Each employed individual who qualifies for MA in the PC
category, PU category or in the PD category with PC category children is
entitled to the following deductions from earned income in the following order:
(1)
Work expenses.
The first $90 per month from the earned income of each applicant or recipient
who is employed if the employed individual is not eligible to receive an earned
income incentive deduction as described in paragraph (2) or if the $90
deduction is more advantageous to the applicant or recipient group.
(2)
Earned income incentive
deductions.
(i) Each employed
individual in the NMP-MA applicant or recipient group is eligible to receive an
earned income incentive deduction if one of the following applies:
(A) The employed individual in the NMP-MA
applicant or recipient group is a recipient in a TANF-related category or a
GA-related category with a child who is simultaneously a recipient of MA in a
TANF-related category.
(B) The
employed applicant has been a recipient of cash assistance, NMP-MA or MNO-MA in
a TANF-related category in 1 of the 4 calendar months before the calendar month
of his application for NMP-MA.
(C)
The employed applicant has been a recipient of cash assistance, NMP-MA or
MNO-MA in a GA-related category with a child who was simultaneously a recipient
of MA in a TANF-related category in 1 of the 4 calendar months before the
calendar month of his application for NMP-MA.
(D) The total income of persons in the NMP-MA
applicant group which is the sum of earned income less work and dependent care
expenses and unearned income less appropriate deductions is less than, or equal
to, the appropriate standard of need in Appendix I.
(ii) Each employed individual in the
applicant or recipient group who meets one of the requirements in subparagraph
(i) is eligible to receive a continuous 50% earned income incentive deduction
or the first $90 per month work expense deduction from earned income and a $30
plus 1/3 remainder earned income incentive deduction per requirements in
subparagraph (iii), whichever is most advantageous to the applicant or
recipient group.
(iii) The
application of the $30 plus 1/3 remainder earned income incentive deduction is
treated as follows:
(A) The employed applicant
or recipient is eligible to receive the $30 plus 1/3 remainder earned income
incentive deduction for 4 consecutive months if:
(I) Twelve or more consecutive months have
elapsed since the employed applicant or recipient last received NMP-MA in a
TANF-related category or in a GA-related category with a child who was
simultaneously a recipient in a TANF-related category. The count begins with
the first month following the month of termination for NMP-MA regardless of
whether the employed individual received the entire 8 consecutive months of the
$30 income incentive deduction described in clause (B).
(II) The employed applicant/recipient is
eligible for a new 4 consecutive month count if the employed
applicant/recipient had an interruption in the 4 consecutive month count of
receipt of the $30 and 1/3 incentive deduction. Each of the following is
treated as an interruption:
(-a-) If there is
no earned income to be counted when determining eligibility for NMP-MA after
the deduction of work and dependent care expenses for the employed person, that
month does not count as 1 of the 4 consecutive months.
(-b-) An applicant/recipient whose receipt of
4 consecutive months of the work incentive is interrupted by loss of
income.
(III) An
applicant or recipient who has his NMP-MA terminated due to receipt of a
regularly recurring extra paycheck within a 5-week month is not considered to
have had an interruption in the accumulation of consecutive months and does not
have that month count as one of the 4 consecutive months. The applicant or
recipient shall meet one of the qualifications described in subparagraph (i) to
qualify for a balance remaining in the 4-month count unless 12 consecutive
months have elapsed in which the applicant or recipient has not been a
recipient of NMP-MA in a TANF-related category or in a GA-related category with
a child who was simultaneously a recipient in a TANF-related category. If 12
consecutive months have elapsed, the employed applicant or recipient is
eligible for a new 4 consecutive month count.
(IV) If an applicant/recipient received
retroactive NMP-MA and qualified for receipt of the earned income incentive
deduction as described in subparagraph (i) and elected to receive the earned
income incentive deduction, each month that he received the earned income
incentive deduction during the retroactive period counts as 1 of the 4
consecutive months when determining the balance remaining in the 4-month
count.
(B) Each employed
individual in the applicant or recipient group who received 4 months of the $30
plus 1/3 income incentive deduction is eligible for an income deduction of $30
per month during the next 8 consecutive months. The application of the $30
incentive is treated as follows:
(I) Each
employed individual in the applicant or recipient group is eligible to receive
the deduction for 8 consecutive calendar months.
(II) The applicant or recipient is entitled
to the $30 income incentive deduction during a calendar month of the 8-month
period for which the income of the applicant or recipient is sufficient to
qualify.
(III) The 8 months of
eligibility for the $30 income incentive deduction begins with the calendar
month following the end of the 4 consecutive calendar months of the $30 and 1/3
income incentive deduction.
(IV)
The 8 months of eligibility are counted consecutively, whether or not MA is
interrupted or income is sufficient to qualify for it.
(3)
Dependent
care expenses. The actual work-related cost of care of dependent
children or incapacitated persons living in the home of the applicant/recipient
if no other sound plan can be made for their care, up to a maximum of:
(i) One hundred seventy-five dollars per
month per child 2 years of age or older or incapacitated person when the
applicant/recipient is employed full-time.
(ii) One hundred fifty dollars per month per
child 2 years of age or older or incapacitated person when the
applicant/recipient is employed part-time.
(iii) Two hundred dollars per month per child
1 year of age or younger regardless of whether the client is employed full-time
or part-time.
Notes
The
provisions of this § 181.311 adopted August 26, 1988, effective
11/1/1988, 18 Pa.B. 3949;
amended December 28, 1990, effective 12/29/1990, and apply retroactively to October
1, 1989, 20 Pa.B. 6387; corrected January 11, 1991, effective
12/29/1990, and apply
retroactively to October 1, 1989, 20 Pa.B. 163; amended September 13, 2002,
effective retroactively to March 3, 1997, 32 Pa.B.
4435.
The provisions of this § 181.311 amended under
sections 201(2) and 403(b) of the Public Welfare Code (62 P. S. §§
201(2) and
403(b)); Titles I and III of
the Personal Responsibility and Work Opportunity Reconciliation Act of 1996
(Pub. L. No.
104-193) (PRWORA), creating the Temporary
Assistance for Needy Families (TANF) Program, and amending
42 U.S.C.A. §§
601-619,
651-669(b) and
1396u-1; 1902(a)(10)(A) of the
Social Security Act (42
U.S.C.A. §
1396a(a)(10)(A));
and the Federal TANF regulations in
45 CFR
260.10-265.10.
This section cited in 55 Pa. Code §
141.71 (relating to policy); and
55 Pa. Code §
181.31 (relating to treatment of
lump sum).