Department of Human Services

Food Stamp Online  Policy Manual

Treatment of Income

Revised: 

23.7

EARNED INCOME DEDUCTION

Food Stamp Table of Contents

1240-1-4-.17(8)(f)(1)

Deduct 20% of gross earned income.  Do not allow any additional deductions (i.e., taxes, pensions, union dues, and the like) except for costs of self-employment. Excluded earned income is not subject to this deduction.  Households that willfully and fraudulently fail to report earnings, and, thus, commit an Intentional Program Violation, are not entitled to the 20% deduction in the overissuance determination.  Once the earnings are discovered and counted in the ongoing food stamp budget, the household is entitled to the 20% deduction.

 

Glossary of Terms

Food Stamp Table of Contents