The Net Income Steps are carried out only If the household's countable gross income is less than or equal to 185% of the monthly Standard Needs Budget for the household size.
Income Deductions
For every individual in the income unit whose income is counted, deductions may be applied. Apply disregards in the following order for each employed/self employed individual in the household.
- Deduct the $100 Work Expense Allowance
- Deduct up to $100 per month from the employed/self employed persons earned income.
 
 
- Work Incentive Deduction
- Disregard 50% of the employed/self employed individual's remaining monthly earned income.
 
 
- Dependent Care Deduction
- Deduct the monthly amount paid for the care of each dependent child or incapacitated adult up to the maximum defined in the Dependent Care Chart if:
- Child or incapacitated adult is an eligible member of the assistance unit AND
 
- Actual cost of child care is not reimbursed AND
 
- The care is necessary for employment.
 
 
 
Apply the following disregard to each individuals remaining total income (any earned plus any unearned):
- Court Ordered Child Support Payments
- Individual legally obligated to pay child support is eligible to deduct the amount of child support actually paid to someone outside the home.
 
 
 
Net Countable Income
- Add individual's total countable net income to other household member's countable net income after deductions to get the households total net income.
 
The household's monthly net countable income is equal to or less than the 100% of the monthly Standard Needs Budget for the household size.