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Aged, Blind and Disabled Manual Policy Manual Number: 115.010 Section: Categories of Eligibility Chapter: Disabled Adult Children March 18, 2019 Division of TennCare 3 c. Resource Limit Resource limits for individuals in this category are $2,000 for an individual and $3,000 for a couple. 4. Budget Overview a. DAC Increase i. Initial DAC Entitlement If the initial entitlement to the DAC benefit caused SSI ineligibility, the entire initial entitlement is disregarded from the applicant’s income. ii. Increase in DAC Benefit If an increase in the DAC benefit caused SSI ineligibility, the amount of the increase is disregarded from the applicant’s income. iii. Social Security COLA or non-COLA Increase Any Social Security COLA or non-COLA increases received by the individual after SSI was terminated will be disregarded b. Budget Mr. Black is an SSI recipient. While his father works, he receives a monthly SSI payment of $498. When his father retired and began receiving $1,000 a month in Social Security, Mr. Black began receiving a DAC payment of $500 a month. This lowered his SSI monthly benefit to $218. Mr. Black’s father passes away in January 2014, which increases his monthly DAC benefit to $750 and results in the loss of SSI eligibility. Mr. Black has earned income of $200 per month and has proof of $50 in disabled work expenses per month. Mr. Black’s total countable income, $42.50, is less than the current $735 SSI-FBR, so he is income eligible in the DAC category. Income Budget Calculation

Unearned Income $ 750.00 Irregular Unearned Income Disregard + $ 0.00 In-Kind Support and Maintenance + $ 0.00 Ineligible Spouse’s Deemed Unearned Income + $ 0.00 Ineligible Parent’s Deemed Income + $ 0.00