SI SF01210.518 Payments Excluded or Exempt from Consideration as Income

Certain types of payments or benefits are excluded or exempted in whole or in part from consideration as income. In addition, any income which is disregarded in determining eligibility under one aid program (AB, ATD, OAS, and AFDC/TANF) cannot be considered in determining eligibility and/or amount of assistance paid to a recipient who received aid under another of those programs.

A. Income from Any Source

  1. 1. 

    Allow a monthly exemption of $7.50 from total income.

  2. 2. 

    Room and board as an integral part of the program of training for blind student-trainees in the California Department of Rehabilitation State Orientation Center for the Blind is exempt during the period of training.

B. Earned Income

In addition to the $7.50 general exclusion, the first $85 plus one-half of the remaining gross earned income is exempt. See SI SF01210.514D.

C. Payments from Public Sources

  1. 1. 

    Relocation assistance is exempt income when:

    • relocation is the result of redevelopment, urban renewal, freeway constructions, or any other public development involving condemnation or demolition of existing housing,

    • the payment is paid in a nonrecurring lump sum, or if more than one payment, it is made for a limited time, and

    • the payment does not duplicate an allowance in the assistance standard.

  2. 2. 

    Federal payments to Indians under Public Law (P.L.) 90-507 are considered personal property rather than income. Per capita payments under section 6 of P.L. 87-775 and P.L. 92-254 are exempt from consideration as either income or resources.

  3. 3. 

    Manpower Development and Training Act payments, not to exceed $20 per week, as training incentive payments and additional expense allowances to defray expenses attributable to training, are exempt.

D. County Supplementation and Voluntary Contributions

County supplementation and/or voluntary contributions from persons or organizations having no liability for the support of the recipient are not considered income when:

  1. 1. 

    The service provided is designated as a need by the State Department of Social Welfare (now the Department of Social Services); and

  2. 2. 

    The contribution would not be available unless used in accordance with the conditions imposed by the donor; and

  3. 3. 

    The recipient’s grant and other income are not sufficient to meet his or her total need within the limitations (usually $215 per month) specified in SI SF01210.519 or the need is not one included in the assistance standard for the Aid to the Blind (AB) program. The types of designated need covered by this provision are:

    1. a. 

      Housing Approved for Federal Rent Supplements Under the Housing Act of 1965

      Rent supplements paid under this Act are disregarded as income. The amount disregarded cannot exceed the difference between the rent as approved by the FHA and the amount included in the assistance grant for housing.

    2. b. 

      Prepaid Medical or Hospital Care

      Voluntary contributions which are only available to meet payments on prepaid medical or hospital care are disregarded as income.

    3. c. 

      Out-of-Home Care

      When the charge for care in a nonmedical out-of-home care facility exceeds the State maximum, county supplementation or voluntary contributions are disregarded as income subject to certain limitations.

E. Loans

The following are not considered income or resources:

  1. 1. 

    Loans under title III of the Federal Economic Opportunity Act.

    NOTE: The Economic Opportunity Act was repealed in 1981.

  2. 2. 

    Loans or grants to undergraduate students made or insured under any program administered by the State Scholarship and Loan Commission or a college accredited by the Western Association of Schools and Colleges, when the conditions under which they are obtained prevent their use for current living costs.

  3. 3. 

    Any grant or loan to any undergraduate student for educational purposes made or insured under any program administered by the Federal Commission of Education.

  4. 4. 

    Any grant or loan that is not available to meet current needs.

F. Casual Income and Income from an Inconsequential Resource

The first $60 per quarter of these types of income is exempt from income if received infrequently or irregularly. See SI SF01201.512.

G. Home Produce

Home produce utilized for the recipient’s and his or her household’s consumption is not income.

H. Interest on Trust Deed, Mortgage, or Promissory Note Earmarked for Purchase of Home

See SI SF01201.512K for an explanation of when this income is exempt.

I. Exclusions or Exemptions of Other Payments and Income

See SI SF01201.512I for types of income considered a resource rather than income.

See SI SF01201.519 for a possible exclusion when attendant services are involved.

J. Income and Payments Provided to Meet Special Services and Rehabilitation

1. Income of a Recipient with an Approved Self-Support Plan

Self-support plans are limited to 36 months. Recipients who attend or reside in an Orientation Center for the Blind (established under Welfare and Institutions Code Section 19500ff) are considered to have an adequate plan for self-support.

2. Payments for Reader or a Scholarship

Both payments are not considered income if the recipient is attending a public school, or an institution of higher learning in California, and such payments are not available to meet his or her other needs.


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SI SF01210.518 - Payments Excluded or Exempt from Consideration as Income - 01/29/2018
Batch run: 01/29/2018
Rev:01/29/2018