Page 34

417.

NOT COUNTED AS INCOME

In general, non-recurring, lump sum payments to a household are considered an asset and are not counted as income. Care should be taken to follow-up on such receipts to determine if there will be subsequent income from ongoing, periodic payments by the same source which would be considered income. Although lump sum payments are considered assets they may produce income as investments. This income usually in the form of interest payments, are counted as income. The following is a list of payments made to households that are not counted as income.

417.1

SOURCES NOT COUNTED AS INCOME

1. Medical Reimbursement: Reimbursement, from a third party, for medical expenses is not counted as income.

2. Insurance Settlements:

A one-time, lump sum insurance settlement payment for injury is excluded as income. 3. Personal Retirement A lump sum pension or retirement payment is excluded as income. However, the ongoing retirement payments are counted as income.

4. Social Security Lump Sum

Lump sum Social Security and Supplemental Security Income (SSI) payments are excluded from income calculations. However, ongoing Social Security benefits paid to an individual or their surviving spouse or in the name of the surviving children is counted as income to the household.

5. Inheritance

An inheritance received in a lump sum is excluded as income.

6. Gifts Gifts of a one-time nature that do not represent support on a regular basis are excluded as income.

7. Savings Instruments Principle

That portion of any savings instrument which represents the