Page 867

COMBINED MANUAL

ISSUE DATE 02/2022

DEPENDENT CARE DEDUCTION

0018.09

MFIP, DWP: Allow the dependent care deduction ONLY when applying the initial eligibility test for applicant units. NEVER use this deduction to determine the grant, see 0010.18.01 (Mandatory Verifications - Cash Assistance). After families are eligible, they will get a child care subsidy in place of this deduction. See 0029.30 (Child Care Assistance).

For applicants deduct costs of care for a minor child or disabled adult in the unit when the caregiver is: ● At work or in transit to or from work.

● Not at work, but needs dependent care to maintain employment. For example, allow the expense for a client who works nights and pays for dependent care while sleeping during the day.

Deduct the costs of child care up to $200 per minor under age 2. Deduct the costs of child care up to $175 per minor age 2 and older.

For 2-parent units, allow the deduction only if the non-working parent cannot provide care (for example, due to disability).

Allow dependent care costs as a deduction either in the month incurred or paid.

Do not allow a deduction for care provided by any of these people: ● A unit member.

● The parent of a minor child.

● The spouse of the caregiver of a minor child.

SNAP: The costs a SNAP unit member pays for childcare for a child under 18 or care of an incapacitated unit member of any age are allowed as a deduction for SNAP when a unit member is doing any of the following: ● Is employed.

● Seeks/searches for employment.

● Is in school or training to prepare for employment.

Note: Verify paid dependent care costs only if questionable.

Do not allow costs under these circumstances: ● The portion of costs paid by or reimbursed by another source such as Child Care Assistance Program (CCAP) or student financial aid on behalf of the unit. See 0017.15.36.09 (Student Financial Aid Deductions). OR ● Care is paid to and provided by a unit member in same SNAP unit of the child or adult receiving care.

Costs that can be allowed are limited to: ● Costs of care given to a SNAP unit member by a care provider or care facility.

● Transportation to and from the care provider or care facility. Use the flat rate deduction or itemize transportation expenses. See 0018.13 (Transportation Expense).

● Activity or other fees associated with the care provided to the dependent that are necessary for the household to participate in the care. When fees are non-recurring average the costs over the remaining months of the 6-month period or allow the entire expense in 1 month.

Page 867

Official source

COMBINED MANUAL

ISSUE DATE 02/2022

DEPENDENT CARE DEDUCTION

0018.09

For applicants deduct costs of care for a minor child or disabled adult in the unit when the caregiver is: ● At work or in transit to or from work.

● Not at work, but needs dependent care to maintain employment. For example, allow the expense for a client who works nights and pays for dependent care while sleeping during the day.

Deduct the costs of child care up to $200 per minor under age 2. Deduct the costs of child care up to $175 per minor age 2 and older.

For 2-parent units, allow the deduction only if the non-working parent cannot provide care (for example, due to disability).

Allow dependent care costs as a deduction either in the month incurred or paid.

Do not allow a deduction for care provided by any of these people: ● A unit member.

● The parent of a minor child.

● The spouse of the caregiver of a minor child.

● Seeks/searches for employment.

● Is in school or training to prepare for employment.

Note: Verify paid dependent care costs only if questionable.

Costs that can be allowed are limited to: ● Costs of care given to a SNAP unit member by a care provider or care facility.

● Transportation to and from the care provider or care facility. Use the flat rate deduction or itemize transportation expenses. See 0018.13 (Transportation Expense).