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State of Wisconsin Release 09-02 June 26, 2009 |
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State of Wisconsin Release 09-02 June 26, 2009 |
4.7.5.2 Prorated Medical Expenses
4.7.5.3 Pro-rated Child Support (CS) Payments
4.7.5.4 Pro-rated Dependent Care Expenses
4.7.5.5 Pro-rated Shelter Expenses
Pro-rated deemers include individuals disqualified from FoodShare eligibility due to:
Non-qualifying immigration status, or
Failure to provide or apply for a social security number
Prorate the ineligible person's income and expenses between those in and out of the FS FoodShare group. Calculate the amount of pro-rated income and expenses to deem to the FS group separately.
If the ineligible individual has unearned income:
Determine his/her total nonexempt unearned income.
Add the number of members in the FS group to the number of ineligible persons in the food unit.
Divide the amount in 1 by the total in 2.
Multiply the result in 3 by the number of FS group members. Deem the result to the FS group.
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Example 1: A food unit of 5 includes a FS group of 3 and 2 persons who are ineligible aliens. One alien has nonexempt unearned income of $128 per month. The figures using the formula above are: (a) $128; (b) 3+2=5; (c) 128/5=25.60; (d) 25.60 X 3 = $76.80. $76.80 is the FS group's share of the unearned income. |
If the ineligible individual has earned income:
Determine his/her total nonexempt earned income.
Deduct 20 percent of the total in 1.
Do steps 2, 3, & 4 (above). Enter the result on line 8 of the FS worksheet. Deem the earned income of a non-FS group member as unearned income to the FS group.
Do not deem any of the ineligible person's payments for medical costs for his/her own care as expenses of the FS group. Deem to the FS group a pro-rated amount of medical expenses for a group member's care billed to or paid by the ineligible person. Prorate using a ratio of FS group members to food unit members.
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Example 2: The FS group includes a person who is disabled and incurs $84 a month in medical expenses. A SSN Social Security Number ineligible food unit member pays the full $84.
The food unit numbers 4 persons: 1 ineligible member and 3 FS group members. The ratio of FS group members to food unit members is 3:4.
The FS group's share is 3/4 of the expense.
$84 / 4 (food unit members) = $21.
$21 x 3 = $63 (FS group's share).
The medical deduction policy allows only the amount over $35 as a deduction.
The deduction is $28 ($63 - 35= $28).
If there were 2 SSN ineligible persons in the food unit, the ratio would be 2:4. Deem to the FS group 1/2 of the medical expense in calculating its medical deduction. This is true even if only 1 of the ineligible food unit members was billed for or paid any of the eligible member's medical costs. |
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Example 3: A 3 person food unit includes a FS group of 2 and an ineligible alien. The ineligible alien pays $90 a month toward the elderly FS group member’s $91 monthly medical expense. The FS group pays $1. The FS group's share is $1 + 2/3 of the remaining $90. 2/3 of $90 is $60. $60 + $1= $61. $61 - $35= $26. The FS group receives a $26 medical deduction. |
Deem to the FS group a pro-rated share of the amount of court ordered child a person's biological, step, or adopted son or daughter, regardless of age. support actually paid by the ineligible member to a non-household member. Deduct all but the ineligible member's pro-rated share from the household income.
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Example 4: A food unit of 4 includes 3 FS group members and 1 ineligible alien. The ineligible alien pays $100 legally obligated child support. The pro-rated share is $25 a person ($100 / 4). The FS group's pro-rated child support deduction is $75 ($25 X 3), or 3/4 of the total payment. |
Deem to the FS group a pro-rated share of the amount of the food unit's dependent care costs (Dependent Care Unit) paid by or billed to the ineligible person.
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Example 5: A food unit of 5 includes 3 FS group members and 2 ineligible aliens. The food unit's monthly dependent care costs total $275. An ineligible food unit member is billed for a portion of that total. 1 share is $55 ($275/5). The FS group's pro-rated expense is $165 ($55 X 3), or 3/5 of the total costs. |
Shelter expenses either billed to or paid by ineligible members are pro-rated among all members of the food unit, including all other ineligible (non-contributing) unit members. Add the pro-rated shares of the eligible FoodShare assistance group members together to find the budgeted amount. Do not count the pro-rated portion for the ineligible member. Do this for shelter costs only but not for utility expenses.
The only exception is when only the income of eligible members is used to pay the entire shelter amount. This is regardless of whether there was a bill or who was billed. The FoodShare assistance group is entitled to the entire expense in this case.
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Example 6: A household of 7 includes a food unit of 6 and a FS Assistance Group of 4 The household contains 2 ineligible aliens that are in the Food Unit because they purchase and prepare together, a mom, her 2 kids , her boyfriend, and a friend who doesn't purchase of prepare with the unit. |
Alien 1 and Mom are responsible for the rent of $600 a month. Divide the shelter expense by the number of food unit members and multiply that by the number of remaining FS group members. $600/6 = $100. ($100) *4 = $400. Budget $400 as the rent amount. Show your calculation in case comments.
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Example 7: Using the same household, assume the rent of $600 is divided between the friend, mom, and Alien 1. Do not count the friend's portion of the rent when prorating. The food unit's share of the rent is $400. Divide the shelter expense by the number of food unit members and multiply that by the number of remaining FS group members. $400/6 = $66.66. ($66.66) * (4) = $266.66. Budget $266.66 as the rent amount. Show your calculation in case comments. |
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Example 8: Using the same household, assume that the rent and utilities are supposed to be shared between the mom and Alien 1. However, Alien 1 is refusing to pay and mom is paying the entire rent and utilities. In this case, budget the entire expenses for the AG. |
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Example 9: Using a different household than those mentioned above or below, assume a family of 6 has applied for FS. The mother, father and 2 older siblings are ineligible aliens. The 2 youngest siblings are citizens and are the only AG members. The shelter expense of $575/month is in the parents' names. The food unit = 6 and the AG =2. Even though the children are not specifically obligated to pay the expenses, prorate a share of the expenses to the AG. $575/6 = $95.83. 95.83 X 2 AG members = $191.67. Budget $191.67 as the AG's shelter expense. |
This page last updated in Release Number: 04-04
Release Date: 10/27/04
Effective Date: 10/15/04