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

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IV. SOURCES OF INCOME

Although all sources of income must be considered in the base period month the household receives the income, not all income is counted in the family’s gross monthly income when determining eligibility for child care assistance.

A. Countable Income The following are sources of income which must be counted when determining eligibility for child care assistance:

1. Gross earned wages or salaries (earnings received for work performed as an employee), including: i. wages, ii. salaries, iii. commissions, iv. tips, v. piece-rate payments, vi. cash bonuses earned, before any deductions such as for taxes, bonds, pensions, and union dues; vii. pay for leave including sick, vacation, or holiday leave should be counted when it is paid at the regular rate of pay and covers the time when the applicant/recipient would typically work. If the applicant/recipient worked during a holiday at a higher rate of pay, the child care worker should assess if this pay is representative.

Note: Child care workers should not count mileage or per diem when listed on a recipient’s pay stub.