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FOOD AND NUTRITION SERVICES CERTIFICATION INCOME AND RESOURCES FNS 340 DEDUCTIONS Section 340 Change #02-2026 August 4, 2026 b. Dentures, hearing aids, and prostheses; c. Psychotherapy and rehabilitation services; d. Hospitalization, outpatient treatment, nursing care, and nursing home care including payments by the FNS unit for an individual who was a FNS unit; member immediately prior to entering a hospital or nursing home. Care must be provided by a facility recognized by the State; e. Rental and purchase of medical equipment and supplies; f. Prescribed eye glasses and contact lenses; g. Prescription and over-the-counter medications and medical supplies; and h. Cost of service of the following attendants when service is provided by a non-FNS unit member: homemaker, Home Health Aide, dependent care service, or housekeeper. i. If the FNS unit provides the majority of the attendant’s meals, allow a deduction equal to the current one-person coupon allotment. ii. If the attendant care could qualify as either a medical expense or a dependent care expense, count as Dependent Care since there is not a limit to Dependent Care Expenses. C. Non-Allowable Expenses 1. Cost of special diets, including Ensure, even if filled as a prescription; 2. Premiums paid for health or other medical insurance policies if benefits are payable in a lump sum for death or dismemberment; 3. Premiums paid for policies that are payable directly to the individual in a set daily or weekly amount and do not specify that benefits are for medical expenses; 4. Premiums paid for policies that continue payments on mortgages or loans. These policies are widely referred to as “income maintenance policies”; 5. Costs of transportation or lodging for Medicaid recipients or other persons when expenses are being paid by the county; 6. Late fees and interest charged on credit cards used to pay expenses; 7. Reimbursed medical expenses from a source such as Medicare Set-aside Arrangements that are used to protect Medicare when a person is injured as the result of another person’s negligence.