Page 35

Subsidized Child Care Assistance Program Policy Manual Chapter 7. Family Definition and Determining Income Eligibility Revised 08/01/2024

35

B. Self-Employment

Refer to the list under section above, V.C. Calculation of Self-Employment and Operational Expenses.

C. Cafeteria or Health Benefit and Employer Sponsored Benefit Plan Income

The type of cafeteria or health benefit plans offered by employers will vary. When the income of an applicant/recipient has both health benefit income and health benefit deductions reflected on the pay stub, the cost of medical, dental and vision insurance premiums are deducted from the countable gross monthly income to determine income eligibility. The child care worker reviews the pay stub or other documentation from the applicant/recipient or employer which reflects health benefit income in the earnings/gross income and deduction sections.

One of the following criteria will determine if the income from the health benefit is countable. 1. The health benefit income is countable if benefits such as medical, dental, or vision deductions are not reflected on the pay stub or other documentation. This is not an exhaustive list. In instances where the employer pays a one-time annual benefit to employees who elect to purchase insurance from another source other than the employer, the lump sum is countable and divided over the months covered by the benefits.

2. If benefit is deducted by the employer, the health benefit income is non-countable. If the recipient received funds in hand to purchase benefit, then the child care worker must count the income.