Iowa Administrative Code › Agency 441 - Human Services Department › Title IV - Family Investment Program › Chapter 41 - Granting Assistance › Rule 441-41.27 - Income

Current through Register Vol. 47, No. 3, July 24, 2024
All unearned and earned income, unless specifically exempted,
				  disregarded, deducted for work expenses, or diverted as defined in these rules,
				  shall be considered in determining initial and continuing eligibility and the
				  amount of the family investment program grant.
1. The determination of initial eligibility
				is a three-step process. Initial eligibility shall be granted only when (1) the
				countable gross nonexempt unearned and earned income, exclusive of the family
				investment program grant, received by the eligible group and available to meet
				the current month's needs is no more than 185 percent of the standard of need
				for the eligible group; (2) the countable net unearned and earned income is
				less than the standard of need for the eligible group; and (3) the countable
				net unearned and earned income, after applying allowable disregards, is less
				than the payment standard for the eligible group.
2. The determination of continuing
				eligibility is a two-step process. Continuing eligibility shall be granted only
				when (1) countable gross nonexempt income, as described for initial
				eligibility, does not exceed 185 percent of the standard of need for the
				eligible group; and (2) countable net unearned and earned income is less than
				the payment standard for the eligible group.
3. The amount of the family investment
				program grant shall be determined by subtracting countable net income from the
				payment standard for the eligible group. Child support assigned to the
				department in accordance with subrule 41.22(7) and retained by the department
				as described in subparagraph 41.27(1)
"h"
(2) shall be
				considered as exempt income for the purpose of determining continuing
				eligibility. Deductions and diversions shall be allowed when verification is
				provided.
(1)
Unearned
				income.
Unearned income is any income in cash that is not gained by
				labor or service. When taxes are withheld from 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 meet the needs of the eligible group.
a. Social security income is the amount of
				the entitlement before withholding of a Medicare premium.
b. to
e.
Reserved.
f. When the applicant or recipient
				sells property on contract, proceeds from the sale shall be considered exempt
				as income. The portion of any payment that represents principal is considered a
				resource upon receipt as defined in 41.26(4). The interest portion of the
				payment is considered a resource the month following the month of
				receipt.
g. Every person in the
				eligible group and any parent living in the home of a child in the eligible
				group shall take all steps necessary to apply for and, if entitled, accept any
				financial benefit for which that person may be qualified, even though the
				benefit may be reduced because of the laws governing a particular benefit. When
				the person claims a physical or mental disability that is expected to last
				continuously for 12 months from the time of the claim or to result in death and
				the person is unable to engage in substantial activity due to the disability,
				or the person otherwise appears eligible, as the person is aged 65 or older or
				is blind, the person shall apply for social security benefits and supplemental
				security income benefits.
(1) Except as
				described in subparagraph (2), the needs of any person who refuses to take all
				steps necessary to apply for and, if eligible, to accept other financial
				benefits shall be removed from the eligible group. The person remains eligible
				for the work incentive disregard described in paragraph
				41.27(2)
"c."
(2)
				The entire assistance unit is ineligible for FIP when a person refuses to apply
				for or, if entitled, to accept social security or supplemental security income.
				For applicants, this subparagraph applies to those who apply on or after July
				1, 2002. For FIP recipients, this subparagraph applies at the time of the next
				six-month or annual review as described at 441-subrule 40.27(1) or when the
				recipient reports a change that may qualify a person in the eligible group or a
				parent living in the home for these benefits, whichever occurs
				earlier.
h. Support
				payments in cash shall be considered as unearned income in determining initial
				and continuing eligibility.
(1) Any nonexempt
				cash support payment for a member of the eligible group, made while the
				application is pending, shall be treated as unearned income and deducted from
				the initial assistance grant(s). Any cash support payment for a member of the
				eligible group, except as described at 41.27(7)
"p,"
received
				by the recipient after the date of decision as defined in 441-subrule 40.24(4)
				shall be refunded to the child support recovery unit.
(2) Assigned support collected in a month and
				retained by child support recovery shall be exempt as income for determining
				prospective or retrospective eligibility. Participants shall have the option of
				withdrawing from FIP at any time and receiving their child support
				direct.
i. The applicant
				or recipient shall cooperate in supplying verification of all unearned income,
				as defined at 441-paragraph 40.24(1)
"b"
and 441-subrule
				40.27(4). When the information is available, the department shall verify
				unemployment insurance benefits by using information supplied to the department
				by the department of workforce development. When the client notifies the
				department that the amount of unemployment insurance benefits used is
				incorrect, the client shall be allowed to verify the discrepancy. A payment
				adjustment shall be made when indicated. Recoupment shall be made for any
				overpayment. The client must report the discrepancy prior to the payment month
				or within ten days of the date on the Notice of Decision, Form 470-0485(C) or
				470-0486(M), applicable to the payment month, whichever is later, in order to
				receive a payment adjustment.