Page 262

ESA SNAP Policy Manual 246 Chapter 23 Chapter 23: Claims Against the Household This section provides information on SNAP overpayment policy and underpayment policy.  A household has an overpayment when it receives more benefits than it is eligible to receive.  A household has an underpayment when it receives less benefits than it is eligible to receive. 23.1 Definition of a Recipient Claim The overpayment or underpayment is the difference between the benefit amount the client actually received before any recoupment and the benefit amount the client should have received before recoupment. ESA must use the policies in effect in the payment month when calculating benefit errors. 23.1.1 Applying Income Disregards and Deductions The SNAP 20 percent earned income disregard is not allowed if the household did not report the income change timely. When a household is completely ineligible in one or more months and is eligible in one or more later months, ESA assumes that the household reapplied on the first day it eligible. ESA will calculate the amount that the household should have received based on the first day it was eligible and prorate if necessary. 23.1.2 Best Estimate of Income If a customer does not cooperate by providing information to determine the amount of the incorrect payment, ESA will use the best estimate or best information available from sources such as IEVS or The Work Number. If information is available in an earlier quarter, ESA will use the information for the following months. If ESA has quarterly wage information (from DOES or the recipient’s previous employer) and the recipient Return