To determine the individual's contribution when the individual lives with one or more
deemors, use the individual's own contribution to household operating expenses plus
any excess contribution from the individual's deemors.
The excess contribution is determined as follows. Apply any contribution the deemor
makes towards the expenses to his own pro rata share. (If the contribution is earmarked,
the contribution is applied to his pro rata share of the earmarked expense.) Next,
apply any excess equally to the pro rata shares of the eligible individual(s) and
any children involved in the deeming computation.
For purposes of determining inside ISM valued under the PMV rule, use the same method
to determine the individual's contribution. However, if the deemor's contribution
is earmarked, deduct the deemor's pro rata share for food and shelter first. See SI 00835.340C.
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Example 1: Tony Smith, an eligible child lives with his 2 younger sisters and his parents in
a home they are buying. Tony's aunt also lives with the family. The claims representative
(CR) establishes that the household expenses are $1,200 per month and that the pro
rata share is $200. Tony's mother contributes $500 per month from her wages and his
aunt contributes $700 per month toward household expenses. Tony makes no contribution
from his own funds. The CR establishes that Tony is not living in a public assistance
household. Tony and his parents do not earmark contributions toward food or shelter,
and they do not separately purchase or consume food. Tony's contribution is computed
like this:
|
$500 |
Mother's contribution |
|
-200 |
Mother's pro rata share |
|
$300 |
Mother's excess contribution |
|
$300 |
Mother's excess contribution divided by |
|
3 |
(The eligible child plus the other two children in the deeming unit) |
= |
$100 |
Tony's contribution |
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Determination: Because Tony lives with his parents who have ownership interest in
the home, the CR determines that Tony is in FLA C. The inside ISM, if any, is determined
using the Presumed Maximum Value (PMV) rule. Tony's contribution is determined to
be $100. He is charged with $100 of ISM (the difference between his pro rata share
and his contribution).
Example 2: In this example, the facts are the same as Example 1 except that both Tony and his father are SSI recipients. The contributions of Tony and his father are computed
as follows:
|
$500 |
Mother's contribution |
|
-200 |
Mother's pro rata share |
|
$300 |
Mother's excess contribution |
|
$300 |
Mother's excess contribution divided by |
|
4 |
(Tony, his eligible father, plus the other two children in the deeming unit) |
= |
$75 |
each contributed by Tony and his father. |