239B.7 - INCOME AND RESOURCE EXEMPTIONS, DEDUCTIONS, AND DISREGARDS.
239B.7 INCOME AND RESOURCE EXEMPTIONS, DEDUCTIONS,
AND DISREGARDS.
In determining a family's income and resources for purposes of the
family's initial and continuing eligibility for assistance and for
determining grant amounts, the provisions of this section shall apply
to the family and individual family members.
1. Work expense deduction. If an individual's earned income
is considered by the department, the individual shall be allowed a
work expense deduction equal to twenty percent of the earned income.
The work expense deduction is intended to include all work-related
expenses other than child care. These expenses shall include but are
not limited to all of the following: taxes, transportation, meals,
uniforms, and other work-related expenses.
2. Work-and-earn incentive. If an individual's earned income
is considered by the department, the individual shall be allowed a
work-and-earn incentive. The incentive shall be equal to fifty-eight
percent of the amount of earned income remaining after all other
deductions are applied. The department shall disregard the incentive
amount when considering the earned income available to the
individual. The incentive shall not have a time limit. The
work-and-earn incentive shall not be withdrawn as a penalty for
failure to comply with family investment program requirements.
3. Reserved.
4. Reserved.
5. Income consideration. If an individual has timely
reported an absence of income to the department, consideration of the
individual's income shall cease beginning in the first month the
income is absent.
6. Interest income. Interest income shall be disregarded.
7. Individual development account deposits. The department
shall disregard as income any moneys an individual deposits in an
individual development account established pursuant to chapter 541A.
8. Motor vehicle disregard. The department shall disregard
the value of one motor vehicle. The countable equity value of any
additional motor vehicle shall apply to the resource limitation
established in subsection 9.
9. Resource limitation.
a. The resource limitation for an applicant family for the
family investment program shall be two thousand dollars.
b. The resource limitation for a participant family shall be
five thousand dollars.
c. The department shall disregard not more than ten thousand
dollars of a self-employed individual's tools of the trade or capital
assets in considering the individual's resources.
10. Individual development account earnings and balance. The
department shall disregard any earnings and the balance of an
individual development account established pursuant to chapter 541A
in considering an individual's resources. Section History: Recent Form
97 Acts, ch 41, §8, 34--36; 99 Acts, ch 192, §33, 34; 2004 Acts,
ch 1043, §1, 12; 2007 Acts, ch 124, §3, 4, 6
Referred to in § 239B.2