MAKING THE MOST OF BENEFITS. Important eligibility information, income considerations, & deductions for Vermonters

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1 MAKING THE MOST OF BENEFITS Important eligibility information, income considerations, & deductions for Vermonters

2 ELIGIBILITY Household Size Gross Monthly Income Limit 1 $1,832 3SQUARESVT GROSS MONTHLY INCOME LIMITS (185% FPL) 2 $2,470 3 $3,108 4 $3,746 5 $4,385 6 $5,023 7 $5,663 Each Additional Member Add $642 Important Note: These limits are effective October 2016 September 2017.

3 CATEGORICAL ELIGIBILITY Households are automatically income eligible for 3SquaresVT if they already receive: Reach Up (TANF) Supplemental Security Income (SSI) Vermont Earned Income Tax Credit (EITC) Must have earned income from a job Must have child under 18 in the household Must have been received within last 12 months Many people don t know they got it (31C on tax return or call VT tax dept at ) Self-declared unless questionable EITC is a great doorway into the program for working families who might not otherwise be eligible!

4 EITC INCOME LIMITS o $47,955 ($53,505 married filing jointly) with three or more qualifying children - $3,996/mo ($4,458/mo mfj) o $44,648 ($50,198 married filing jointly) with two qualifying children - $3,720/mo ($4,183/mo mfj) o $39,296 ($44,846 married filing jointly) with one qualifying child - $3,274/mo ($3,737/mo mfj)

5 COLLEGE STUDENTS Students may be eligible for 3SquaresVT if they are attending an institution of higher education at least half time and if they answer yes to the following two questions: 1) Is your income below the limit for your household size? Household Size Gross Monthly Income Limit 1 $1,832 2 $2,470 3 $3,108 4 $3,746 5 $4,385 6 $5,023 7 $5,663 Each Additional Member Add $642

6 COLLEGE STUDENTS 2) Is at least one of the following true for you? o Participating in federally funded work study o Are employed or self-employed an average of 20 hours per week o Caring for a dependent household member (specific rules apply) o Receiving Reach-Up/PSE o Participating in an one-the-job training program o Are age 17 or younger, or 50 or older oare physically or mentally unable to work o Are a single parent and full time student responsible for the care of a dependent child under 12 oassigned or placed in a higher education institution through Work Force Investment Act, Employment & Training program, or Trade Act program

7 COLLEGE STUDENT OUTREACH MATERIALS

8 ABAWD RULES An ABAWD is an able-bodied individual between the ages of 18 and 50 with no dependents in their household. These childless unemployed workers may only receive 3SquaresVT benefits for up to 3 months within 36 months without meeting the work requirements. On November 1, 2016, all ABAWDs will be able to receive another 3 months of benefits without meeting work requirements. How can they meet the work requirements? There are three ways to meet the work requirements: 1. Work hours per week in unsubsidized employment, averaged monthly 2. Participate hours per week in an eligible work training program, averaged monthly 3. Participate in work for benefits by volunteering at a nonprofit organization. *There are many exemptions to the work requirement

9 ABAWD EXEMPTIONS There are many exemptions to the ABAWD time limit & work requirement. DCF wants to apply relevant exemptions whenever possible! ABAWD Exemptions: Physically or mentally unfit for employment* Pregnant Location (a full list of exempt towns is in pg. 6 of your manual) Is an unemployment applicant or recipient Participates in drug or alcohol treatment/rehab program (AA counts!) Cares for an incapacitated person Lives with any minor in the home & 3SVT HH (does not have to be own child) Is a student enrolled at least ½ time in higher education (may be subject to student rules but not ABAWD ones!)

10 JOBS FOR INDEPENDENCE (JFI)

11 JFI DCF is now allowing an additional ABAWD exemption to give an extra 6 months of benefits to folks whose 3 months are expiring if they are working with their case manager so that they can continue to be on JFI. Interested 3SquaresVT participants can call their local Community Action Agency to find out if they qualify for JFI

12 NON CITIZEN ELIGIBILITY For many Legal Permanent Residents, there is a 5 year wait period before they can receive benefits LPRs can also get benefits if they, their parents, and/or their spouse has worked in the U.S. for 10 years total *Even if adults are not Legal Permanent Residents or cannot get 3SVT benefits for themselves, their lawfully residing children under 18 can get benefits. Parents applying on behalf of children do not need to give a social security number Those who do not provide an SSN will be excluded from the HH (but their resources and income may count) DCF will NOT report an individual to ICE for refusal to answer questions about immigration status Getting 3SVT will NOT count against you when you apply for your green card

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14 INCOME CONSIDERATIONS

15 EARNED INCOME WAGES/SALARY MUST BE VERIFIED! For a new application, always look at last 30 days of gross income pay stubs, letter from employer For estimate of earned income: If paid weekly, multiply by 4.3 if paid bi-weekly, multiply by 2.15 if pay fluctuates, take average and then multiply accordingly ESD worker will determine income that is most reflective of the ongoing situation.

16 EARNED INCOME CONTINUED SELF EMPLOYMENT MUST BE VERIFIED Gross Income minus Business Expenses Determine if year-round or seasonal is it meant to support the family the whole year or just for a few months? Best to look at last tax return to determine/verify If new business, don t file taxes, or if last year s return is not reflective of current income: Look at bookkeeping records year-to-date Encourage client to keep good records and report when income changes!

17 FARMER INCOME RULES If the cost of producing income exceeds the farming net income, offset this farming loss against any other countable earned and unearned household income! A farmer must gross $1,000 per year to be considered a selfemployed farmer for 3SquaresVT purposes

18 INCOME & BENEFITS FOR MILITARY FAMILIES Combat pay is NOT counted as income. A household that may not have been eligible when a service member was not on active duty may become eligible when that member is deployed or on special duty assignment for 30 days or more. Families already receiving 3SquaresVT before deployment may become eligible for more benefits during combat service. This applies to reservists and National Guard members as well as full-time members of the armed services.

19 DEDUCTIONS

20 DEPENDENT CARE DEDUCTION Can be used so HH member can work, look for work, or go to school* Any kind of dependent care counts: formal, informal, traditional, afterschool, summer, etc. Only count what HH actually pays out of pocket Self-declared unless questionable No cap!

21 DEPENDENT CARE EXPENSES INCLUDE: Amount paid out of pocket (after subsidy) for child or adult daycare Before and After School programs Summer Camp fees Mileage to and from care at $.585/mile (even if child care is 100% subsidy, but only if client has a car for which they pay all expenses) Actual Transportation costs- bus passes, payments to friends/family for use of car (as long as they are reasonable), and other costs.

22 Table 1 DEDUCTION ON MONTHLY FOOD STAMP BENEFITS (Based on a typical household of three with earnings of $1,260 per month and shelter expenses in fiscal year 2010 Amount of the Dependent Care Deduction Monthly Food Stamp Benefits $0 $373 $175 $452 $200 $463 $250 $486 $300 $508 CBPP, 2010 *GENERALLY FOR EVERY $3 CHANGE IN NET INCOME, BENEFITS CHANGE BY $1*

23 CHILD SUPPORT DEDUCTION RULE 273.9D7 In order for child support to count as a deduction it must be both: Court ordered (legally obligated) Paid Both must be verified- acceptable documentation includes : Court documents Office of Child Support Payment records, i.e. wage garnished, garnished from taxes, letter from payee, canceled checks, etc.

24 SHELTER DEDUCTION This deduction allows applicants to deduct their excess shelter costs. Cap of $517, but no cap for HH with senior/disabled. Deduction includes rent, mortgage, insurance (on the structure), property taxes, repairs due to disaster, etc. All households in VT receive a standard utility allowance (SUA) of $776 as part of this deduction. Deduction should be self-declared unless questionable. This deduction can make a big difference in the final benefit amount!

25 MAXIMUM BENEFITS There is a maximum monthly benefit for each household size: Household Size Max Benefit 1 $194 2 $357 3 $511 4 $649 5 $771 6 $925

26 $0 BENEFITS Eligibility vs. Benefits It is possible to meet the gross income test and be eligible but not have net income low enough to receive a benefit Encourage client to keep case open or active If something changes, the client can easily report a change and quickly get a benefit on EBT card rather than having to reapply for the program.

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28 3SVT & UNIVERSAL MEAL CONNECTION Children in 3SquaresVT households are directly certified to receive free school meals The more children in a school that are directly certified for free school meals, the more likely the school will be to offer free universal meals to ALL students Reimbursement is based on the number of directly certified students so More direct cert students more $ in food budget increased ability to buy fresh/local food This connection is a great way to help feed more kids, free up families budgets to purchase more healthy food, and help schools bring in healthier and more local food

29 ESTIMATING BENEFITS WORKSHEET WALK THROUGH 1. Calculate gross monthly income 2. Take 20% off gross earned income 3. Calculate total income (add earned & unearned) 4. Subtract deductions: standard, dependent care, child support, medical expenses if allowed. 5. Calculate shelter deduction 6. Subtract shelter deduction from adjusted income to get net income for 3SquaresVT 7. Use allotment table to see 3SVT benefit

30 THANK YOU!