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Title 8: Medicaid Page 80 Iowa Department of Health and Human Services Employees’ Manual Chapter E: Income Income Policies for MAGI-Related Coverage… Revised May 22, 2026 Countable Income Under MAGI Gross Countable Income Gross countable income under MAGI includes income types that are considered as gross income for federal tax purposes except as specified under Income Types Excluded from Gross Income below. Gross income for the purpose of Medicaid eligibility under MAGI includes but is not limited to the following income types:  Earned income, including salaries, wages, tips and other compensation for services, including fees, bonuses, commissions, fringe benefits such as sick pay, vacation pay, severance pay, and similar items. Also includes AmeriCorps income used for living expenses*, census earnings, child student earnings*, foreign earned income and housing expenses of a U.S. citizen or resident who lives abroad even though these types of income may not be taxable.  Gross profit derived from a self-employment trade or business;  Capital gains derived from dealings in assets or property;  Interest (taxable and non-taxable);  Rental income*, including room and board;  Royalties, residuals;  Taxable Dividends;  Alimony* and separate maintenance payments;  Taxable annuities, pensions*, IRA distributions or withdrawals;  Income from life insurance and endowment contracts;  Retirement – Military, IPERS;  Income from discharge of indebtedness;  Distributive share of partnership or S-corporation gross income;  Income in respect of a deceased person;  Income from an interest in an estate or trust;  Deemed sponsor income;  Social security benefits (taxable and non-taxable);  Disability payments, including government, private, temporary and permanent payments;  Unemployment Insurance Benefits (UIB);  Gambling winnings;