Foster care payments made under Title IV-E (both the federal amount and state amount)
are considered income based on need (IBON) to the individual in care, see SI 00830.170. This income is not subject to the $20 general exclusion and is not in-kind support
and maintenance (ISM). (See SI 02005.025 for prospective accounting rules for Title IV-E payments.)
EXCEPTION: Section 477 of Title IV-E (Independent Living Initiatives) is a program for individuals
age 16 or over making the transition from foster care to independent living. Payments
made under Section 477 of Title IV-E are cash assistance from a governmental social
services program and, therefore, are not income. For more information about medical
and social services, see SI 00815.050.