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4 Deem income of the ineligible spouse to the a/b (see IV.D. for deeming instructions.).

4. If the a/b is a Medicaid Child

Deem income from the parent(s) to the child (see IV.E for deeming instructions).

IV. INCOME COMPUTATIONS (BASED ON COMPLETION OF DHB'S BUDGET SHEETS)

A. Background

The following section gives instructions for completion of the Budget Sheets. These forms were developed to assist in determining income eligibility and the appropriate aid/program/category. These forms must be used to calculate income for M-AABD/M- QB/M-WD cases.

NOTE: Ineligible Child: In the deeming process (both spouse to spouse and parent to child), there is a provision for deducting a portion of the deemor's income for the needs of "ineligible children." The definition of an ineligible child is: an unmarried child of the parent from whom income is deemed. The child must live in the household and must not receive SSI or AAF and must not be applying for or receiving M-AABD or M-QB. Allow the Living Needs Allowance (see VII.B.) for each ineligible child in the home under age 18 (or, 21 if a student and regularly attends school or college or training designed to prepare him/her for a paying job).

1. MAABD and MQB-Q (SSI) Budgeting Methodology

a. For "Medicaid Individuals," complete Section A of the DHB-5008aAdult Budget Sheet. Section A determines whether:

(1) The individual is eligible for N coverage, or

(2) If there is a deductible for M coverage, and/or

(3) If the individual is eligible for M-QB/M-WD.

b. For "Medicaid Couples," complete Section C of the DHB-5008aAdult Budget Sheet.

c. For "Medicaid Individuals with Ineligible Spouses," complete Sections A, B, and C of the Adult Budget Sheet.

d. For "Medicaid Child" living with parent(s), complete Sections A, B and C of the DHB-5008eABD Medicaid Parent to Child Budget Sheet.

2. MQB Family Size Budgeting Methodology