In state public housing, the income that the housing authority counts when calculating your rent is called gross income.xiii In federal public housing it is called annual income.xiv While the rules about what is counted are slightly different for state or federal public housing, there are also many similarities.
Both state and federal public housing
Both state and federal public housing count the following as income:
Income from work
Wages, salaries, tips, overtime pay, commissions, fees, and bonuses.
Income from business
Net business income if self-employed or if income is from a business or profession.xv
Income from assets
Rent, dividends, interest, capital gains, or trusts. For more information about assets,see Are assets counted as income?.
Social Security periodic payments
Supplemental Security Income (SSI), Social Security Disability Income (SSDI), or Retirement, Survivors and Disability Insurance (RSDI).
Important:
One big difference between state and federal housing is if you receive a lump sum or a deferred amount from SSI or SSDI, it is counted as income in state public housing, but not in federal housing.xvi See How are lump sums counted?.Government benefits
Transitional Aid to Families with Dependent Children (TAFDC) or Emergency Assistance to the Elderly, Disabled and Children Program (EAEDC) benefits.
Payments to replace earnings
Unemployment compensation, workers’ compensation, disability insurance or benefits, or severance pay (includes periodic and lump sum amounts).
Periodic allowances
Alimony, separate support, child support.
Other periodic payments
Annuities, retirement funds, pensions, death or disability benefits, insurance policies, or other similar types of periodic payments (includes lump sum or delayed start of periodic amount).
Regular gifts or contributions
Regular gifts or contributions from someone not living in the apartment.
Note:
Federal and state public housing programs have different definitions of “regular gifts” and “contributions.”xvii For example, in federal public housing, if someone who is not part of the household pays the telephone bill every month, that would be considered a regular contribution.)
State public housing only
If you live in state public housing, the following additional income is counted when determining your rent:
Lottery and gambling winnings
Foster care payments
xiii 760 C.M.R. § 6.05(2).
xiv State: 760 C.M.R. § 6.05(2)(c); Federal: 24 C.F.R. § 5.609(b)(3). HUD’s current nationwide passbook interest rate is 2.0%. See Public Housing Occupancy Guidebook, page 122, footnote 35. Subsequent to the publication of the Guidebook, HUD issued frequently asked questions on the rent determination; FAQ 30 indicates that each field office establishes the passbook savings rate to be used by PHAs within its jurisdiction and that this method will remain in effect until superseded by a PIH Notice: www.hud.gov/offices/pih/programs/ph/rhiip/faq_gird.cfm.
xv State: 760 C.M.R. § 6.05(2)(b); Federal: 24 C.F.R. § 5.609(b)(2). If you own your own business it is very important to set up good financial records. Your housing authority may be able to refer you to free services that can help you do this.
xvi State: 760 C.M.R. § 6.05(2)(e); Federal: 24 C.F.R. § 5.609(b)(4), (c)(14).
xvii State: 760 C.M.R. § 6.05(2)(f) (regularly recurring contributions or gifts must occur at least twice a year for two or more years or must exceed $2,000 once a year for two or more years in a row); Federal: 24 C.F.R. § 5.609(b)(7) (contributions and gifts can be received from organizations as well as from persons).
Produced by Massachusetts Law Reform Institute Created April 14, 2006