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that can be taken from the TANF grant that will still leave the household with gross income that is at least 90 percent of the maximum benefit level. Follow these steps to determine the recoupment amount: • Step 1: Calculate the grant amount the group would be eligible for if no recoupment were required, applying all applicable disregards and deductions. • Step 2: Add together the grant calculated in Step 1 and the group's gross earned and unearned income. • Step 3: Subtract 90 percent of the maximum benefit level for a family of the appropriate group size from the result of Step 2. This difference is the recoupment amount, unless this difference is greater than the grant calculated in Step 1. In this case, the group's entire benefit is recouped. Example 1 Mr. Temple receives $379 in TANF for his two children and himself. Beginning in June, his TANF benefits will be reduced to recover an overpayment. Since he has no other income, 10 percent of his TANF benefit ($38) will be recouped to recover the overpayment. He will receive $341 ($379 - $38 = $341) in TANF. Example 2 Ms. Kremer receives $63 in TANF for her three children and herself. She also receives $400 in Social Security. Beginning in July, her TANF benefit will be reduced to recover an overpayment. Her recoupment is calculated as shown: TANF Entitlement $ 63.00 + Gross Unearned Income $400.00 = $463.00 - 90% of Payment Level for 4 $416.00 = Recoupment $47.00 Ms. Kremer will receive $16 in TANF after the $47 recoupment is deducted. Example 3 Ms. Benton is working and receives a reduced TANF benefit. She earns $1,000 monthly and gets $70 in TANF for her three children and herself. Beginning in May, her TANF benefit will be reduced to recover an overpayment. Her recoupment is calculated as shown: TANF Entitlement $70.00 + Gross Earned Income $1000.00 = $1070.00 - 90% of Payment Level for 4 $416.00