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242 (07/2026) Chapter 2:Eligibility • Section 5: Financial eligibility 2019 will not be averaged and counted when calculating service liability until January 2020. It is very important to notify individuals who receive periodic income that they should budget accordingly. Caution them against spending the income when they receive it or they may not have the funds to pay their liability in the months the income covers. Click here for more information on service liability. Lump-sum income calculation For SNAP, TANF, ERDC and REF/REFM, lump-sum income is counted as a resource. The following information applies specifically to OSIPM and MSP: Lump-sum income is treated as follows if it is received by a member of a financial group. • $10 is excluded from combined lump-sum and periodic income of each individual. • $20 is excluded from combined unearned lump-sum and periodic income of each individual. Note: This doesn’t mean the individual has to have both types of income to receive the exclusion. It means, if they do happen to have both, the amounts are combined before the exclusion is applied. • At the individual’s option, also exclude any amount they turn over to ODHS|OHA for reimbursement of previous assistance. Count any remaining lump-sum income as earned or unearned income in the month of receipt. For OSIPM, any amount remaining in future months is counted as a resource except retroactive SSB and SSI payments. Annualized income calculation The following information applies specifically to SNAP, TANF, ERDC, and REF/REFM programs: Annualized means the income for a year is divided by 12 to arrive at a monthly amount. If past income is not representative of the income expected for the current year, ODHS|OHA should anticipate the current yearly amount and divide it by 12. Income is usually only annualized in very specific circumstances: self-employment income and contracted income. Contracted income is only annualized if it meets all of the following criteria: • The income is not paid on an hourly or piecework basis (the exception to this would be if the contract is specifically for a set number of hours to be paid over a certain time period). • The income is received in less than a 12-month period. • The income earned is meant to cover the entire year. Keys to an accurate calculation ODHS|OHA will consider the following when calculating an individual’s income: • Who is included in the financial group for each program, and which income is included or excluded? • What is the reporting system, if applicable? • Is it an initial application or redetermination? If the initial month, will the anticipated income be different in