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Iowa LIHEAP Policy and Procedures Manual 6.00 Income
Effective 09/01/2023
Page | 16
Paid Monthly (once a month): Employees receive a paycheck once a month. A monthly pay period results in 12 paychecks in a year.
Quarterly Income (once every three months): There are four quarters in a year, consisting of three months each. Typically, dividends are paid quarterly. Quarterly income results in four income statements in a year.
Semi-Annual Income (typically once every six months): Some dividends are paid semi-annually, resulting in two income statements in a year.
Annual Income (once per year): Total amount of income earned annually, typically resulting in one income statement in a year.
6.40 Collection of Income Collect income information in the following manner:
● Paid Weekly – four most recent paystubs (use paystubs closest to the date of application)
● Paid Bi-Weekly or Semi-Monthly – two most recent paystubs (use paystubs closest to the date of application)
● Paid Monthly – most recent paystub (use paystub closest to the date of application)
● Quarterly Income (farm rent, dividends, etc.) – one statement of income
● Semi-Annual Income (farm rent, dividends, etc.) – one statement of income
● Annual Income (farm rent, dividends, etc.) – one statement of income
Income will be calculated in the following manner: (note – deduct amounts for child support, FIP, and General Assistance)
● Paid Weekly Example: $300 + $400 + $300 + $400 = $1,400 $1,400 / 4 = $350 (average gross income per week) $350 x 52 (paychecks per year) = $18,200 (annual gross income)
● Paid Bi-Weekly Example: $800 + $900 = $1,700 $1,700 / 2 = $850 (average bi-weekly gross income) $850 x 26 (paychecks per year) = $22,100 (annual gross income)
● Paid Semi-Monthly Example: $700 + $900 = $1,600 $1,600 / 2 = $800 (average semi-monthly gross income) $800 x 24 (paychecks per year) = $19,200 (annual gross income)
● Paid Monthly Example: $1,500 (monthly gross income) $1,500 x 12 (paychecks per year) = $18,000 (annual gross income)
● Paid Quarterly Example: