780-3          CALCULATING THE PAYMENT AMOUNT

To determine the amount of a Temporary Assistance payment:

1. Determine the appropriate Need Standard for the assistance unit type and size.

2. Determine the family’s adjusted need.  To determine adjusted need, reduce the Need Standard by the difference between the family's maximum shelter allowance and their shelter costs.   To calculate this difference:

• Determine the family's maximum shelter allowance by multiplying the Need Standard by the percentage allocated for shelter costs.

• Total the Temporary Assistance family's allowable shelter costs.

• Subtract the shelter costs from the shelter allowance.  Treat a negative result the same as zero.
  
  If the Temporary Assistance family's monthly shelter costs are equal to or greater than the maximum shelter allowance, the family will receive the full allowance.  The Need Standard is not reduced.  (Example A below)
  
  If the family's shelter costs are less than the maximum shelter allowance, the family will receive an allowance equal to its allowable costs.  The Need Standard is reduced by the difference between the family’s shelter costs and the maximum shelter allowance.  (Example B below)
  
  If the Temporary Assistance family does not incur shelter expenses, it will not receive any shelter allowance.  The Need Standard is reduced by the maximum shelter allowance.  (Example C below)

3. Subtract the Temporary Assistance family’s net countable income from the adjusted need amount.  This is the family’s need. If the need amount is less than zero, the family is not eligible for Temporary Assistance.

4. Apply the ratable reduction.  Multiply the amount determined under #3 by the appropriate percentage of need payable, found in TA MS 780-1 G.  EIS will enter this total in the After Max Pay Deduction field on the TAPD screen.

Note:

If a member of the assistance unit is subject to a financial penalty, the penalty amount listed in section 723-4 is subtracted from the family's need before the ratable reduction is applied.

5. If an applicant or recipient has an outstanding Temporary Assistance overpayment balance, the payment amount is reduced to repay the overpayment.  

6. For the benefit months of July, August, and September only, apply the two-parent seasonal benefit reduction according to policy described in chapter 720.