TN 10 (07-23)

GN 02603.090 Same or Separate Household

A. Procedure for same or separate household

For applying the facility of payment and deduction before reduction provisions, consider beneficiaries entitled on the same record to be in the same household when:

  • they live together in a family-type relationship and

  • a mutual sharing of income is likely.

It is not necessary for a parent to have or exercise control over a child. In the presence of contrary evidence, the assumptions in GN 02603.090A.1. and GN 02603.090A.2. listed below are not valid.

1. Indications of living in same household

Assume beneficiaries to be living in the same household when they receive benefits:

  • At the same address, or

  • Through the same payee.

2. Indications of living in separate households

Assume that beneficiaries are living in separate households when they receive benefits through:

  • Different payees,

  • A legal guardian who does not have custody,

  • An institution,

  • A social agency, or

  • A superintendent of an Indian agency.

In addition, separate households probably exist for:

  • A child in the armed forces (regardless of mailing address),

  • A spouse or parent who are subject to deductions because the children involved are under age 16 and they are not in-care, or

  • A child who is their own payee and receives checks at school rather than at the family home.

B. Procedure regarding household status

1. Time period for establishing household configuration

  1. a. 

    Determine household status using the configuration that exists when the beneficiary files the annual report.

  2. b. 

    Assume that the family configuration above (B.1.a.) applies throughout the retroactive period.

  3. c. 

    If a beneficiary protests the assumption in b. above (B.1.b.), determine the household status using the configuration that existed in each month of the retroactive period to determine the amount payable to each beneficiary affected by the family maximum.

2. Temporary separations

Beneficiaries are in the same household in spite of temporary separation.

3. Primary beneficiary

If a primary beneficiary is subject to a penalty deduction, consider whether they are in the same household as other beneficiaries.

4. Beneficiary moves

Assume the beneficiary who moved has left the family unit unless evidence establishes otherwise.

If the worker has a payee and they move out of the family unit:

  • Suspend benefits, if appropriate per GN 00504.100 (use code S-2 if the beneficiary simultaneously submitted a work report requiring the imposition of deductions. Use suspense code S-8 if payment is due to a pending selection of a new payee.)

  • Send notice of suspension to the current payee if suspense code S-2 is used.

  • Send exhibit letter in NL 00703.504 to the beneficiary at their new known address when the beneficiary's estimate of earnings precludes payment during the current calendar year and there is a deferral for development of a new payee.

  • Develop for a new payee when it is determined that work deductions will end (For information on new payee suspension of benefits, see GN 00504.110).

  • For information on new payee suspension of benefits, see GN 00504.110.

C. MCS EC Processing

The addresses of claimants determined to be living in the same household must be entered exactly the same in MCS for EC to recognize same household for deduction before reduction.

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GN 02603.090 - Same or Separate Household - 07/03/2023
Batch run: 07/03/2023