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2805.00.00 EARNED AND UNEARNED INCOME Income is broken down into two categories: earned income and unearned income. Earned income is payment received in the form of wages, salaries, and commissions from an employer or from self-employment. In-kind earnings such as goods or services received in lieu of wages are also considered earned income. It can also be profits from the sale of farm crops, livestock, or poultry. Unearned income is income for which there is no current performance of work or services. Unearned income may include: • Retirement income • Disability payments • Unemployment/worker's compensation • Annuities, pensions, and other regular payments • Alimony and support payments o Counts for income in all non-MAGI o Counts for MAGI cases only if the divorce was finalized and/or amended prior to 1/1/2019) o Refer to 2830.00.00 for further information. • Dividends, interest, and royalties • Proceeds of life insurance policies (when paid in installments) • Winnings, prizes, and awards • Gifts and inheritances • Child support • Benefits administered through the Social Security Administration. 2805.10.00 AVAILABILITY OF INCOME Income is considered available when it is received and/or when the individual can make the income available. Refer to IHCPPM 3405.00.00 regarding the income budgeting principals. 2805.15.00 OWNERSHIP OF INCOME The individual who has title to the proceeds of a payment or property is the individual who "owns" the income. If the income is received by an individual's legal representative or guardian, the individual still owns the income. When a legal representative receives the income, ownership through one of the following documents must be verified: