Page 35
UPDATED: NOVEMBER 2007
133
INCOME UNEARNED
DIVIDENDS AND INTEREST
NOTE: The SSI-related interest/dividend income exclusion only applies to community budgeting, not to chronic care budgeting, regardless of whether the resources are above or below the appropriate resource level.
Although some life insurance policies pay dividends, these dividends are generally treated as a resource.
Periodic payments received by an SSI-related A/R from an annuity and/or IRA continue to be treated as countable unearned income. Capital gain distributions (e.g. from mutual funds) noted on Internal Revenue Form 1099-DIV, Dividends and Distributions, whether paid as cash or reinvested, are to be treated as unearned income. (See GIS 04MA/027, page 2)
When to Verify: (a) When the A/R declares in the application that s/he receives dividends or interest.
(b)When the A/R declares in the application that s/he has…#
(b) When the A/R declares in the application that s/he has bank accounts, stocks/bonds, trust funds, or life insurance.
(c)When the case record indicates that the A/R received…#
(c) When the case record indicates that the A/R received income from dividends or interest, but the A/R does not now declare that it is being received.