PM 11-01-13 Income Exemption

WAG 11-01-13

The first $25 of earned or unearned income is exempt, except for contributions.  Only one $25 exemption is allowed regardless of the types or sources of income. 

Most AABD clients receive income that is centrally budgeted. A caseworker cannot adjust the centrally budgeted income to allow an income exemption. To allow the $25 exemption, always include it as Needs Code 325.

Example:  A disabled AABD Cash client (Category 03) receives $698 SSI.  She begins working at a sheltered workshop earning gross wages of $108 monthly.  Her employment expenses (taxes, transportation, lunch allowance) total $28 for the month.  She is entitled to the earned income disregard (the first $20 plus 1/2 of the next $60).  Compute her budgetable income as follows: