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Aged, Blind and Disabled Manual Policy Manual Number: 110.035 Section: Financial Eligibility Requirements Chapter: ABD Income Disregards and Expenses
January 5, 2026 Division of TennCare 2 3. Earned Income Disregards and Expenses a. Irregular Earned Income Disregard The first $30.00 of earned income received in a calendar quarter, if infrequent or irregular, is disregarded.
b. Student Earned Income Exclusion The Student Earned Income Exclusion (SEIE) applies to the earnings of the student who is under age 22 and regularly attending school. The exclusion may apply to an eligible or ineligible child, spouse, or parent(s). The SEIE monthly amount is determined by the Social Security Administration. The monthly exclusion for 2026 is $2,410. The maximum annual exclusion for 2026 is $9,730.
The SEIE does not apply to children attending elementary school. i. A student is regularly attending school if he is:
1. In a college or university for at least 8 hours per week under a semester or quarter system; 2. In grades 7-12 for at least 12 hours per week; 3. In a training course preparing him for a paying job for at least 12 hours per week (if the course involves shop practice the hour minimum is 15); or 4. For less than the amount of time indicated above for reasons beyond the student’s control, such as illness, if circumstances justify a reduced credit load or attendance. ii. A home-schooled student if she is:
1. In grades 7-12 for at least 12 hours per week; and 2. In accordance with state or jurisdictional home school laws. iii. A homebound individual is a student regularly attending school when he: 1. Must stay at home because of a disability; 2. Studies a course or courses given by a school (grades 7-12), college, university or government agency; and 3. Has a home visitor or tutor from school who directs the studying or training.
A child retains his student status during official school vacations and breaks if the individual met the conditions required to be considered a student prior to the vacation or break, and he plans to return to school after the break.