N.M. Admin. Code § 8.248.500.16

Current through Register Vol. 35, No. 21, November 5, 2024

Section 8.248.500.16 - EARNED INCOME

A. Earned income:

Earned income consists of the following types of payments:

(1) wages counted at the earliest of: when received, when credited to the person employed, or when set aside for the employee's use;

(2) net earnings from self-employment counted on a taxable year basis; net losses, if any, are deducted from other earned income, but not from unearned income;

(3) payments for services performed in a sheltered workshop or work activities center counted when received or set aside for the employee's use;

(4) royalties earned by an individual in connection with any publication of their work and any honoraria received for services rendered; and

(5) in-kind earned income is counted based on current market value. If the applicant/ spouse receives an item that is not fully paid for and they are responsible for the balance, only the paid up value is income to the applicant.

B. Period under consideration: The period for which earned income is counted is, in 2006, the remainder of the calendar year, starting with the month of application for the subsidy. Adjust prospective earned income based on the number of months remaining in the calendar year. The income standard against which the income is measured should be adjusted to reflect the same number of months. For subsidy applications filed in 2005, eligibility cannot begin prior to January 1, 2006.

C. Earned income exclusions: Earned income exclusions apply in the order listed below:

(1) refund of federal income taxes and payments under the earned income tax credit;

(2) the first $30 of earned income per calendar quarter that is received too irregularly or infrequently to be counted as income;

(3) any portion of the $20 per month exclusion that has not been excluded from combined unearned income;

(4) $65 per month of the applicant/spouse's earned income;

(5) for applicants who are under age 65 and receive a social security disability insurance benefit based on disability, sixteen and three-tenths percent of gross earnings for impairment related work expenses (IRWE);

(6) one half of the applicant/spouse's remaining earned income; and

(7) for applicants who are under age 65 and receive a social security disability insurance benefit that is based on blindness, twenty-five percent of gross earnings for blind work expenses (BWE).

N.M. Admin. Code § 8.248.500.16

8.248.500.16 NMAC - N, 2-1-06, Adopted by New Mexico Register, Volume XXXV, Issue 12, June 25, 2024, eff. 7/1/2024