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8. Household Assets & Income

8.1 Asset Limit A family who has assets more than $1,000,000 is not eligible for CCA. This is self-attested to by the applicant at the time of application. Countable assets include cash, retirement, investments and real property. Property with a lean is not countable toward assets in full; only the portion of the property that has been paid off is countable toward assets.

Exceptions from Asset Limit • Families requesting care for children in protective custody or considered in need of protective custody are exempt from the asset limit. • Relative care takers are not subject to the asset limit. • Subsidized adoption and subsidized guardianship cases are not subject to the asset limit

8.2 Income Limits Eligibility for CCA is based on the household’s gross monthly income. Eligible households must have gross monthly income levels below the maximum for their household size.

Household gross income must fall below 209% of the Federal Poverty Level for initial eligibility. Income must fall below 85% of the State Median Income for families reapplying for CCA to be eligible for the child care graduated phase out.

Some family sizes between 170% FPL and 209% FPL will exceed 85% of SMI, which is the federal income limit for CCA. In those cases, the family is not eligible.

Families with a child who is eligible to receive Advanced Special Needs CCA must have a household gross income below 85% of the State Median Income for initial eligibility.

8.3 Income Types

8.3.1 Earned Income Gross earned income is countable income for CCA. This includes income before deductions, earned by the Primary Applicant and Primary Partner through the receipt of wages, salary, commissions, tips, bonuses, or fees; or for a self-employed individual, that income remaining after deducting allowable business expenses. Earned income of children who are not the Primary Applicant or Primary Partner is not countable.

Self-Employment. Self-employment is a form of earned income. Self-employed persons must work at least 80 hours per month and receive weekly earnings equal to federal minimum wage for hours to be countable. CCA uses net income to determine self-employment income (gross self- employment income minus eligible self-employment expenses). Self-Employment Income May Include: • Rental Income • Home Produce • Sale of Goods • Provision of Services • Capital Gains

8.3.2 Earned Income Deductions/Expenses The following expenses may be deducted from earned income: • Child support paid out by applicant or another countable household member, and