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individual in care. This income is not subject to the $50/$20 general income exclusion. Amounts paid to the provider in excess of the foster care payment, e.g., incentive or service payments, which are not intended to support the child, and are in addition to the foster care payment are counted as income to the provider.
(a) Foster care payments made under Section 477 of Title IV-E, Independent Living Initiatives, are cash assistance from a governmental social services program and do not count as income.
2) Adoption assistance cash payments made to adoptive parents under Title IV-E are federally-funded income based on need (IBON) to the adopted child. This income is not subject to the $50/$20 general income exclusion. The total payment is considered cash income to the adopted child and is counted dollar for dollar. Social services may be provided to the adoptive parents under Title IV-E, but they are not counted as income.
b) Funded by Titles IV-B or Title XX.
1) Foster care payments and adoption assistance through Title IV-B or Title XX are not income. Payments are considered social services.
c) Funded by Other Sources.
1) Other payments for foster care and adoption assistance are unearned income subject to general policy pertaining to income and income exclusions. The adoption assistance may be income to the parent of the child depending on the type of assistance received.
Source: Social Security Act §1902 (r)(2); 42 CFR § 435.601(b) (Rev 1994).
Rule 7.32: Support Payments – Spousal Support, Alimony.
A. These types of income are defined as follows:
1. Alimony and support payments are both cash contributions intended to meet some and all of a person’s needs for food and shelter.
a) Support payments may be made voluntarily or because of a court order.
b) Alimony, sometimes called “maintenance” is an allowance made by a court from the funds of one spouse to the other spouse in connection with a suit for separation or divorce.
B. These types of income are treated as follows:
1. Alimony and spousal support payments are counted as unearned income to the recipient.