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MS 5650 [5]
c. For contract wages, other than school employees, who are governed by a written contract or payment agreement, divide the income over the amount of time the contract stipulates.
Example: Contract stipulates that the individual is to be paid $1200 for 6 months, beginning January 1st and ending June 30th. After six months, the contract ends, and no additional wages will be received unless a new contract is signed. The wages would be averaged for six months, beginning the first month the payment is received.
5. Terminated Wages
For terminated wages in the month of application, verify and count the actual wages received in the month. Additionally, review with the household any employment that occurred in the 30 days prior to the date of the application to determine the last day worked, last day paid, and the reason for termination or job end. This must be done in order to determine if any income was received, or will be received, in the application month, as well as to determine if a voluntary quit disqualification should be applied to that individual.
6. Bonus Income
If there is a pattern of bonus payments, determine the average monthly bonus income from the checks provided and enter the monthly amount separately as an earned income entry in Worker Portal.
7. Commission Income
For commissioned income that is included in the taxable gross amount of regular wages, separate the commission amount from the taxable gross wages. Enter the commission amount entered into the commissions section within the wage entries.
B. Child Support
Before budgeting child support income, determine if the average of the prior three months is representative of future child support. For new child support or a change in child support, use the court-ordered amount, or other verified amount, in cases where there is no court order, if representative of future support, to determine the anticipated ongoing amount. A thorough explanation of how ongoing support is determined is required. Use an average of the prior three months if this is more consistent with anticipated child support due to an absent parent making irregular payments. Allow a written statement from the absent parent if paid directly to the custodial caretaker and is representative of ongoing child support income. If verification of the prior three months child support is not available or is not representative of the ongoing amount, average and convert as follows to get the monthly amount: the weekly estimated amount by 4 1/3, the bi-weekly amount by 2 1/6, and the semi- monthly amount multiplied by 2. Do not round the weekly amount.