COUNTABLE UNEARNED INCOME

A. Unearned income is monetary benefits not earned through employment or self- employment, such as Social Security or other retirement benefits, interest, or investment income. B. Countable unearned income includes the following and any other payments that could be construed to be a gain or benefit to the client, client’s spouse, or sponsor(s) and which are not earned income. 1. Benefits issued by the SSA. a. Lump sum payments shall be counted as income in the month received. Any unspent amount will be treated as a resource after nine (9) months. b. If the SSA is recovering any portion of the payment from the client, client’s spouse, or sponsor(s) due to an overpayment of benefits, Adult Financial program grant payments shall be calculated based on the gross payment, not the received amount. 2. Pension or retirement payments made by a former employer or from any insurance or other public or private fund. 3. Disability or survivor's benefits made by an employer or from any insurance or other public or private fund. 4. Veteran compensation and pension based on service in the armed forces. Such payments may be made by the U.S. Veterans Administration (VA), another country, a state or local government, or other organization. Any portion of a VA pension paid to a veteran for support of a dependent shall be considered countable unearned income to the dependent rather than to the veteran. 5. Railroad retirement payments, such as sick pay, annuities, pensions, and unemployment insurance benefits, which are paid by the Railroad Retirement Board (RRB) to a client, client’s spouse, or sponsor(s) who is or was a railroad worker, or to such worker's dependents or survivors. 6. Unemployment Compensation. 7. Union strike benefits. 8. Amounts withheld from unearned income because of a garnishment. 9. Workers' Compensation payments awarded under Federal and State law to an injured employee. Payments for medical, legal, or related expenses incurred by the client, client’s spouse, or sponsor(s) in connection with such claim are deducted prior to determining the amount of countable unearned income. 10. Dividends and interest received on financial accounts, savings bonds, leases, etc. 11. Annuity payments. Payments should be accepted as frequently as possible, e.g. monthly, quarterly, or annually. A lump sum should only be accepted if the previously identified increments are unavailable. 12. Inheritance. 13. Gifts and prizes. 14. Proceeds of a life insurance policy to the extent that they exceed the amount expended by the beneficiary for the purpose of the insured recipient's last illness and burial which are not covered by other benefits. 15. Proceeds of a health insurance policy or personal injury lawsuit to the extent that they exceed the amount to be expended or are required to be expended for medical care. 16. VA educational assistance (G.I. Bill) payments or other military or veterans benefits, which are conditional upon school attendance, are income to the extent that they exceed expenses necessary for school attendance. 17. Income from jointly owned property in a percentage at least equal to the percentage of ownership or, if receiving more than percentage of ownership, the actual amount received. 18. Lease bonuses (oil or mineral) received by the lessor as an inducement to lease land for exploration are income in the month received. 19. Oil or mineral royalties verified through tax documents such as the 1099 from the prior year shall be considered averagable income. 20. Income from rental property is considered as unearned income when the client is not actively managing the property on an average of at least twenty (20) hours a week. Rental income is countable to the extent it exceeds allowable expenses. Allowable expenses are maintenance, taxes, management fees, interest on mortgage, and utilities paid, and do not include the purchase of the rental property and payments on the principal of loans for the rental property. 21. Income derived from monies (or other property acquired with such monies) received pursuant to the “Civil Liberties Act of 1988” (by eligible persons of Japanese ancestry or certain specified survivors, and certain eligible Aleuts), P.L. 100-383 (HR 442) (August 10, 1988), which is hereby incorporated by reference. This rule does not contain any later amendments or editions. These regulations are available in person at the Office of Federal Register, 800 North Capitol Street NW, Suite 700, Washington, DC 20002 during regular business hours or by mail at the Office of Federal Register, The National Archives and Records Administration, 8601 Adelphi Road, College Park, MD 20740-6001 or at https://www.congress.gov/bill/100th-congress/house-bill/442. These regulations are available for public inspection and copying at the Colorado Department of Human Services, Division of Economic and Workforce Support, 1575 Sherman Street, Denver, Colorado, 80203, during regular business hours. 22. Payments received from trusts. Such payments can be on behalf of, or to or for the benefit of the client, client’s spouse, or sponsor(s), excluding medical or personal attendant care. 23. Alimony and spousal support. 24. Minimum monthly maintenance needs allowance (MMMNA) retained from an institutionalized spouse’s income. 25. Current child support payments received for the client.