Housing Provider Forum

Transcription

1 Housing Provider Forum May 25, 2017 Verification of Income

2 Types of Income Employment Self-Employment Pensions and Allowances Assets Support Income/Payments Social Assistance

3 Employment Income Employment related income includes: Wages Salaries Commission Tips and Gratuities Vacation Pay Employment Insurance (EI) Short-term disability from an employment-related insurance plan WSIB (Short Term)

4 Employment Income Acceptable forms of verification: Pay stubs (for at least two months for an annual Review) Original copy of signed letter from employer or agency indicating gross income or average earnings and length of employment for which those earnings covered (on company letterhead) Income Verification Form, Schedule 1, completed by the employer

5 Employment Income Sample pay stub

6 Sample EI Benefit Statement

7 Self-Employment Income A person is self-employed if they: Are both the owner and operator of the business Can have financial losses from the business Have more than one customer or client Own tools of the trade of the business, and Set their own hours and work out of their own space

8 Self-Employment Income Common examples of people who have selfemployment income include: Taxi cab drivers Tutors or private educators Small business owners Babysitting/Child Care providers Contract workers Writers and other artists

9 Self-Employment Income Acceptable forms of verification: If self employed for less than one year: an Affidavit of earnings and expenses sworn before a Notary Public or Commissioner of Oaths; or Completed Self-Employment Verification form If self employed for over one year: Financial Statements prepared by a public accountant; or Copy of latest personal income tax return or T2125 Statement of Business or Professional Activities issued by CRA

10 Self-Employment Income Verification See example samples

11 Sample T2125

12 Pensions and Allowances Examples of this type of income are: Old Age Security (OAS) Canada Provincial Pension (CPP, QPP) Guaranteed Income Supplement (GIS) Ontario Guaranteed Annual Income System (GAINS) War Veterans Allowance (DVA) Foreign Pensions Pensions such as Retirement, War Disability

13 Pensions and Allowances Acceptable forms of verification: Cheque stubs from pensions and allowances T-slips A letter from Service Canada or the government agency issuing the funds

14 Sample Pension Letter from Service Canada

15 Sample T Slips

16 Assets This includes both income producing and non-income producing assets Examples of this type of income are: Interest and dividends from all investments (savings, stocks, bonds, shares, securities, annuities, term deposits) Registered Retirement Savings Plan (RRSP) Registered Retirement Income Funds (RRIFs) (draw amount is the income) (cont.)

17 Assets Examples (continued): Life Insurance (with a cash surrender value) Real Estate not suitable for year round occupancy (house, land, cottage) Guaranteed Income Certificates (GIC s) Non-interest bearing bank accounts (balances in excess of $5,000)

18 Assets Acceptable forms of verification: Copy of Investment Statements or copy of T3 or T5 tax return Copy of Insurance Policies with cash surrender value over $100,000 Copy of GIC Certificates, Investment Certificates Copy of RRSP statement Copy of Notice of Assessment issued by CRA Copies of bank statements for the last 2 months for all bank accounts.

19 Sample T3 & T5

20 Support Income/Payments Examples of this type of income are: Workplace Safety and Insurance Board (WSIB) Alimony, Child Support, Separation Ontario Student Assistance Program (OSAP) Compensation for Victims of Crime Act

21 Support Income/Payments Acceptable forms of verification: Cheque stub or letter from government agency Sworn affidavit with both the applicant and ex spouse s signatures or legal document from lawyer, copy of court order Schedule A from FRO (non-commissioned statement of account) verifies court ordered payments Verification of OSAP

22 Sample of OSAP verification

23 Sample of FRO Schedule A

24 Social Assistance Examples of this type of income are: Ontario Works (OW) Ontario Disability Support Program (ODSP)

25 Social Assistance Acceptable forms of verification: Copy of proof of eligibility letter issued by OW or ODSP worker/office, and; Copy of most recent Statement of Assistance (stub portion that indicates the breakdown of support received i.e. Basic Needs, Shelter etc.)

26 Social Assistance sample Statement of Assistance

27 Sample Proof of Eligibility Letter Ministry of Community and Social Services Ministère des Services sociaux et communautaires [Office Address and Phone #] [Today s Date] Primary Benefit Unit Member Name Address Dear : This letter serves as verification that you and the persons listed below, residing at the address indicated above, are eligible for social assistance In this section, include the period of eligibility based on the purpose of the letter, as indicated by the client. e.g. [for the period of: YYYY-MM-DD to YYYY-MM-DD] or [effective: YYYY-MM-DD] Eligible benefit unit members: List names of eligible benefit unit members: First and Last Name First and last name First and last name Include date of birth for each benefit unit member only if required for eligibility verification purpose: Date of Birth: YYYY-MM-DD Date of Birth: YYYY-MM-DD Date of Birth: YYYY-MM-DD Sincerely, [name of caseworker]

28 For all income declaration packages Attach the most recent Notice of Assessment from Revenue Canada for all household members, or; Proof of Income Statement (option c print).

29 Resources for required documents Canada Revenue Agency ( CRA) (for Notice of Assessment): Service Canada (for pension statements etc.): Service Canada (for EI Statements): Family Responsibility Office (FRO) (for copies of Schedule A when court ordered payments are in place):