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Title 7: SNAP Page 48 Iowa Department of Health and Human Services Employees’ Manual Chapter I: Specific Households and Participants Boarders and Commercial Boarding… Revised February 13, 2026 Income Add the countable boarder income to any other earned income of the household before allowing the earned income deduction. Corporations Legal reference: 7 CFR 273.11(a) All corporations are separate legal entities. A closely held corporation is one that has only a few shareholders. An owner or employee of a corporation is not a self-employed person. A person who receives a salary from a corporation is an employee of the corporation. The corporation is responsible for its debts and obligations. The income and resources of a corporation belongs to the corporation. Income Legal reference: 7 CFR 273.9(b) Count stock dividends as unearned income to the person who owns the stock. Resources Legal reference: 7 CFR 273.8(c) Exclude the value of stock in a corporation when the stock is essential to employment. This means that the employee must hold the stock in order to keep the job. Stock that is not essential to employment is counted as a resource. To determine the value of corporate stock, subtract the corporate liabilities from assets and prorate the difference among the shareholders based on the percentage of shares held.

A household owns 40% of the stock in a corporation. This stock is not essential to employment. To calculate how much to count towards the household’s resource limit, use the following calculation for the value of stock. $ 22,000 Corporate assets - 10,000 Corporate liabilities $ 12,000 Value of corporation $ 12,000 Value of corporation x .40 Value of the household’s share of stock $ 4,800 Household resource