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reasonably certain will be received during the eligibility period. The Child Care Worker shall use the converted monthly income which has been received by the family unit, unless the income is for a partial month.

2. If income fluctuates so much that the prior calendar month cannot by itself provide an accurate indication of anticipated income, a longer period of past time may be used if it will provide a more accurate indication of fluctuations in future income. If income is ongoing, anticipate by averaging income from the past pay periods. a. The Child Care Worker shall select a projection period in VaCMS to average the income received in any number of pay periods immediately prior to application/redetermination, sufficient to take the fluctuations into consideration. The Child Care Worker should select only the pay periods that will yield the most realistic estimate of income to be received. Usually, the monthly gross income received in the three (3) months immediately prior to application/redetermination is sufficient.

b. For child support, farm income or seasonal employment, it may be necessary to average income over a period of up to 12 months.

Guaranteed salaries paid under a contract that represent the individual's annual income will be averaged over 12 months, even if the employee chooses to receive payments in fewer months. If payments extend beyond the contract period, the earnings must be prorated based on the expected number of months.

Example

A contract period is September 2017 – August 2018 (12 months). The individual chooses to receive the contract income over a 10-month period. The contract amount is divided by the contract period of 12 months to arrive at the monthly gross income.

A contract period is November 2017 – June 2018 (8 months). The individual chooses to receive the contract income over the period of 12 months. The contract amount is divided by the 12 months to arrive at the monthly gross income.

J. Temporary Increases

Temporary increases in income will not be included in the income calculation and will not affect the applicant/recipient’s eligibility or copayment amount. This fluctuations, when taken in isolation, may incorrectly indicate that an applicant/recipient’s income exceeds the income eligibility limit or 85% of state median income. Types of temporary increases may include, but are not limited to, sporadic overtime pay, commissions, bonus pay, and recognition pay, not indicative of a permanent increase in income, or income that is not expected to be received on a regular ongoing basis.