Excess Child Support Payment When a Client is Employed
Budget using code 542 in Item 90 of Form 552 for the next payment month that can be affected. Use the date Form 1967 is received in the Family Community Resource Center to determine the next payment month. For example, Form 1967 is received in the local office on 07/24/97. The case is in Group 07. Terminal cut-off for Group 07 for 08/97 is 08/05/97. The next payment month that can be affected is 08/97. Set a control to delete code 542 for 09/97.
If budgeting the excess child support results in a zero grant, use zero grant reason 8 in Item 34 of Form 552.
For SNAP, use the total amount of the excess child support when determining SNAP benefits. In the example, code 542 = $200 with a source code of 9.
If the client is not employed (no 801 or 802 code present in Item 90), do not allow the 3/4 Work Pays income deduction when budgeting the excess child support payment. Budget for the next payment month that can be affected.
Example: Ms. L is eligible for a TANF payment of $200 after earned income is budgeted. An 802 code is present in Item 90. A child support payment of $450 is received by the Department. After subtracting the $50 pass through, $400 ($450 - $50) is compared to the TANF payment. $200 is kept by the Department for the TANF payment. $200 is distributed to the client. When budgeting the excess child support payment received by the client, apply the 3/4 Work Pays deduction:
$200 Excess child support payment
-150 3/4 Work Pays deduction
$50 Budgetable excess child support
Budget prospectively for the next payment month using code 542 in Item 90 of the Form 552.
If the client is not employed, do not give the 3/4 Work Pays income deduction to the excess child support payment.