WAC 388-513-1340 Determining excluded income for long-term care (LTC)

This section describes income the department excludes when determining a client's eligibility and participation in the cost of care for LTC services with the exception described in subsections 31.  

1. Crime victim’s compensation;

2. Earned income tax credit (EITC);

3. Native American benefits excluded by federal statute (refer to WAC 388-450-0040;

4. Tax rebates or special payments excluded by other statutes;

5. Any public agency’s refund of taxes paid on real property and/or on food;

6. Supplemental Security Income (SSI) and certain state public assistance based on financial need;

7. The amount a representative payee charges to provide services when the services are a requirement for the client to receive the income;

8. The amount of expenses necessary for a client to receive compensation, e.g., legal fees necessary to obtain settlement funds;

9. Any portion of a grant, scholarship, or fellowship used to pay tuition, fees, and/or other necessary educational expenses at any educational institution;

10. Child support payments received from an absent parent for a child living in the home are considered the income of the child;

11. Self-employment income allowed as a deduction by the Internal Revenue Service (IRS)

12. Payments to prevent fuel cut-offs and to promote energy efficiency excluded by federal statute;

13. Assistance (other than wages or salary) received under the Older Americans Act;

14. Assistance (other than wages or salary) received under the foster grandparent program;

15. Certain cash payments a client receives from a governmental or nongovernmental medical or social service agency to pay for medical or social services;

16. Interest earned on excluded burial funds and any appreciation in the value of an excluded burial arrangement that are left to accumulate and become part of the separately identified burial funds set aside;

17. Tax exempt payments received by Alaska natives under the Alaska Native Settlement Act established by P.L. 100-241;

18. Compensation provided to volunteers in ACTION programs under the Domestic Volunteer Service Act of 1973 established by P.L. 93-113;

19. Payments made from the Agent Orange Settlement Fund or any other funds to settle Agent Orange liability claims established by P.L. 101-201;

20. Payments made under section six of the Radiation Exposure Compensation Act established by P.L. 101-426;

21. Restitution payment, and interest earned on such payment to a civilian of Japanese or Aleut ancestry established by P.L. 100-383;

22. Payments made under sections 500 through 506 of the Austrian General Social Insurance Act;

23. Payments from Susan Walker v. Bayer Corporation, et. al., 95-C-5024 (N.D. Ill.) (May 8, 1997) settlement funds;

24. Payments ma de from the Ricky Ray Hemophilia Relief Fund Act of 1998 established P.L. 105-369;

25. Payments made under the Disaster Relief and Emergency Assistance Act established by P.L. 100-387;

26. Payments made under the Netherlands’ Act on Benefits for Victims of Persecution (WUV);

27. Payments made to certain survivors of the Holocaust under the Federal Republic of Germany’s Law for Compensation of National Socialist Persecution or German Restitution Act;

28. Interest or dividends received by the client is excluded as income.  Interest or dividends received by the community spouse of an institutional individual is counted as income of the community spouse.  Dividends and interest are returns on capital investments such as stocks, bond, or savings accounts.  Institutional status is defined in WAC 388-513-1320;  

29. Income received by ineligible or nonapplying spouse from a governmental agency for services provided to an eligible client, e.g., chore services;

30. Department of Veterans Affairs benefits designated for:

    1. The veteran’s dependent;

    2. Unusual medical expenses, aid and attendance allowance, and housebound allowance, with the exception described in subsection (31);

31. Benefits described in subsection (30) (b) for a client who resides in a state veterans’ home and has no dependents are excluded when determining eligibility, but are considered available when determining participation in the cost of care.

WAC 388-513-1345 Determining disregarded income for institutional or hospice services under the medically needy (MN) program

This section describes income the department disregards when determining a client’s eligibility for institutional or hospice services under the MN program. The department considers disregarded available when determining a client’s participation in the cost of care.   

1. The department disregards the following income amounts in the following order:

   1. Income that is not reasonably anticipated, or is received infrequently or irregularly, when such income does not exceed:

      1. Twenty dollars per month if unearned; or

      2. Ten dollars per month if earned.

   2. The first twenty dollars per month of earned or unearned income, unless the income paid to a client is:

      1. Based on need; and

      2. Totally or partially funded by the federal government or a private agency;

2. For a client who is related to the Supplemental Security Income (SSI) program as described in WAC 388-503-0510 (1) ,the first sixty-five dollars per month of earned income not excluded under WAC 388-513-1340, plus one-half of the remainder.

3. For a TANF/SFA-related client, fifty percent of gross earned income.

4. Department of Veterans Affairs benefits, if:

   1. Those benefits are designated for:

      1. Unusual medical expenses;

      2. Aid and attendance allowance; or

      3. Housebound allowance; and

   2. The client:

      1. Resides in a state veterans’ home; and

      2. Has no dependents.

5. Income the Social Security Administration withholds from SSA Title II benefits for the recovery of an SSI overpayment.