SNAP Income Deductions

Requirement

SNAP allows certain deductions, which are subtracted, from income to determine eligibility, benefit amount and expedited eligibility. Allow expense deductions whether or not the expense is paid or the household intends to pay it, except for court ordered child support, which is allowed as actually paid.

Allow expense deductions:

- In the month billed
- When the bill is due
- When no bill is issued, but expense is due, such as rent
- When the expense is not expected to be paid by a third party

	Used To
Deduction	Determine Expedited Eligibility	Meet the Gross Income Test	Calculate Adjusted Income	Meet the Net Income Test Determine CE Income Determine SNAP Issuance	Conditions and/or Restrictions
Overhead expenses (OHE)	√	√	√	√	Self-employed individuals Students in higher and post-secondary education
Court Ordered Child Support Expense	√	√	√	√	Subtract legally binding child support the household is paying to or for non-household members
Farm Loss		√	√	√
Earned Income Deduction			√	√	Subtract 20% of Gross Earned Income
Standard Deduction			√	√	Subtracted for all households, amount is based on how many people on in the household, household size
Excess Medical Deduction			√	√	Allowed for medical expenses over $35 a month for elderly/disabled current/former household members
Dependent Care Expenses			√	√	Subtract allowable costs incurred by the household for the care of a child or other dependent, including mileage and/or the cost of transportation to/from the provider
Shelter Expenses	√				Subtract from Gross Income to determine expedited eligibility: Rent/house payment Mandatory Utility Standard(s)
Excess Shelter Deduction and Homeless Standard				√	The Excess Shelter Deduction is the difference between 1/2 of the Adjusted Income and the Total Allowable Shelter Costs Apply the Excess Shelter Deduction Maximum (cap) to deductions for households which do not have an elderly or disabled member When a household is homeless, they are allowed the Homeless Standard ($179.66) or the Excess Shelter Deduction, whichever is higher

Verification

See IM Resources and FSD Policy for specific expense deduction information.

09-29-2023