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3. Deduct Legally Obligated Child Support Payments Only child support that is ordered to be paid is an allowable deduction. The payment amounts being made are deducted, including arrears. If applicable, determine the amount of current and/or arrears anticipated to be paid, by applying the conversion factor applicable to the pay frequency, and subtract from the family’s monthly gross income.

4. Determine Eligibility and Contribution Amount The amount of income remaining will be compared to the Family Income and Contribution Schedule effective and implemented on or the date prior closest to the first (1st) day of the family’s certification period start date, to determine income eligibility and the family’s contribution amount.

When an applying family’s countable monthly income is equal to or less than the maximum limit for their family size on the Family Income and Contribution Schedule effective and implemented on or the date prior closest to the first (1) day of the family’s certification period start date, the family is determined financially eligible. The Child Care Assistance Application – Approved Notice is issued.

If a family is determined to be financially ineligible for the month of application, Designees are to evaluate income eligibility for each of the two (2) months following application receipt. If the family is financially eligible, benefits can be issued beginning on the first (1st) of that month.

When a family is financially eligible, but their contribution (co-pay) is more than the cost of care to be authorized, see section 4110-1 Situations Where Child Care Authorizations are Prohibited and 4110- 2 A 2. Cost of Care Exceeds Contribution (Co-Pay) for PASS II and PASS III Only.

Using the family’s eligible start date, income information is entered into the Budget and Co-pay screen of ICCIS. The effective date to use when entering information into the Budget and Co-pay screen is the date the family’s Child Care Assistance Application CC08 was received if the family meets all factors of eligibility and needs care during that month. If all factors of eligibility are not met and/or care is not needed for any day during the month of application, the date entered in the Budget and Co-pay screen is the first (1st) day of either of the two (2) months following the month the application was received based on when they met all factors of eligibility and care is needed.