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MEDICAL SERVICES POLICY MANUAL,SECTION O O-500 SSI Related Treatment of Income (AABD-MN) O 535 Items (Income) Not Included in Deeming

parent/parents would qualify as aged, blind, or disabled except for income), only income above the parent(s)’ SSI SPA is deemed to the child. Deemed income is determined as follows: 1. Determine the parent/parents’ countable income as if no children were involved (allow SSI exclusions listed in MS E-450); 2. If the countable income is equal to or less than the SSI SPA, there is no income to deem to the child. If the countable income is greater than the SSI SPA, the amount above the SSI SPA is available for deeming to the child; 3. Reduce the excess income amount by the living allowance for each ineligible child in the home (i.e., those children who are not blind or disabled). If this reduces excess income to zero, there is no income to deem to the eligible child. If not proceed to 4. 4. If excess income remains after deductionof living allowances, it is deemed to the child’s unearned income. If more than one eligible child is in the home, divide the income equally to each child. The amount deemed to the child as unearned income is subject to the $20/month general exclusion in his eligibility determination.  NOTE:If the child’s countable income is under the SSI/SPA, refer to MS F-120 to determine whether SSA or MRT will make the disability determination, and whether or not to refer to SSA. If the allegation is blindness and the countable income is under the SSI/SPA, refer to SSA.

Items (Income) Not Included in Deeming MS Manual 01/01/14 The items listed below are excluded from income of the ineligible spouse or ineligible parent(s) before determination of deemed income. 1. Assistance or Income basedon Need - Excludes payments by any Federal Agency, State or political subdivision, SSI payments and any income which was taken into account in determining such assistance. Exclusion applies to V.A. Pension but not to V.A. Compensation. Also excludes TEA cash payments and income which was taken into account in determining assistance (including all income of a stepparent in households where there is a stepparent). 2. Portions of Grants, Scholarships or Fellowships used to pay tuition and fees at an educational institution or the cost of Vocational Technical training which is preparatory for employment. 3. Foster Care Payments received for an ineligible child.