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ESA SNAP Policy Manual 159 past time if it will provide a more accurate indication of anticipated fluctuations in future monthly income. To average income, ESA can use past monthly income amounts and/or the monthly income the household anticipates to receive over the certification period. − Note: Income averaging is different from converting weekly, biweekly or semimonthly income into a monthly amount, as described in Section 13.3.1, Anticipated Income. Example Mr. Smith works at a fast-food restaurant between 25 and 35 hours a week, so his monthly income can fluctuate by about $500 from month to month. Mr. Smith made $1,500 in April (the month of application) but expects to receive less in future months. Mr. Smith provides verification of March income of $1,100. Average income for March and April is $1,300, which can be used as a more accurate estimate of anticipated income over the certification period.
Average income can be recalculated in response to new information about or reported changes in income. Households that, by contract or self-employment, derive their annual income in a period of time shorter than one year will have that income averaged over a 12-month period, provided the income from the contract is not received on an hourly or piecework basis. These households may include school employees, sharecroppers, farmers and other self-employed households. However, these provisions do not apply to migrant or seasonal farmworkers. The procedures for determining self-employed income are described in Section 11.2.1, Self- Employment Income. Self-employment income that is not the household’s annual income and is not paid on an hourly or piecework basis will be prorated over the period the income is intended to cover. Earned (and unearned) educational income, after allowable exclusions, will be averaged over the period it is intended to cover. Income will be counted either in the month it is received or in the month the household anticipates receiving it or receiving the first installment payment, although it is still prorated over the period it is intended to cover. Example Mr. Smith applies for SNAP after being laid off. The past 30 days of his earnings are not reasonable to anticipate for future months because the employment has ended.
Legal Authority Determining income eligibility (federal): SNAP: 7 USC § 2014, 7 CFR §§ 273.9-10, 7 CFR § 273.2(j)(2)(v)
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