§ 181.123. Unearned income exclusions.
The following do not count when determining income eligibility for MA and shall be excluded in the order noted:
(1) Refund or return of taxes paid on real property. A refund or return from a public agency of taxes paid on real property.
(2) Educational expenses. The amount of a grant, scholarship or fellowship used for paying tuition, fees or other necessary educational expenses.
(3) Home produce. The value of food produced by an applicant/recipient which is used by him and his household for their own personal consumption and not for sale.
(4) Disaster relief assistance.
(i) Support and maintenance provided as disaster relief assistance, including income-in-kind, received as the result of a catastrophe declared by the President as a major disaster under the Disaster Relief Act of 1974 (42 U.S.C.A. § § 5121—5202) or another Federal statute, if the following conditions are met:
(A) At the time of the catastrophe, the applicant/recipient was living in and maintaining his own home but discontinued living in his home because of the catastrophe.
(B) The applicant/recipient began to receive disaster assistance within 30 days after the last day of the catastrophe.
(C) The applicant/recipient received the disaster assistance while living in a residential facility, including a private household maintained by another person.
(D) The exclusion applies for a period beginning on the date the assistance is received and ending on the last day of the 18th full month following the month the cash was received.
(ii) Other assistance is not counted as income if received under the Disaster Relief Act of 1974 or under another Federal statute because of a catastrophe which the President declares to be a major disaster.
(5) Interest on disaster relief assistance. Interest earned on disaster relief assistance for a period beginning on the date the assistance is received and ending on the last day of the 9th full month following the month the cash was received. Interest earned for a period beginning on the date the assistance is received and ending on the last day of the 18th full month following the month the cash was received, if the applicant/recipient has good cause for not repairing or replacing the property or contracting for the repair or replacement of the property for which the disaster relief assistance was given.
(6) German reparations payments. Payments made under the Republic of Germany’s federal law for compensation or Nationalist Socialist Persecution—German Restitution Act—to certain survivors of the Holocaust. The payments may be made periodically or as a lump sum.
(7) Unearned income not exceeding $20 in a month. Unearned income that does not exceed $20 in a month, if it is received irregularly or infrequently. If the total amount of infrequent or irregular unearned income received in a month exceeds $20 or the unearned income is received more than once in a quarter, this exclusion is not given.
(8) Periodic payments by a state based solely on residence. Periodic payments made by a state under a program established before July 1, 1973, and based solely on the length of residence and attainment of 65 years of age.
(9) Payments for providing foster care. Payments for providing foster care to a child who is not receiving, or applying for, MA as part of the applicant/recipient group and who was placed in the applicant’s/recipient’s home by a public or private nonprofit child placement or child care agency.
(10) Interest earned on burial funds. Interest earned on burial funds if the burial fund is excluded as a resource under Chapter 178 (relating to resource provisions for categorically NMP-MA and MNO-MA) and the interest is left to accumulate and become part of the burial fund.
(11) Certain support and maintenance assistance. In-kind support or maintenance assistance benefits furnished in-kind or by a certified private, nonprofit organization or furnished as cash or in-kind assistance by a certified supplier of home heating oil or gas, by a certified entity providing home energy whose revenues are primarily derived on a rate-of-return basis and regulated by the Pennsylvania Public Utility Commission or by a certified municipal utility providing home energy. Support and maintenance assistance includes Home Energy Assistance (HEA) and may include, but is not limited to, payments for heating or cooling, storm doors, weatherization services and blankets. HEA benefits do not include food or clothing.
(12) Interest income. Interest income if it is received only once during a calendar quarter and the total of the interest income plus infrequent or irregular unearned income received in the month in which the interest income is received does not exceed $20.
(13) Property tax and rent rebate payments. Property tax and rent rebate payments and inflation dividend payments received under the Senior Citizens Rebate and Assistance Act (72 P. S. § § 4751-1—4751-12) originally enacted March 11, 1971.
(14) Reduction in unearned income to recover a previous overpayment. If unearned income of the applicant/recipient is reduced to cover a previous overpayment, the amount of the reduction is exempt from consideration as current income if the amount of the overpayment was considered in determining financial eligibility for MA at the time the overpayment was received.
(15) Advance payments against expenses of obtaining income. A lump sum advance to cover expenses to obtain income. The advance is considered reimbursement for expenses of obtaining the income.
Authority The provisions of this § 181.123 issued under section 403(b) of the Public Welfare Code (62 P. S. § 403(b)).
Source The provisions of this § 181.123 adopted August 26, 1988, effective November 1, 1988, 18 Pa.B. 3949; amended August 27, 1993, effective August 28, 1993, with the exception of the Agent Orange Settlement Payments requirement which is retroactive to January 1, 1989, 23 Pa.B. 4071.
Cross References This section cited in 55 Pa. Code § 181.71 (relating to special NMP-MA income limit for institutionalized aged, blind and disabled); 55 Pa. Code § 181.101 (relating to benefits, dividends and interest); 55 Pa. Code § 181.110 (relating to income deemed available from the spouse); and 55 Pa. Code § 181.452 (relating to posteligibility determination of income available from an MA eligible person toward his cost of care).
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