WAG 08-01-01: Earned Income

PM 08-01-01

See Policy Memorandum dated 10/03/13 Verifications for Medical Programs.

See Medical Morsel dated 04/01/14 Electronic Verifications for Medical Programs.

Sources for earned income information include:

Pay Stubs

The Work Number
Employer's Statements
AWVS Clearance
Pay Envelopes
Wage Tax Receipts
Self-employment Bookkeeping Records

Current Business Records for Self Employed Persons
Employee's W-2 Form
State or Federal Income Tax Return
Sales and Expenditure Records
Employer's Wage Records
State Income Tax Bureau

Information may be provided on:

  •  Request for Employment Verification (Form 266),
  •  Request for Employment Verification (AABD)(Form 266A),
  •  Request for Employment Verification (AABD Computerized) (Form 266ACF),
  •  Request for Employment Verification (Computerized)(Form 266CF), or
  •  Income Statement for Persons Paid in Cash (FHP for children only)(Form 266AK).

Figure all earned income in monthly amounts. See WAG 10-02-00 for budgeting nonexempt earned income.

The IRS requires employees to use IRS Form 4070 to report tips to their employer. Use this form to verify tips that are not included on the employee's wage stubs. If no verifications are available, accept the client's statement about the amount of tip income.

new manual textAccepting Verifications via the Customer's Cell Phone

Documentary evidence is used as the primary source of verification when possible. Documentary evidence is the actual item itself, such as a driver's license or paystubs. When a customer is claiming not to have the actual item, the Family Community Resource Center (FCRC) may accept verification from the customer's cell phone. 

When the customer's only source of proof is on their cell phone, it should be emailed to the FCRC's General mailbox where it can be uploaded to the Electronic Case Record (ECR). The Human Service Caseworker (HSC) should not request that the customer email any documents to their own individual email address.

  • Example: Ms. K is applying for SNAP and TANF for herself and her child. During the interview Ms. K states she is employed part-time at C & C Hair Salon and is paid every weekly. When asked for her paystubs for the last 30 days, Ms. K explains that she is temporarily living with a friend and only keeps the personal items that are needed for herself and her child at the friend's home. She states it is easier and more secure to keep photo copies of paystubs and other documents on her cell phone. The HSC reviews Ms. K's paystubs from the last 30 days and determines that all the necessary information is on each paystub needed for the last 30 days. The HSC tells Ms. K to email her paystubs from the last 30 day to the FCRC's General Mailbox. The verification is uploaded to the ECR and HSC documents in Case Comments.

new manual text Case Comment

The HSC must document in Case Comments if verifications are used via cell phones. Case Comments must be documented with information to support eligibility, ineligibility, and benefit level determinations. Documentation should be sufficient in detail to permit a reviewer to determine the reasonableness and accuracy of the determination.