WAG 02-07-05
Reasonable compatibility is a test 
to determine if the amount of reported income is reasonably compatible with income verified electronically or from other sources for medical benefits at application for medical benefits or at redetermination.
When reported income is LESS than the applicable medical program standard and the income verification obtained electronically is MORE than the applicable medical program standard, perform the reasonable compatibility test to determine if additional verification or information about the reported income is required.
Reported income is reasonably compatible with verified income when the income reported on the application or redetermiantion is below the income standard for the medical program and is within 30% of the income verification obtained from another source.
If the reported income is greater than the income standard for the individual's household size, the individual is not eligible due to excess income.
IES determines reasonable compatibility of reported income at application and at redetermination when electronic sources of income are available through clearances, and the verification value of the income in the case is client statement.
Hard copies of wage verification (pay stub or employer statement) are acceptable forms of income verification. Do not run reasonable compatibility when the client has provided current hard copy income verification.
