SI SF01210.515 Allocation of Income between Eligible Individuals and Ineligible Spouses

A. Basic Principles

Basic principles govern the allocation of income between spouses:

  1. 1. 

    Allocate income in the manner most advantageous to the couple

  2. 2. 

    Need should be met as much as possible from the couple’s own income instead of through public assistance.

  3. 3. 

    If an ineligible spouse has resources exceeding the resource limit of the aid program from which the eligible spouse is receiving benefits, the ineligible is not considered in need. Therefore, do not allocate income to the ineligible. (See SI SF01210.517)

B. Income from Real or Personal Property

Consider income from community property (real or personal) to be received by each member of the couple in equal shares.

C. Income Received by Either Member of a Couple as a Dependent of Military Services Member

Allocate the income to the ineligible spouse and minor children equal to the amount needed for their support unless stipulated by the service member.

D. Irregular Income of Ineligible Spouse

If income received is temporary, received periodically, or fluctuates substantially from month to month, convert it to a single monthly amount based on an average of the anticipated income for the calendar year. The fact that the actual amount of income received by the ineligible spouse in a given month varies from the estimated average does not mean that the determination regarding allocation to the recipient is necessarily incorrect. As long as the estimated average is valid, treat it as though it was actually received.

E. Net Income from Earnings of Ineligible Spouse

  • determine the gross income.

  • deduct a flat 25% for income taxes, disability insurance, social security taxes, transportation, meals, etc., or the actual expenses if the spouse presents evidence the deductions and expenses exceed 25%.

  • the remainder is the net income of the spouse.

F. Voluntary Contributions

A voluntary contribution is one for which the contributor has no legal liability. This includes a contribution from a spouse that the spouse would otherwise be allowed to retain for the spouse's own support. It does not include income allocated from a spouse. These payments are not considered income under certain circumstances. (See SI SF01210.518D.).

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SI SF01210.515 - Allocation of Income between Eligible Individuals and Ineligible Spouses - 09/12/2022
Batch run: 09/12/2022