF / SFA under WAC 388-478-0035, then keep the case in suspense throughout the CJ enrollment period. See "When CJ income puts a case in suspense" below.
If the AU has income from CJ and another source:
The countable income from the other source alone puts the AU over the appropriate payment standard, terminate cash benefits and end the parent's CJ component; or
The AU would still be eligible without counting the CJ income, then suspend TANF/SFA and continue with the CJ component.
The Division of Child Support forwards the child support payments to the parent and these payments are budgeted against the Basic Food benefits as unearned income. The support payments are not retained support.
If CJ income causes a reduction in the grant:
This may cause the AU's child support to be more than their TANF/SFA grant. If the AU's child support exceeds the cash grant for two months, ACES automatically closes the case.
To keep the client participating in CJ when the case has been closed, you must code the CJ wages as "OF" (other countable FS income) on the unearned income screen.
At the next 90-day review, decide if the case should be terminated. See WAC 388-310-1300.
The transition from subsidized to unsubsidized “Career Jump” wages”:
Community Jobs will inform you when the transition to the employer’s payroll takes place. The income changes from unearned for Basic Food Assistance to earned income, for the month the first unsubsidized paycheck is received.
EXAMPLE
The parent’s last month of subsidized income is April and starts working for the employer on May 1st. The income is earned for both TANF/SFA and Basic Food Assistance effective May 1st.
NOTE:
If you leave a parent with subsidized-income as having subsidized income, the client will not get the earned income deduction for Basic Food. This may create a payment error.
When the CJC reports a change:
If the CJC reports a change that affects a client's benefits, follow the change of circumstances rules in WAC 388-418-0020.
WAC 388-450-0055
WAC 388-450-0055
Effective March 2, 2006
WAC 388-450-0055 How does needs-based assistance from other agencies or organizations count against my benefits?
For cash assistance and medical programs for children, pregnant women, and families:
We do not count needs-based assistance given to you by other agencies or organizations if the assistance is given to you for reasons other than ongoing living expenses which do not duplicate the purpose of cash assistance programs. Ongoing living expenses include the following items:
Clothing;
Food;
Household supplies;
Medical supplies (nonprescription);
Personal care Items;
Shelter;
Transportation; and
Utilities (e.g., lights, cooking fuel, the cost of heating or heating fuel).
If the needs-based assistance given to you is supposed to be used for ongoing living expenses, then it duplicates the purpose of cash assistance programs. We count the amount remaining after we subtract the difference between the need standard and the payment standard for your family size as described in chapter 388-478 WAC.
“Needs-based” means eligibility is based on an asset test of income and resources relative to the Federal Poverty Level (FPL). This definition excludes such incomes as retirement benefits or unemployment compensation which are not needs-based.
For food assistance:
We do not count money given to you if:
It is given to you by a private, nonprofit, charitable agency or organization; and
The amount of money you get is no more than three hundred dollars in any one of the following calendar quarters:
January - February - March,
April - May - June,
July - August- September,
October - November - December.
We count the entire amount if the requirements in (a) of this subsection are not met.
For cash assistance, food assistance, and medical programs for children, pregnant women, and families, if we do count the needs-based assistance you get, we treat it as unearned income under 388-450-0025.
Can come from public or private agencies or organizations.
For cash and medical assistance, we can exclude money given by public or for-profit companies as long as the money is not intended for ongoing living expenses. For Basic Food, we must count any money given by a public or for-profit company.
WORKER RESPONSIBILITIES
For cash assistance programs for children, pregnant women, and families
Verify the following information:
How much assistance the client receives;
How often the client receives the assistance;
Why the client receives the assistance;
What conditions the client had to meet to receive the assistance; and
What the client must do to continue to receive the assistance.
Subtract the following from the gross assistance:
Any amount that is not intended to cover ongoing living expenses; and
Any amount provided under conditions which prevent it from being used for the client's current living expenses (e.g., a damage deposit provided by the Salvation Army for the AU to relocate after a fire); and
The difference between the need standard and payment standard for the AU.
Budget any remaining assistance as unearned income for the month.
EXAMPLE
A three-person AU got $1,500 in assistance from a local community agency after their apartment complex was condemned. Of the $1,500, $600 is intended for a damage deposit at the new apartment the agency found for the AU. The other funds are for household items.
Total Assistance
$1,500
Need Standard
$1,247
Less Damage Deposit
- 600
Payment Standard
- 546
Amount Duplicating Need
$ 900
Disregard Amount
$ 701
Disregard Amount
- 701
Available Income
$ 199
WAC 388-450-0065
WAC 388-450-0065
Effective September 12, 2002
WAC 388-450-0065 Gifts - Cash and noncash.
A gift is an item furnished to a client without work or cost on his or her part.
A cash gift is a gift that is furnished as money, cash, checks or any other readily negotiable form.
For cash assistance and medical programs for children, pregnant women and families, cash gifts totaling no more than thirty dollars per calendar quarter for each assistance unit member are disregarded as income.
For food assistance programs:
Cash gifts to the assistance unit are excluded if they total thirty dollars or less per quarter;
Cash gifts in excess of thirty dollars per quarter are counted in full as unearned income.
For cash assistance and medical programs for children, pregnant women and families, and food assistance, a noncash gift is treated as a resource.
If the gift is a countable resource, its value is added to the value of the client's existing countable resources and the client's eligibility is redetermined as specified in chapter 388-470 WAC.
If the gift is an excluded or noncountable resource, it does not affect the client's eligibility or benefit level.
For Basic Food, the definition of "quarter" for this rule is any consecutive three-months. The quarter does not have to be a calendar quarter.
A gift is an item voluntarily given to someone without expecting something in return. Some common examples where someone may receive a gift include birthdays, Christmas, weddings, and graduations.
A cash gift is a gift that is in the form of cash, checks, or a sellable security such as stocks or bond.
A non-cash gift is any gift that is not considered a cash gift. Examples of non-cash gifts include:
Real or personal property (e.g., a home, television, furniture, jewelry, or new furnace); and
Goods or services provided at no charge to the client (e.g., free phone service provided by the telephone company.)
WORKER RESPONSIBILITIES
Cash gifts for cash assistance and medical programs for children, pregnant women and families:
If more than one person share a cash gift, find out the client's share in the gift by dividing the value of the gift by the number pf persons receiving it. If the person giving the gift states that the gift must be divided a specific way, use the method stated by the gift giver.
Disregard the first $30 each person gets in cash gifts for each calendar quarter.
Budget any amount above the $30 disregard as unearned income to the AU.
Cash gifts for Basic Food:
If the AU received more than $30.00 as a cash gift, budget the entire amount of the gift as unearned income for the month; or
If the AU received $30.00 or less as a cash gift, disregard the cash gift if any one of these conditions are met:
If the cash gifts to the AU over the current and previous two months total $30.00 or less;
If the cash gifts to the AU over the last month, the current month, and those expected for the next month total $30.00 or less.
If none of the conditions in b. are met, budget the entire amount of the gift as unearned income for the month you expect the client to get the income. If a client doesn't know that they will get a cash gift in time for use to affect the client's benefits, do not budget the gift. See INCOME - Income Budgeting.
Non-cash gifts for cash assistance and medical programs for children, pregnant women and families:
Disregard non-cash gifts when:
The gift is a voucher or vendor payment (a payment made for a client by another person to a vendor of goods and services);
The donor states in writing that the gift must be used for a specific purpose;
The gift is within the resource limits for the program the client receives; or
The gift is excluded.
For information on non-cash gifts as resources, see the specific resource type in RESOURCES.
WAC 388-450-0070
WAC 388-450-0070
Effective February 1, 2002
WAC 388-450-0070 How do we count the earned income of a child?
For food assistance and medical programs for families, children, and pregnant women, we do not count the earnings of a child if the child is:
In school;
Age seventeen or younger;
Not married; and
Not emancipated.
For cash assistance, we do not count the earnings of a child if the child is:
A child’s age on the first day of the month is their age for that month. For example, a child turns 18 on February 6. We consider them as 17 in February and 18 in March.
Even though they have children of their own, minor parents are considered children for the purposes of this rule. They can qualify for the earnings exclusion if they meet the other eligibility requirements.
A child who meets the age requirements can be attending any type of educational program and have their earnings excluded. This includes vocational training and college courses.
The month after the income is received, we count the child’s earnings as a resource even if we did not count them as income. The child’s resources are added to the resources of the entire assistance unit (AU) for that month to determine eligibility for the entire AU. The child’s income can be excluded as a resource if placed in an irrevocable educational trust.
WORKER RESPONSIBILITIES
When a client reports that a child is working, accept the client’s statement for the student status and employment. Verify only if questionable.
The client can use either the DSHS 14-223, Statement From School, or provide a statement from the school for verification of student status.
If the child age 17 or younger is in school for any amount of time, exclude their earnings regardless of the number of hours they work.
If the child is over age 17 but under age 21:
Count the earnings for Basic Food and medical programs for families, children, and pregnant women.
For cash assistance, exclude the earnings if the child meets the requirements in WAC 388-404-0005. If the child does not meet these requirements, count the earnings.
If the child is not in school, count the earnings.
Tell the client they may put the child's income into an irrevocable educational trust for the child.
Give the client form DSHS 22-954(X), "How to set up an irrevocable educational trust for your child."
If the client wants to set up an irrevocable educational trust for their child, give the client form DSHS 18-555(X), "Irrevocable Educational Trust."
Keep the pink copy of the completed form DSHS 18-555(X) in the case record.
WAC 388-450-0010
WAC 388-450-0010
Effective October 31, 2002
WAC 388-450-0010 The department takes some or all of your time-loss benefits if you get cash assistance while waiting for your claim to be processed
Some people who are hurt on the job can get time-loss benefits because of their injury. The time-loss benefits are paid by an agency, such as the department of labor and industries or a private insurance company.
If you are an adult or minor child who gets cash assistance while waiting for your time-loss benefit claim to be processed, you are required to let the department take some or all of your time-loss benefits as repayment for your cash assistance. We will take our portion of the time-loss benefits before you get yours. You agree to this when you sign the application and accept your cash benefits.
The amount of your time-loss benefits that we take will not be more than the total amount of cash assistance you got while waiting for your claim to be approved.
If your assistance unit includes another adult to whom you are not married, the amount of your time-loss benefits we take may be less than the amount of cash assistance you received.
Each time we take our portion from your time-loss benefits, the office of financial recovery (OFR) will send you a letter telling you how much we are taking.
If you or your attorney claim that you are getting more time-loss benefits because of the help of your attorney, OFR will:
First, figure out:
How much of your time-loss benefits are a direct result of your attorney's work; and
Our proportionate share of your attorney's fees and costs for the amount we are taking; and
Then, either:
Subtract our share of your attorney's fees and costs from the amount we are taking; or
Send your attorney their share of the time-loss benefits we have taken.
Retroactive payments for time-loss benefits are considered lump sums. To find out how to treat these payments, see WAC 388-455-0005. Count only the amount of the lump sum that the client receives. Do not count any amount the department recovers.
We do not recover time-loss compensation from clients that receive AREN payments if they don't receive ongoing assistance.
WORKER RESPONSIBILITIES
When a Cash or Family Medical Client Has a Pending Time-loss Compensation Claim or Files a Claim with Labor and Industries (L&I)
Fill out the Time-Loss Benefits Claim Information form, DSHS 18-255 and forward it to the Office of Financial Recovery (OFR).
If the client has additional medical coverage, complete the DSHS 14-194(X), Medical Coverage Information form.
Let the client know that when they accept public assistance, DSHS has the right to recover net time-loss compensation. Also tell them that OFR identifies time-loss compensation and decides how much they owe the department.
If a client disagrees with the department recovering time-loss compensation benefits, let the client know they may request a fair hearing.
WAC 388-450-0080
WAC 388-450-0080
Effective September 1, 2006
WAC 388-450-0080 What is self-employment income?
This section applies to cash assistance, Basic Food, and medical programs for children, pregnant women and families.
Self-employment income is income you earn from running a business, performing a service, selling items you make, or re-selling items to make a profit.
You are self-employed if you earn income without having an employer/employee relationship with the person who pays you. This includes, but is not limited to, when:
You have primary control of the way you do your work; or
You report your income using IRS Schedule C, Schedule C-EZ, Schedule K-1 or Schedule SE.
You usually have an employer/employee relationship when:
The person you provide services for has primary control of how you do your work; or
You get an IRS Form W-2 to report your income.
Your self-employment does not have to be a licensed business for your business or activity to qualify as self-employment. Some examples of self-employment include:
Childcare that requires a license under chapter 74.15 RCW;
Driving a taxi cab;
Farming/fishing;
Odd jobs such as mowing lawns, house painting, gutter cleaning, or car care;
Running a lodging for roomers or boarders. Roomer income includes money paid to you for shelter costs by someone not in your assistance unit who lives with you when:
You own or are buying your residence; or
You rent all or a part of your residence and the total rent you charge all others in your home is more than your total rent.
Running an adult family home;
Providing services such as a massage therapist or a professional escort;
Retainer fees to reserve a bed for a foster child;
Selling items you make or items that are supplied to you;
Selling or donating your own biological products such as providing blood or reproductive material for profit;
Working as an independent contractor; and
Running a business or trade either on your own or in a partnership.
If you are an employee of a company or person who does the activities listed in subsection (2) above as a part of your job, we do not count the work you do as self-employment.
Self-employment income is counted as earned income as described in WAC 388-450-0030 except as described in subsection (7).
For cash assistance and Basic Food there are special rules about renting or leasing out property or real estate that you own.
We count the income you get as unearned income unless you spend at least twenty hours per week managing the property.
For TANF/SFA, we count the income as unearned income unless the use of the property is a part of your approved individual responsibility plan.
To determine whether a job is self-employment, we:
Accept the customer's statement that their work is self-employment unless it is questionable.
Accept a company's statement that the customer is self-employed unless there is evidence to the contrary.
Review the specific circumstances of the work only when the customer statement is questionable and there is no company to verify the business relationship.
NOTE:
Document whether the job is self-employment once this has been determined.
EXAMPLE
Jorge is a newspaper carrier. He is not certain if he is an employee or an independent contractor (self-employed). We contact the people at the newspaper, and they state that Jorge is an independent contractor. We treat Jorge's newspaper income as self-employment earnings.
EXAMPLE
Lydiaworks constructing patios for people. She declares that she is an independent contractor (self-employed). There is no reason to question her statement, and we treat her earnings as self-employment.
2.Self-Employed versus Employee:
a.When we do have to review the specific circumstances of a case to determine whether someone is a self-employed/independent contractor or an employee, we consider the relationship of the worker to the person or business, and whether or not this forms an employer/employee relationship.
b.Often tax documents will sufficiently address the relationship of a person to either their employer or business.
c.When tax information is unavailable or unclear, we must review the specific circumstances to decide if a person's work is self-employment. In general:
i.Self-employed persons will have ultimate control of the way the work is done - when, where, and how. Self-employed persons will generally use their own tools and offer their services to the public to seek business.
ii.Employees will be under more direct control as to how their work is done and will usually have set hours and wages by the employer.
Click Here for a chart that gives more guidance on determining self-employment status.
EXAMPLE
The Aging and Disability Services Administration (ADSA) individual providers work at the direction and control of the person to whom they provide care as well as the state. Their hours and wages are set by the customer and the state. Also, they receive benefits and have representation. WAC388-71-0505 requires COPES customers to establish an employer-employee relationship. COPES and other ADSA individual providers are employees.
EXAMPLE
Yvonne cleans houses for several people. She uses some of her own tools, but mostly the cleaning products of the homeowners. She bases when she does the work upon the schedules of the different homeowners, but has ultimate control of when she schedules her different jobs or whether she accepts more houses to clean. Yvonne calls her service "Yvonne's Housecleaning" and posts fliers at local businesses to attract more customers. Yvonne is self-employed.
Child Care:
People who are child care providers that are subject to the licensing requirements under chapter 74.15 RCW are considered self-employed, even if they do not have a current license. Child day-care center operators and family home day-care providers are self-employed.
People who are not required to be licensed under state law to provide care are considered to have an employer/employee relationship with the parent of the child for whom they provide care. These unlicensed individual providers are considered employees.
EXAMPLE
Betty is an individual provider paid by Ms. Lee to provide care in the child's home. Betty is Ms. Lee's employee.
EXAMPLE
Lance cares for ten neighborhood children in his home while their parents are at work on a regularly scheduled basis. He has not yet applied for a license to operate this family home, as is required by state law for people regularly caring for children outside of their own homes. Lance is self-employed.
Independent contractors:
Independent contractors are self-employed. The guidelines above apply to determining a self-employed contractor from an employee. Subcontractors are independent contractors who contract with another firm versus directly with the customer, and are also self-employed.
EXAMPLE
Robert works as a freelance gardener for several private households. He also subcontracts his services with a local landscaping firm for additional business. Robert is self-employed.
Corporations:
People who run their business out of a corporation are not considered self-employed. This is true even if the person is the sole investor in the business. Corporations are separate entities from their investors and employees. The person is considered an employee of a corporation, and may also have income from dividends related to any investment in the corporation. See Treatment of Income for information on budgeting income from dividends and regular earnings.
Corporations include S Corporations and can include Limited Liability Companies (LLC) if they are set up as corporate structures. Partnerships are not incorporated, and are considered self-employment enterprises. For more information on various business structures, visit the IRS website.
Selling self-produced items:
Examples of selling self-produced items include someone running a lemonade stand or selling vegetables from their garden at the local farmer’s market.
Re-sale income:
Examples of re-sale income include selling itemsfor profitat garage sales, or on an online auction site such as e-Bay.
NOTE:
This does not include when someone sells their personal belongings at a garage sale or even on an auction site for at or under the amount they originally paid. A person selling their belongings who does not make a profit is selling a resource and is not self-employed.
WAC 388-450-0085 Does the department count all of my self-employment income to determine if I am eligible for benefits?
This section applies to cash assistance, Basic Food, and medical programs for children, pregnant women, and families. We decide how much of your self-employment income to count by:
For cash, Basic Food, and family medical programs:
We must count actual income in the month of application.
a. Adding together your gross self-employment income and any profit you make from selling your business property or equipment;
b. Subtracting your business expenses as described in subsection (2) below; and
c. Dividing the remaining amount of self-employment income by the number of months over which the income will be averaged.
2. We subtract one hundred dollars as a business expense even if your costs are less than this. If you want us to subtract your actual costs of more than one hundred dollars, you must list and give us proof of your expenses for us to count them. We never allow the following expenses:
a. Federal, state, and local income taxes;
b. Money set aside for retirement purposes;
c. Personal work-related expenses (such as travel to and from work);
d. Net losses from previous periods;
e. Depreciation; or
f. Any amount that is more than the payment you get from a boarder for lodging and meals.
3. If you have worked at your business for less than a year, we figure your gross self-employment income by averaging:
a. The income over the period of time the business has been in operation; and
b. The monthly amount we estimate you will get for the coming year.
4. For cash and medical assistance, if your self-employment expenses are more than your self-employment income, we do not use this "loss" to reduce income from other self-employment businesses or other sources of income to your assistance unit.
5. For Basic Food, we use a "loss" from self-employment farming or fishing income to reduce other sources of income only if you meet the following three conditions:
a. Someone in your assistance unit is a self-employed farmer or fisher;
b. Your gross yearly income from farming or fishing is or is expected to be at least one thousand dollars; and
c. Your allowable costs for farming or fishing are more than your income from farming or fishing.
For children's and pregnancy medical programs:
6. If you have worked long enough at the business to file a federal tax return last year and it represents you current income, we figure your gross self-employment income by:
a. Adding together your gross self-employment income and any profit you make from selling your business property or equipment;
b. Subtracting your allowable business expenses except as described in subsection (2) above; and
c. Averaging the income over the period the income covers.
7. If you have worked at your business for less than a year or if you did not file a federal tax return in the last year, we figure your gross self-employment income by:
a. Adding together your gross self-employment income and any profit you make from selling your business property or equipment over the period of time the business has been in operation within the last year;
b. Subtracting your allowable business expenses except as described in subsection (2) above; and
c. Averaging the income we estimate you will get for the coming year.
We always allow the $100 standard deduction if the client doesn’t choose to claim actual costs for non-boarder self-employment income.
This includes when the client:
Claims no self-employment expenses;
Has self-employment expenses under $100.00;
Has gross self-employment income under $100.00; or
For Basic Food and cash assistance, the self-employment income is unearned. See WAC 388-450-0080(5) for when self-employment income is treated as unearned income.
Some examples of allowable expenses are:
Rent or lease of business equipment or property;
Utilities;
Postage;
Telephone;
Office supplies;
Advertising;
Business related insurance, taxes, licenses, and permits;
Insurance premiums for a medical plan established under the business;
Legal, accounting, and other professional fees;
Repairs to business equipment and property;
Gross wages and salaries paid to employees;
Business loans (interest and principle) used to buy income-producing property or equipment; and
The cost of a home office or place of business in the home if the area is used exclusively and regularly for business purposes. We cannot allow the cost for any area used for both personal and business use.
Transportation costs such as gas, oil, replacing worn items, registration and licensing fees, and auto loans. The client may claim the actual transportation costs or use the State standard cost per mile. The Office of Financial Management publishes the standard cost for a privately owned vehicle in section 10.90.20 of the State Administrative and Accounting Manual: http://www.ofm.wa.gov/policy/10.90a.pdf
NOTE:
The rate as of July 1, 2008 was $.585 / mile.
If someone chooses to use their actual expenses instead of the standard deduction, they must list out and give us proof of the expenses before we can use them.
WORKER RESPONSIBILITIES
Determine gross self-employment income:
To determine gross self-employment income, count:
The sales for items the business sold;
Gross income from providing services;
Profit from selling business property or equipment.
Net self-employment income:
A person's net self-employment income is Gross self-employment income; minus:
Their allowable self-employment expenses; or
The $100 self-employment expense deduction.
Budget self-employment income:
When someone earns self-employment income, average the income over the period the income covers. If they choose to claim actual self-employment expenses, average their allowable expenses over the same period.
If the person gets their annual income as self-employment income, and they get this income over a period of less than a year, average the self-employment income over the year.
If a person's income is from self-employment for only part of the year, average the income over the period of time the income covers.
If the averaged income doesn't reflect what the person will get because of a significant increase or decrease in business;
Anticipate the person's self-employment income for each month; and
Average any capital gains they will get over the year.
If someone chooses to use their actual expenses instead of the standard deduction, average or anticipate the expenses for the same period of time you use for the income.
Calculate each self-employment business separately:
Each self-employment business is separate. Calculate the net self-employment income for each self-employment enterprise separately.
Do not use the losses on one business to offset the profit of another business.
Do not use the losses of one period to offset the profits of another period.
Calculate the client's total net farm or fishing self-employment income.
If allowable expenses are more than the self-employment fishing / farming income, ACES uses this loss to reduce any other sources of self-employment income.
If there are remaining losses from fishing / farming, ACES uses this income to reduce other sources of earned and unearned income to the assistance unit after allowing the earned income deduction under WAC 388-450-0185.
Room and board income:
Count only payments people pay directly to the AU for room and board as income. This includes foster care payments if the person in foster care is a member of the AU.
Do not use the standard $100 deduction as an expense. Instead, use either:
The maximum Basic Food allotment for a household size equal to the number of boarders (see WAC 388-478-0060 ); or
The actual, verified cost of providing room and meals if it is more than the maximum allotment and the cost is separate from normal living expenses.
Roomer income:
Use the steps described below to determine what deductions to allow when someone has roomer income.
Use either the standard self-employment deduction as a self-employment expense or:
Verified non-board costs, such as laundry expenses; and
For people buying their home, a prorated share of the mortgage, taxes, and insurance if they don't use the entire shelter cost toward the shelter deduction. Base the pro-ration on the number of total bedrooms in the house.
Give the person the choice of using the entire shelter cost toward their shelter deduction or using a portion of it as a business expense.
Households that rent and have a roomer cannot use their rent as a business expense. Count the amount of rent from the roomer that is more than their rent obligation as income to the household.
To decide what to count as a shelter expense, see the Shared Living / Roomer section of Clarifying Information under WAC 388-450-0190.
NOTE:
People in the same Assistance Unit who share household costs are not roomers. We do not count these shared household costs as roomer income.
EXAMPLE
Stan is buying his home and rents out the basement. His tenant pays a flat rate of $275 each month. Stan chooses to use actual expenses, rather than the standard $100 Self-Employment deduction. We allow a pro-rated portion of his mortgage, taxes and insurance, as an allowable business expense.
(Stan's shelter deduction would be the utility allowance he is eligible to get under WAC 388-450-0195 and the portion of his housing costs that wasn't taken as a business expense.)
EXAMPLE
Louise is renting her home for $300 per month. She charges Jolene $350 to sublet her second floor. Count the $50 profit Louise receives as self-employment income.
Rental property:
Rental property that is subject to the criteria in WAC 388-450-0080 (5) is property that someone owns, but is not their residence.
We count any managerial duties toward the 20-hour weekly requirement for us to count rental property as self-employment earned income under WAC 388-450-0080. Count time people spend bookkeeping, showing the property to possible tenants, doing yard work, repairs, etc. as time spent managing the property.
Budget the gross earned or unearned income from renting the property after subtracting the standard self-employment deduction or the following verified expenses:
Property tax or a prorated share of the tax if their home and the rental property are taxed as a single unit;
Maintenance costs for the property;
The mortgage or sales contract payment for the rental property or a prorated share if their property and the rental property are in the same loan or contract; and
The insurance premium or a prorated share if they insure their home and rental property as a unit.
