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Aged, Blind and Disabled Manual Section: Categories of Eligibility Policy Manual Number: 110.005 Chapter: ABD Income Overview Legal Authority: 26 USC 6409; 42 CFR 435.601; 20 CFR 416.1102; 20 CFR 416.1103; 20 CFR 416.1111; 20 CFR 416.1123; State Plan, Supplement 11b to Attachment 2.6-A; Tenn. Comp. R. & Regs. 1200-13-20 1. Policy Statement Income is any item an individual receives in cash or in-kind that can be used to meet his need for food or shelter. Income includes the receipt of any item which can be applied, either directly or by sale or conversion, to meet basic needs of food or shelter. 2. Types of Income Income is either earned or unearned, and different rules apply to each. Either type may be cash or in- kind. Earned income is compensation an individual receives for the performance of services or as a result of his own efforts either as an employee or through self-employment. Unearned income is money an individual receives that is not the result of current work efforts, but accrues to an individual as the result of investment, inheritance, previous work efforts, etc. Income eligibility for the ABD TennCare Medicaid categories is determined according to the Social Security Administration (SSA) Supplemental Security Income (SSI) treatment of income rules. a. Earned Income Includes: i. Bonus; ii. Combat Pay; iii. Commission; iv. Contractual; v. Differential; vi. Domestic Volunteer Act; vii. Earned Income Tax Credit; viii. Farming/Fishing; ix. In-Kind Not Food/Shelter; x. In-Kind Wages; xi. Irregular or Infrequent Income; xii. Military Allowances; xiii. Older Americans Act; xiv. Royalties/Honoraria;