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Title 8: Medicaid Page 129 Iowa Department of Health and Human Services Employees’ Manual Chapter D: Resources Specific Non-MAGI-Related Resources September 13, 2024 Self-Employment Property and Resources Self-Employment Property and Resources 20 CFR 416.1220, P.L. 101-239 SEC 8014 Exclude self-employment resources of the applicant or member, spouse, parent, or alien sponsor. Examples of self-employment resources are:  Real property, buildings.  Inventory, tools, equipment, machinery.  Farm equipment and livestock.  Motor vehicles.

If the homestead is used as the place of self-employment, exclude it as a home, if applicable; otherwise exclude it as a self-employment resource.

If you question whether a resource is used for self- employment or is the client’s personal property, ask the client to sign a statement stating whether the resource is necessary for the self-employment. Allow the exclusion if client states the resource is necessary.

Exclude liquid resources that are essential for self-support and are used in the operation of self-employment. Obtain a signed statement that the liquid resources are used for self- employment.

Continue to allow the exclusion if:

 The business is operating at a loss.

 An illness or disability prevents the continuation of the self-employment business. This exclusion cannot exceed two years.

 The business is seasonal and the client is not currently working but is expected to return within one year after the last day of use.

1. Before Mrs. B entered a nursing facility, she and her husband farmed together. Mr. B continues to farm. Their animals, a truck, and farm machinery are necessary for farming and are not countable resources for attribution or eligibility determination. They are exempt as resources owned by the spouse necessary for self-employment.