Appendix C - LIHEAP Income Source Guide
The questions below apply to the Appendix C - LIHEAP Income Source Guide section of the LIHEAP Policy and Procedures Manual.
(added 10/29/18) An applicant made an early withdrawal from her IRA that has over $15,000 in it. How is this counted?
IRA early withdrawals are not counted as income.
(added 11/01/18*) An applicant receives Trade Act income for attending school. Should this be counted as income?
Trade Adjustment Assistance (TAA) and Trade Readjustment Allowance (TRA) are benefits available to workers who lose their jobs or whose work hours and wages are reduced as a result of increased imports. TRA is a weekly benefit payable to eligible workers following exhaustion of unemployment benefits. It is paid only to individuals enrolled in a training program. An individual may also receive an allowance for transportation and living expenses if attending training or conducting a job search beyond the normal commuting distance from home. If the individual finds a job beyond the normal commuting distance from home and wants to relocate to the job site, TAA may provide a relocation allowance.
Count as income: TRA and TAA payments for living expenses (room, board, clothing, etc.).
Exempt from income: TRA and TAA allowances for transportation, education.
(added 11/01/18) An applicant took an early withdrawal from her IRA. It is counted as income?
No. We are not counting early withdrawals as income.
(added 11/16/18*) Is cancelation of a debt, on a tax return, countable income?
No. Cancelation of a debt is excluded from income.
(added 01/23/20) We were presented with a DHS approval letter which has the customer’s income listed. Can we use that income amount for the LIHEAP application?
No. Because DHS has different guidelines regarding income, we cannot use what they list in their approval letter.