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Title 7: SNAP Page 52 Iowa Department of Health and Human Services Employees’ Manual Chapter E: Income Deductions Revised February 13, 2026 Shelter Expenses No one else living there is claiming shelter costs for SNAP purposes. The household plans to return to the home. The home is not leased or rented during the household’s absence. If a household claims expenses for an unoccupied home and a current home, allow the highest applicable utility standard for the expenses at either home. Shared Living Arrangements Legal reference: 7 CFR 273.9(d)(6) When separate SNAP households share rent, and one household gives its share of the rent to the other who then pays the landlord, give each household a deduction for its part of the rent. Do not count the pass-through rent payment as income unless the payment is more than the full rent charged for the residence. Any excess would be considered unearned income to the household receiving the payment.
Aaron and Ben share rent and are two different SNAP households. Total rent is $500, each pays $250 and each gets a $250 shelter deduction. Aaron gives Ben his $250 to turn in to the landlord for him. Aaron’s $250 is not countable as income to Ben. Homeless Standard Deduction Legal reference: 7 CFR 273.9(d)(6)(i) A household in which all members are homeless, as defined in 7-A, is eligible for a homeless standard deduction. A household is not entitled to this deduction if they are receiving free shelter throughout the month. To be eligible for the homeless standard, the household must be responsible for shelter or utility expenses related to their current living arrangement. A household that chooses the homeless standard deduction: Is not required to verify their shelter-related expenses Is not also eligible to receive a shelter or utility deduction The homeless standard deduction is $198.99. The homeless standard is treated differently than a shelter expense deduction when calculating benefits. It is a standard amount directly deducted from net income, unlike shelter and utility deductions which are only realized if costs exceed 50% of net income. See 7-F, Net Income Limit. Homeless households that have qualifying shelter expenses must be made aware of their option to choose between the standard deduction and actual shelter expenses.