Must report when a single substantial lottery or gambling winning of more than $4,250 is received;
at the REDE; and
Mid-Point Report; and
for Change Reporting households, within 10 calendar days of the date of receipt during the certification period; or
for Mid-Point Reporting households, by the 10th calendar day of the month after the month that the income or winnings were received during the certification period. A Mid-Point Reporting household cannot wait until the Mid-Point Report or REDE to report the receipt of substantial lottery or gambling winnings.
The household must report even if the winnings are spent or reduced below the limit within the reporting time-frame . The SNAP case is still closed based on the receipt of the winnings.
This includes categorically eligible and noncategorically SNAP households in Change Reporting and Simplified Reporting. Categorically eligible includes SNAP household members receiving TANF and/or SSI oncome whose resources would normally be exempt.
Example: Ms. B wins $5,000 from a scratch-off lottery ticket. Ms. B spends $1,700 after 7 days and now has $3,300 remaining from her scratch-off winnings. Ms. B must report her total winnings of $5,000 to the FCRC. The FCRC must then act on this information by closing Ms. B's SNAP case. Ms. B may choose to reapply for SNAP benefits at any time and have her eligibility determined under regular SNAP income and resource limits. She would not be considered categorically eligible at this application and her resources would be compared to the regular SNAP resource limit.
Example: Mr. J won $2000 off of a scratch off ticket and then won $2000 off of another ticket. Mr. J's total winnings is $4000. However, the winnings would not be considered as a substantial lottery or gambling winning of more than $4,250 because it is two separate winnings
IES pends the case when the Lottery/Gambling questions are not answered, or verification is needed.
Sends Verification Checklist (IL444-0267) to request proof of the gross amount of lottery or gambling winnings before taxes and the date received.
A statement from the lottery commission or gaming facility may be used to establish the winnings amount and bank statements to track the amount spent.
Verification should include name of winner(s), gross amount before taxes or any other deductions, date of receipt. Verification may include but is not limited to:
Count the gross amount (before taxes or any other deductions) won in a single game when the amount is more than $4,250.
When multiple persons share in the purchase of a ticket, hand, or bet, count only the portion of the winnings allocated to a household member.
If the winnings are received at REDE, deny the application.
If the winnings are received at the Mid-Point Report or during the certification period, cancel SNAP benefits.
If the winnings have been spent or reduced, the SNAP case is still closed based on the receipt of the winnings.
IES will close the SNAP case when the household receives lottery or gambling winnings equal to or more than the resource limit.
Notice of Change (IL444-360C) is sent to the household with the notice reason: Your household has received Lottery/Gambling winnings exceeding the maximum asset amount allowed by the agency". PM 07-04-21.
Enter a detailed summary of the case circumstances and the cancellation in Case Comments.
Example: Ms. Z reports to the FCRC that she won $10,000 from the State lottery. Upon receipt of this information, the FCRC must then act on this information by requesting verification and then denying or canceling the SNAP case, whichever is applicable. SNAP is closed regardless of whether the winnings have been spent or reduced.
Note: Lottery or gambling winnings received in monthly payments or on a recurring bases are budgeted as income and not considered an asset.
Sends Verification Checklist (IL444-0267) to request verification of the household's total resources and income. This applies to all SNAP households, including categorically eligible households whose assets would normally be exempt.
IES will identify the case as not categorically eligible the next time the household applies for SNAP and is approved,
All SNAP households that lost eligibility due to the lottery or gambling resource rule, must meet allowable income and asset tests under regular SNAP rules at reapplication to qualify for benefits. The household is not categorically eligible at this application. This applies only to the first time the household is approved following the loss of eligibility for substantial lottery or gambling winnings.
When determining eligibility:
This applies to all households, including categorically eligible households whose resources would normally be exempt.
Example: Ms. H won $8,000 from a scratch-off lottery ticket and reported this information to the FCRC on April 1. The FCRC closes Ms. H's SNAP case. On June 1, Ms. H applies for SNAP benefits and must have her eligibility determined under regular SNAP rules. Ms. H must meet the income and resource limits as she is not considered to be categorically eligible at this application. Ms. H is disabled and must meet the net income limit for a qualifying member household of 1, have countable resources of $4,250 or less, and meet all other eligibility requirements in order to be eligible.
IES determine the household categorically when there are different household members, or the household is approved again after the first certification.
Substantial lottery of gambling winnings applies only to the household where the member resided when the winnings were won. If the composition of the household changes (a member left), then the household would no longer exist as it did when the winnings were won. Any remaining members would be considered as a new household, if they chose to apply. The eligibility of the new household is not affected.
If the member moves into another household, eligibility is not affected. The requirement that a previously disqualified household must meet income and resource standards due to the loss of eligibility under the substantial lottery or gambling rule does not apply to either household since neither household as they currently exist was disqualified for substantial lottery winnings.
These households may qualify for SNAP at their next application under categorical eligibility rules. Their resources are not verified. The net income is only used to determine the benefit amount.
Example: Mr. T, his spouse J and children BJ and TJ are one SNAP household. Mr. T wins $5,000 and reports it within 10 days of winning. The FCRC closes the SNAP case for the entire household.
TJ subsequently leaves the household and joins his grandmother's household. The household with TJ and his grandmother may apply for and receive SNAP, if determined eligible. Mr. T, his spouse J and child BJ may also apply for and receive SNAP, if determined eligible.
Subsequent Application after reapplication and loss of Categorical Eligibility.
After losing categorical eligibility for a certification period, the household may reapply and be determined categorically eligible.
IES will determine the household categorically eligible when there are different EDG members, or the household is approved again after the first certification.
You told us (name) has received money from Lottery/Gambling Winnings.
Please tell us a little bit more about this.
What is the gross value (before taxes/deductions) of (name)'s lottery/gambling winnings?
What is the net value (after taxes/deductions) of (name)'s lottery/gambling winnings?
Date of the winnings?
Is the payment one-time or ongoing?
If ongoing how often?
Are the winnings jointly owned?
If so, with whom?
Joint owner's gross amount of the winnings?
More about (name)'s Lottery or Gambling Winnings
You told us (name)'s has received money from Lottery/Gambling Winnings.
Please tell us a little bit more about this
Illinois Department of Human ServicesJB Pritzker, Governor · Grace B. Hou, Secretary
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