Iowa Admin. Code r. 441-65.29 - Income
(1)
Self-employment income. "Self-employment income" means the net
profit from self-employment.
a.
Determination of net profit. "Net profit from self-employment"
means gross self-employment income less:
(1) A
standard amount of 40 percent, as allowed by the state's family investment
(TANF) program, or
(2) At the
household's request, actual allowable expenses as specified in federal
regulations at
7 CFR
273.11 as amended to May 2,
2022.
b.
Uneven
proration of self-employment income. Once a household with
self-employment income is determined eligible, the household has the following
options for computation of the benefit level:
(1) Using the same monthly self-employment
income amount which was used to determine eligibility, or
(2) Unevenly prorating the household's annual
self-employment income over the period for which the household's
self-employment income was averaged to more closely approximate the time when
the income is actually received. If this option is chosen, the self-employment
income assigned in any month together with other income and deductions at the
time of certification cannot result in the household's exceeding the maximum
monthly net income eligibility standards for the household's
size.
(2)
Unemployment insurance benefits. The department shall verify
unemployment insurance benefits by using information supplied by the department
of workforce development.
When the client notifies the agency that the amount of unemployment insurance benefits used is incorrect, the client shall be allowed to verify the discrepancy. A benefit adjustment shall be made when indicated.
(3)
Interest income. Prorate interest income by dividing the
amount anticipated during the certification period by the number of months in
the certification period.
(4)
Social security plans for achieving self-support (PASS).
Notwithstanding anything to the contrary in these rules or regulations, exclude
income amounts necessary for fulfillment of a plan for achieving self-support
(PASS) under Title XVI of the Social Security Act.
(5)
Student income. In
determining eligibility, the department shall exclude educational income,
including any educational loans on which payment is deferred, grants,
scholarships, fellowships, veterans' educational benefits, and the like
excluded under Title XIX of the Social Security Act (42 U.S.C. 1396 et seq.)
for the state's modified adjusted gross income (MAGI)-related medical
assistance program, subject to paragraph 65.29(5)"d."
a. Notwithstanding anything to the contrary
in these rules or regulations, the department shall exclude educational income
based on amounts earmarked by the institution, school, program, or other
grantor as made available for the specific costs of tuition, mandatory fees,
books, supplies, transportation and miscellaneous personal expenses (other than
living expenses).
b. If the
institution, school, program, or other grantor does not earmark amounts made
available for the allowable costs involved, students shall receive an exclusion
from educational income for educational assistance verified by the student as
used for the allowable costs involved. Students can also verify the allowable
costs involved when amounts earmarked are less than amounts that would be
excluded by a strict earmarking policy.
c. For the purpose of this rule, mandatory
fees include the rental or purchase of equipment, materials and supplies
related to the course of study involved.
d. Certain types of student income must be
treated as follows, regardless of how they are considered for MAGI-related
medical assistance.
(1) Wages may not be
excluded.
(2) Federally funded work
study is excluded.
(3) State-funded
work study is excluded up to the amount earmarked for educational
expenses.
(6)
Welfare reform and regular household honorarium income. All
moneys paid to a SNAP household in connection with the welfare reform
demonstration longitudinal study or focus groups shall be exempted.
(7)
Income of ineligible
aliens. The department shall use all but a pro rata share of
ineligible aliens' income and deductible expenses to determine eligibility and
benefits of any remaining household members.
(8)
Unearned income.
Unearned income is any income in cash that is not gained by labor or service.
When taxes are withheld from nongovernment sources of unearned income, the
amount considered will be the net income after the withholding of taxes
(Federal Insurance Contribution Act, state and federal income taxes). Net
unearned income shall be determined by deducting reasonable income-producing
costs from the gross unearned income. Money left after this deduction shall be
considered gross income available to the household.
Notes
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