5164-9        POLICY DIFFERENCES BETWEEN TEMPORARY ASSISTANCE, FAMILY MEDICAID, AND FOOD STAMPS

 

The self-employment income policies for the Temporary Assistance, Family Medicaid, and Food Stamp programs are similar, but there are some important differences.

 

POLICY DIFFERENCE

FAMILY MEDICAID AND TEMPORARY ASSISTANCE

FOOD STAMPS

Fishing / Farming Offset

Family Medicaid and Temporary Assistance do not offset self-employment losses from other income.

 

Food Stamp program allows fisher persons and farmers to offset their self-employment income losses from other income.

 

Food Stamp MS 605-2D(10)

Rental Income

Family Medicaid and Temporary Assistance treat rental income as self-employment income unless the managerial and maintenance activities for the property are performed by an outside agency, such as a realtor or property management firm.  If rental income is treated as unearned income, property management fees are the only allowable deduction.

 

Medicaid MS 5164-1 (C)

Temporary Assistance MS 759-5 A 3

Rental income is only treated as self-employment income if the household member is actively engaged in the management of the property at least 20 hours per week.  If rental income is treated as unearned income, costs of doing business are allowed.

 

Food Stamp MS 605-2D(1)(c)

 

Durable Goods

Family Medicaid and Temporary Assistance do not allow the cost of purchasing durable goods as a business expense.  Only interest payments on loans for the purchase of durable goods are an allowable cost of doing business.

 

Medicaid MS 5164-2 (B)

Temporary Assistance MS 759-5 B 2

Food Stamp Program allows the cost of purchasing durable goods as a business expense.  Both principal and interest payments on loans for the purchase of durable goods are allowable costs of doing business.  

 

Food Stamp MS 605-2D(3)(a)

 

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