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1234 (07/2026) Chapter 8: Examples • Chapter 8: Examples Example 1: Mary Smith is applying for OSIPM, has $600.00 in SSD and is not in need of services. Mary’s husband works and earns $2,000.00 per month. They have 3 children who have no income of their own. Step 1: Individual Eligibility Mary's unearned income $600.00 Unearned income exclusion - $20.00 Mary's adjusted income $580.00 Since $580.00 is less than the OSIPM standard, go to the next step. Step 2: Allocation calculation Husband has no unearned income, so the allocation comes from the earned income. $2,000.00 Each child is allocated $497.00 x 3 - $1,491.00 Remaining Earned Income $509.00 Since $509.00 is more than $497.00, go to the next step. Step 3: Deeming Unearned income $600.00

Unearned Income Exclusion - $20.00

Remaining Unearned Income $580.00 Remaining Earned Income (from step 2 allocation) $509.00

Earned Income Exclusion -$65.00

Subtotal $444.00

½ Remaining Earned Income + $222.00 Deemed Income $802.00 $802.00 is less than the two-person OSIPM standard, so Mary is eligible. Example 2: Susan Jones has $1,150.00 in SSD and is not in need of services. Susan’s husband works and earns $800.00/mo. They have 2 ineligible children. Compare Susan’s adjusted income $1,130.00 ($1,150.00 - $20.00) to the OSIPM individual income standard. The adjusted income is over the standard, so Susan is ineligible for OSIPM. There is no need to look at allocating income from the ineligible spouse to the ineligible children since Susan is not eligible as an individual. Example 3: Luisa Lopez has no income, is married and has 3 children. Each child has $150.00 in income per month. Luisa’s husband has $1,500.00 in SSB and earns $900.00. Step 1: Allocation calculation Husband's unearned income $1,500.00