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Example Ms. Roberts and her daughter receive TANF. Ms. Roberts has found a job since receiving TANF and now earns $500. She does not have out-of-pocket child care expenses. Gross Earned Income = $500 Gross Unearned Income = $0 Net Earned Income = $500 Gross Earned Income – $160 Work Expense Deduction – $227 two thirds of $340 (earnings not already disregarded) = $113 Net Countable Income = $113 Net Earned Income + $ 0 Unearned Income = $113 Ms. Roberts has received TANF in the past for a total of 63 months. The Reduced Payment Level for a family of two is $269 (as of April, 2011.) Since the group's income is below this level, the group is income-eligible for TANF. GC Since a GC child's earnings are not counted when determining eligibility, net and gross income in the GC program are generally the same. If, however, a GC child is married, applicable earned income disregards and dependent care deductions must be applied to his/her earnings. To determine income- eligibility for GC, compare the sum of countable earned and unearned income to the payment level (see Exhibit VI-4: TANF Standard of Assistance and Payment Levels) for the appropriate group size. If the income is less than the payment level, the group is eligible for GC. FS For categorically eligible groups in which all members receive TANF or SSI, no income-eligibility determination needs to be made. Groups with expanded categorical eligibility due to receiving a prescribed TANF-funded service are subject to a gross income test, unless they include a disabled or elderly person. Information on determining the level of benefits for these groups is provided in Section 8.5: Determining Benefits Level / Amount of Assistance in this Chapter. For most other groups, there are one or two 'tests' a group (regardless of whether it is an applicant or recipient group) must pass in order to be found income-eligible for FS; the gross income test and the net income test. Groups that include an elderly (a person age 60 or over) and/or a disabled person do not have to meet the gross income test nor the net income test once, once they qualify for expanded categorical eligibility by receiving a prescribed TANF-funded benefit. There is one exception: a household with an elderly or disabled member where any member is disqualified for fraud or Intentional Program Violation (IPV) cannot qualify as an expanded-categorically eligible household and is subject to the net income test. Exhibit VI-5: FS Income Standards shows the standards for each test by household size. Gross Income Test To pass the gross income test, gross countable income (that is, the sum of gross earned and gross unearned income before any deductions are taken) must be less than the gross income limit for the relevant group type and size. The gross income limit is set at 200% of the FPL for expanded- categorically-eligible groups and at 130 percent of the FPL for other groups subject to the Gross Income Test.