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COMBINED MANUAL

ISSUE DATE 10/2025

SHELTER DEDUCTIONS

0018.15

2. Allow the remainder of the costs as a deduction.

The utility costs are not prorated. See 0018.15.09 (Utility Deductions).

● For units which contain an ineligible unit member disqualified for intentional program violation or non-compliance with work requirements, allow the entire unit's applicable deduction amount, including the disqualified unit member.

Housing Costs Paid by People Living in the Home If the SNAP unit is sharing housing costs with others living in their home, use the guidance below to determine what shelter cost the SNAP unit is eligible for as a deduction. ● If the SNAP unit has a lease agreement, mortgage statement or other official living agreement and has other people living with them, not in their SNAP unit, they are allowed the full lease amount, mortgage statement or living agreement as a shelter deduction. If the other people living there have an agreement to pay the SNAP unit housing costs, that money is counted as unearned income to the SNAP unit. In addition, if the other party paying the SNAP unit applies for SNAP themselves, what they are paying the other SNAP unit for housing costs can be allowed as a deduction. See 0017.15.33.27 (Self-Employment Income From Roomer/Boarder).

● If the SNAP unit has a lease agreement, mortgage statement or other living agreement that lists the person/people not in the SNAP unit, then only allow the amount the SNAP unit is paying as part of their agreement as a shelter deduction.

Housing Costs Paid by People Not Living in the Home If a 3rd party that is not living with the client is providing funds directly to the client for their housing costs, allow the deduction. These payments are counted as unearned income. If the 3rd party is paying the housing costs to the landlord/owner, this is not counted as income and the unit is not allowed the housing costs as a deduction unless the shelter expenses are paid by initial refugee funds or match grant. Shelter expenses paid by initial refugee funds must be allowed as a deduction for SNAP. See 0029.39 (The Matching Grant Program), 0030.01(Local Resettlement Agencies).

If a unit receives subsidized housing, only allow what the client is actually paying for their shelter costs as a deduction.

Group Residential Housing (GRH) When a unit resides in a GRH setting their deduction depends on the setting and the client’s obligation:

● When the unit resides in a Group Supportive Housing, allow the client’s obligation as the shelter deduction.

● When the unit resides in a Community Setting, first determine the client’s monthly rental amount and their obligation. - When the client’s obligation is less than the monthly rental amount, allow the client’s obligation as a shelter deduction. - When the client’s obligation is more than the monthly rental amount, allow the monthly rental amount as a deduction.

See the Housing Support Setting Characteristics (DHS-8292-ENG) for more information on Group Supportive Housing and Community Settings.

Maximum Shelter Costs Once a unit verifies their shelter costs, they are allowed their adjusted shelter costs as a deduction, up to a maximum amount. Adjusted shelter costs are the unit's allowable housing costs plus their standard utility allowance minus 50% of the unit's net income. If the unit's adjusted shelter costs exceed the maximum amount, then they are allowed the maximum amount as a deduction. Currently, the maximum amount is $744. MAXIS calculates the shelter deduction in the SNAP budget based on information entered on the appropriate panels. SNAP units with an elderly or disabled member are allowed their adjusted shelter costs as a deduction even when it is less than or exceeds the maximum amount. Elderly means someone who is age 60 years or older. See listed items under category 1 for disability determination in 0010.18.06 (Verifying Disability/Incapacity – SNAP)

For allowable shelter deductions for Uncle Harry cases, see 0022.24 (Uncle Harry Food Support Benefits).

Homeless Shelter Deduction