Source: http://www.law.cornell.edu/uscode/text/20/1087pp?quicktabs_8=2
Timestamp: 2014-07-23 03:29:23
Document Index: 292105111

Matched Legal Cases: ['§ 1087', '§ 1087', '§ 1087', 'art 2', '§ 476', '§ 406', '§ 14', '§ 471', '§ 2', '§ 609', '§ 474', '§ 8017', '§ 601', '§ 8017', '§ 8017', '§ 474', '§ 474', '§ 474', '§ 474', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 14', '§ 8017']

20 U.S. Code § 1087pp - Family contribution for independent students without dependents other than a spouse | LII / Legal Information Institute
U.S. Code › Title 20 › Chapter 28 › Subchapter IV › Part E › § 1087pp 20 U.S. Code § 1087pp - Family contribution for independent students without dependents other than a spouse
Computation of expected family contribution For each independent student without dependents other than a spouse, the expected family contribution is determined by—
the family’s contribution from available income (determined in accordance with subsection (b) of this section); and
dividing the sum resulting under paragraph (1) by the number of students who are enrolled or accepted for enrollment, on at least a half-time basis, in a degree, certificate, or other program leading to a recognized educational credential at an institution of higher education that is an eligible institution in accordance with the provisions of section 1094 of this title during the award period for which assistance under this subchapter and part C of subchapter I of chapter 34 of title 42 is requested; and
for periods of enrollment of less than 9 months, for purposes other than subpart 2 of part A of this subchapter—
dividing the quotient resulting under paragraph (2) by 9; and
Family’s contribution from available income (1)
In general The family’s contribution from income is determined by—
deducting from total income (as defined in section 1087vv of this title)—
for single or separated students, or married students where both are enrolled pursuant to subsection (a)(2)—
for academic year 2009–2010, $7,000;
for academic year 2010–2011, $7,780;
for academic year 2011–2012, $8,550; and
for academic year 2012–2013, $9,330; and
for married students where 1 is enrolled pursuant to subsection (a)(2)—
for academic year 2009–2010, $11,220;
for academic year 2010–2011, $12,460;
for academic year 2011–2012, $13,710; and
for academic year 2012–2013, $14,960;
in the case where a spouse is present, an employment expense allowance, as determined in accordance with paragraph (4); and
the amount of any tax credit taken under section 25A of title 26; and
assessing such available income in accordance with paragraph (5).
Allowance for social security taxes The allowance for social security taxes is equal to the amount earned by the student (and spouse, if appropriate), multiplied by the social security withholding rate appropriate to the tax year preceding the award year, up to the maximum statutory social security tax withholding amount for that same tax year.
Employment expenses allowance The employment expense allowance is determined as follows (or using a successor provision prescribed by the Secretary under section 1087rr of this title):
If the student is married and the student’s spouse is employed in the year for which income is reported, such allowance is equal to the lesser of $2,500 or 35 percent of the earned income of the student or spouse with the lesser earned income.
If a student is not married, the employment expense allowance is zero.
Assessment of available income The family’s available income (determined in accordance with paragraph (1)(A) of this subsection) is assessed at 50 percent.
Family contribution from assets (1)
In general The family’s contribution from assets is equal to—
the family’s net worth (determined in accordance with paragraph (2)); minus
the asset conversion rate (determined in accordance with paragraph (4));
except that the family’s contribution from assets shall not be less than zero.
Family’s net worth The family’s net worth is calculated by adding—
the adjusted net worth of a business or farm, computed on the basis of the net worth of such business or farm (hereafter referred to as “NW”), determined in accordance with the following table (or a successor table prescribed by the Secretary under section 1087rr of this title), except as provided under section 1087vv
If the net worth of a business or farm is— Then the adjusted net worth is— Less than $1 $0
Asset protection allowance The asset protection allowance is calculated according to the following table (or a successor table prescribed by the Secretary under section 1087rr of this title):
If the age of the student is— And the student is married single (1)then the allowance is—
Asset conversion rate The asset conversion rate is 20 percent.
Computations in case of separation, divorce, or death In the case of a student who is divorced or separated, or whose spouse has died, the spouse’s income and assets shall not be considered in determining the family’s contribution from income or assets.
(Pub. L. 89–329, title IV, § 476, as added Pub. L. 99–498, title IV, § 406(a),Oct. 17, 1986, 100 Stat. 1463; amended Pub. L. 100–50, § 14(1), (3), (4), (13)–(17), June 3, 1987, 101 Stat. 349, 351; Pub. L. 102–325, title IV, § 471(a),July 23, 1992, 106 Stat. 594; Pub. L. 103–208, § 2(g)(6),Dec. 20, 1993, 107 Stat. 2472; Pub. L. 105–78, title VI, § 609(h),Nov. 13, 1997, 111 Stat. 1524; Pub. L. 105–244, title IV, § 474,Oct. 7, 1998, 112 Stat. 1730; Pub. L. 109–171, title VIII, § 8017(b)(1),Feb. 8, 2006, 120 Stat. 173; Pub. L. 110–84, title VI, § 601(b),Sept. 27, 2007, 121 Stat. 801.)
2007—Subsec. (b)(1)(A)(iv). Pub. L. 110–84amended cl. (iv) generally. Prior to amendment, cl. (iv) read as follows: “an income protection allowance of the following amount (or a successor amount prescribed by the Secretary under section 1087rr of this title)—
“(I) $6,050 for single students;
“(II) $6,050 for married students where both are enrolled pursuant to subsection (a)(2) of this section; and
“(III) $9,700 for married students where one is enrolled pursuant to subsection (a)(2) of this section;”.
2006—Subsec. (b)(1)(A)(iv). Pub. L. 109–171, § 8017(b)(1)(A), substituted “$6,050” for “$5,000” in subcls. (I) and (II) and “$9,700” for “$8,000” in subcl. (III).
Subsec. (c)(4). Pub. L. 109–171, § 8017(b)(1)(B), substituted “20” for “35”.
1998—Subsec. (a)(3). Pub. L. 105–244, § 474(a), added par. (3).
Subsec. (b)(1)(A)(iv). Pub. L. 105–244, § 474(b)(1), in introductory provisions, substituted “allowance of the following amount (or a successor amount prescribed by the Secretary under section 1087rr of this title)—” for “allowance of—”.
Subsec. (b)(1)(A)(iv)(I), (II). Pub. L. 105–244, § 474(b)(2), substituted “$5,000” for “$3,000”.
Subsec. (b)(1)(A)(iv)(III). Pub. L. 105–244, § 474(b)(3), substituted “$8,000” for “$6,000”.
1997—Subsec. (b)(1)(A)(vi). Pub. L. 105–78added cl. (vi).
1992—Pub. L. 102–325amended section generally, substituting provisions relating to family contribution for independent students without dependents other than a spouse for provisions relating to family contribution for independent students without dependents (including a spouse).
1987—Subsec. (b)(1)(A), (B). Pub. L. 100–50, § 14(13)(B), (C), substituted subpar. (A) and introductory provisions of subpar. (B) for introductory provisions of former subpar. (A) which read as follows: “computing the student’s available taxable income by deducting from the student’s adjusted gross income—”. Former subpar. (B) redesignated (C).
Subsec. (b)(1)(C). Pub. L. 100–50, § 14(13)(B), redesignated subpar. (B) as (C). Former subpar. (C) redesignated (D).
Subsec. (b)(1)(D). Pub. L. 100–50, § 14(15), which directed that subsec. (b)(1)(C) be amended by inserting “plus the amount of veterans’ benefits paid during the award period under chapters 32, 34, and 35 of title 28”, was executed to subpar. (D) to reflect the probable intent of Congress and the intervening redesignation of subpar. (C) as (D) by section 14(13)(B) ofPub. L. 100–50.
Pub. L. 100–50, § 14(13)(A), (B), redesignated subpar. (C) as (D) and substituted “subparagraph (C)” for “subparagraph (B)”.
Subsec. (b)(2). Pub. L. 100–50, § 14(1), (14), substituted “total income” for “total taxable income” and “section 1087rr of this title” for “section 1087ss of this title”.
Subsec. (b)(4)(A). Pub. L. 100–50, § 14(16)(A), substituted “$8,600” for “$8,900”.
Subsec. (b)(4)(B). Pub. L. 100–50, § 14(16), substituted “$8,600” for “$8,900” in two places and “$6,020” for “$6,230”.
Subsec. (c)(1). Pub. L. 100–50, § 14(17), substituted a semicolon for a period at end of subpar. (C) and inserted, after subpar. (C), provision that the student’s income supplemental amount from assets not be less than zero.
Subsec. (c)(2)(B). Pub. L. 100–50, § 14(3), substituted “displaced homemaker” for “dislocated homemaker”.
Subsec. (c)(2)(C). Pub. L. 100–50, § 14(4), added table and struck out former table which read as follows:
Pub. L. 100–50, § 14(1), substituted “section 1087rr of this title” for “section 1087ss of this title”.
Pub. L. 109–171, title VIII, § 8017(b)(2),Feb. 8, 2006, 120 Stat. 173, provided that: “The amendments made by paragraph (1) [amending this section] shall apply with respect to determinations of need for periods of enrollment beginning on or after July 1, 2007.”