Unreported Income Example 2

The client began employment February 7 but failed to report the change until March 27.

No overpayment would exist for February.

If the change had been reported timely, the income could have been budgeted in the March budget.

The March budget would need to be recomputed to determine the amount of overpayment.

No earned income disregards (20 percent disregard or child care) would be allowed since the change was not reported timely.

Timely notice could not be given to change the April budget. However, since the employment was reported before the month of April began, disregards would be allowed when recomputing April's budget to determine the amount of overpayment.

The disregards would be allowed in the May budget.

(Rev. March 16, 1998)