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ESA SNAP Policy Manual 149 expense is intended to cover. − For example, if a household receives a single bill in February that covers three months of home insurance, the bill may be averaged over February, March and April.  One-time expenses are averaged over the entire certification period in which they are billed. Shelter expenses must be verified before a deduction can be provided. See Section 5.3.4, Verification of Shelter Expenses. The total amount of the excess shelter deduction depends on the household composition:  A household that includes at least one member who is 60 or older or disabled may receive a deduction equal to the full amount of shelter expenses (plus the utility allowance) that exceed 50 percent of the household’s net income.  All other households that do not contain a member who is 60 or older or disabled cannot receive a shelter deduction in excess of the maximum shelter deduction. The maximum shelter deduction changes each October. See Table 25.3.d, SNAP Maximum Shelter Deduction and Homeless Shelter Deduction, for current values. Example 1 Loretta, aged 72, and Jasmine, aged 68, live together and pay $1,500 a month in mortgage payments and are eligible for the $345 HCSUA (fiscal year [FY] 2023). The household’s net income after all other deductions is $800. The excess shelter deduction is calculated as follows:  Total shelter expenses: $1,500 + $345 = $1,845  50 percent of net income = $400  Shelter expenses in excess of 50 percent of net income: $1,845 - $400 = $1,445 Because the household contains a member who is 60 or older, there is no cap, and the household’s monthly shelter deduction is $1,445.

Example 2 James and Carlotta, who are both younger than 60 and do not have disabilities, live together and pay $1,500 a month in mortgage payments and are eligible for the $345 HCSUA (FY 2023). The household’s net income after all other deductions is $800. The excess shelter deduction is calculated as follows:  Total shelter expenses: $1,500 + $345 = $1,845  50 percent of net income = $400  Shelter expenses in excess of 50 percent of net income: $1,845 - $400 = $1,445 The household is eligible for a monthly excess shelter deduction of $624, the maximum shelter deduction (FY 2023) for households without a member who is 60 or older or has a disability.

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