Monthly Computation Method

The monthly computation method is used in two situations:

If the frequency is known and consistent, the appropriate conversion factor is used when calculating self-employment income and/or expenses. Conversion factors are not used when income is received on any other basis, such as daily or irregularly.

If the frequency is … use the conversion factor … weekly 4.33 bi-weekly 2.17 semi-monthly 2

If the individual has at least two full representative calendar months of self-employment income and the source or the frequency is unknown and inconsistent, each month's self-employment income should be totaled and deducted from the allowable expenses for each corresponding month.

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Monthly Computation Method

Official source

The monthly computation method is used in two situations:

If the frequency is known and consistent, the appropriate conversion factor is used when calculating self-employment income and/or expenses. Conversion factors are not used when income is received on any other basis, such as daily or irregularly.

If the frequency is … use the conversion factor … weekly 4.33 bi-weekly 2.17 semi-monthly 2

If the individual has at least two full representative calendar months of self-employment income and the source or the frequency is unknown and inconsistent, each month's self-employment income should be totaled and deducted from the allowable expenses for each corresponding month.