20 C.F.R. §§ 416.1131–416.1147

§416.1131. The one-third reduction rule.

20 C.F.R. § 416.1131

(a)

What the rule is. Instead of determining the actual dollar value of in-kind support and maintenance, we count one-third of the Federal benefit rate as additional income if you (or you and your eligible spouse)—

(1)

Live in another person's household (see § 416.1132) for a full calendar month except for temporary absences (see § 416.1149); and

(2)

Receive shelter from others living in the household. (If you do not receive shelter from others living in the household, see § 416.1140); and

(3)

Others within the household pay for or provide you with all of your meals. If others within the household do not pay for or provide you with all of your meals, any ISM received for shelter will be calculated under the PMV rule (see § 416.1140).

(b)

How we apply the one-third reduction rule. The one-third reduction applies in full or not at all. When you are living in another person's household, and the one-third reduction rule applies, we do not apply any income exclusions to the reduction amount. However, we do apply appropriate exclusions to any other earned or unearned income you receive. If you have an eligible spouse we apply the rules described in § 416.1147.

(c)

If you receive other support and maintenance. If the one-third reduction rule applies to you, we do not count any other in-kind support and maintenance you receive.

Notes, amendments, and revision history

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 50 FR 48574, Nov. 26, 1985; 89 FR 21210, Mar. 27, 2024]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 50 FR 48574, Nov. 26, 1985; 89 FR 21210, Mar. 27, 2024]

§416.1132. What we mean by “living in another person's household”.

20 C.F.R. § 416.1132

(a)

Household. For purposes of this subpart, we consider a household to be a personal place of residence. A commercial establishment such as a hotel or boarding house is not a household but a household can exist within a commercial establishment. If you live in a commercial establishment, we do not automatically consider you to be a member of the household of the proprietor. You may, however, live in the household of a roomer or boarder within the hotel or boarding house. An institution is not a household and a household cannot exist within an institution. (Institution is defined in § 416.1101.)

(b)

Another person's household. You live in another person's household if paragraph (c) of this section does not apply and if the person who supplies the support and maintenance lives in the same household and is not—

(1)

Your spouse (as defined in § 416.1806);

(2)

A minor child; or

(3)

An ineligible person (your spouse, parent, or essential person) whose income may be deemed to you as described in §§ 416.1160 through 416.1169.

(c)

Your own household—not another person's household. You are not living in another person's household (you live in your own household) if—

(1)

You (or your spouse who lives with you or any person whose income is deemed to you) have an ownership interest or a life estate interest in the home;

(2)

You (or your spouse who lives with you or any person whose income is deemed to you) are liable to the landlord for payment of any part of the rental charges;

(3)

You live in a noninstitutional care situation as described in § 416.1143;

(4)

You pay at least a pro rata share of household and operating expenses (see § 416.1133); or

(5)

All members of the household receive public income— maintenance payments (§ 416.1142).

Notes, amendments, and revision history

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 50 FR 48574, Nov. 26, 1985]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 50 FR 48574, Nov. 26, 1985]

§416.1133. What is a pro rata share of household operating expenses.

20 C.F.R. § 416.1133

(a)

General. If you pay your pro rata share toward monthly household operating expenses, you are living in your own household and are not receiving in-kind support and maintenance from anyone else in the household. The one-third reduction, therefore, does not apply to you. (If you are receiving shelter from someone outside the household, we value it under the rule in § 416.1140.)

(b)

How we determine a pro rata share. Your pro rata share of household operating expenses is the average monthly household operating expenses (based on a reasonable estimate if exact figures are not available) divided by the number of people in the household, regardless of age.

(c)

Household operating expenses are the household's total monthly expenditures for rent, mortgage, property taxes, heating fuel, gas, electricity, water, sewerage, and garbage collection service. (The term does not include the cost of these items if someone outside the household pays for them.) Generally, we average household operating expenses over the past 12 months to determine a pro rata share.

Notes, amendments, and revision history

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 70 FR 6345, Feb. 7, 2005; 89 FR 21210, Mar. 27, 2024]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 70 FR 6345, Feb. 7, 2005; 89 FR 21210, Mar. 27, 2024]

§416.1140. The presumed value rule.

20 C.F.R. § 416.1140

(a)

How we apply the presumed value rule.

(1)

When you receive in-kind support and maintenance and the one-third reduction rule does not apply, we use the presumed value rule. Instead of determining the actual dollar value of any shelter you receive, we presume that it is worth a maximum value. This maximum value is one-third of your Federal benefit rate plus the amount of the general income exclusion described in § 416.1124(c)(12).

(2)

The presumed value rule allows you to show that your in-kind support and maintenance is not equal to the presumed value. We will not use the presumed value if you show us that—

(i)

The current market value of any shelter you receive, minus any payment you make for it, is lower than the presumed value; or

(ii)

The actual amount someone else pays for your shelter is lower than the presumed value.

(b)

How we determine the amount of your ISM under the presumed value rule.

(1)

If you choose not to question the use of the presumed value, or if the presumed value is less than the actual value of the shelter you receive, we use the presumed value to figure your ISM.

(2)

If you show us, as provided in paragraph (a)(2) of this section, that the presumed value is higher than the actual value of the shelter you receive, we use the actual amount to figure your ISM.

Notes, amendments, and revision history

Amendments

[89 FR 21210, Mar. 27, 2024]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[89 FR 21210, Mar. 27, 2024]

§416.1141. When the presumed value rule applies.

20 C.F.R. § 416.1141

The presumed value rule applies whenever we count in-kind support and maintenance as unearned income and the one-third reduction rule does not apply. This means that the presumed value rule applies if you are living—

(a)

In another person's household (as described in § 416.1132(b)); you receive shelter from others living in the household; and others within the household do not pay for or provide you with all of your meals;

(b)

In your own household (as described in § 416.1132(c)). For exceptions, see § 416.1142 if you are in a public assistance household and § 416.1143 if you are in a noninstitutional case situation; or

(c)

In a nonmedical institution including any—

(1)

Public nonmedical institution if you are there for less than a full calendar month;

(2)

Public or private nonprofit educational or vocational training institution;

(3)

Private nonprofit retirement home or similar institution where there is an express obligation to provide your full support and maintenance or where someone else pays for your support and maintenance. For exceptions, see § 416.1144; and

(4)

For-profit institution where someone else pays for your support and maintenance. If you or the institution pay for it, see § 416.1145.

Notes, amendments, and revision history

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 89 FR 21210, Mar. 27, 2024]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 89 FR 21210, Mar. 27, 2024]

§416.1142. If you live in a public assistance household.

20 C.F.R. § 416.1142

(a)

Definition. For purposes of our programs, a public assistance household is one that has both an SSI applicant or recipient, and at least one other household member who receives one or more of the listed public income maintenance payments. These are payments made under—

(1)

Title IV-A of the Social Security Act (Temporary Assistance for Needy Families);

(2)

Title XVI of the Social Security Act (SSI, including federally administered State supplements and State administered mandatory supplements);

(3)

The Refugee Act of 1980 (Those payments based on need);

(4)

The Disaster Relief and Emergency Assistance Act;

(5)

General assistance programs of the Bureau of Indian Affairs;

(6)

State or local government assistance programs based on need (tax credits or refunds are not assistance based on need);

(7)

U.S. Department of Veterans Affairs programs (those payments based on need); and

(8)

The Supplemental Nutrition Assistance Program (SNAP).

(b)

How the presumed value rule applies. If you live in a public assistance household, we consider that you are not receiving in-kind support and maintenance from members of the household. In this situation, we use the presumed value rule only if you receive food or shelter from someone outside the household.

Notes, amendments, and revision history

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 57 FR 53850, Nov. 13, 1992; 70 FR 6345, Feb. 7, 2005; 70 FR 41137, July 18, 2005; 89 FR 28622, Apr. 19, 2024]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 57 FR 53850, Nov. 13, 1992; 70 FR 6345, Feb. 7, 2005; 70 FR 41137, July 18, 2005; 89 FR 28622, Apr. 19, 2024]

§416.1143. If you live in a noninstitutional care situation.

20 C.F.R. § 416.1143

(a)

Definitions. For purposes of this subpart you live in a noninstitutional care situation if all the following conditions exist:

(1)

You are placed by a public or private agency under a specific program such as foster or family care;

(2)

The placing agency is responsible for your care;

(3)

You are in a private household (not an institution) which is licensed or approved by the placing agency to provide care; and

(4)

You, a public agency, or someone else pays for your care.

(b)

How the presumed value rule applies. You are not receiving in-kind support and maintenance and the presumed value rule does not apply if you pay the rate the placing agency establishes. We consider this established rate to be the current market value for the in-kind support and maintenance you are receiving. The presumed value rule applies if you pay less than the established rate and the difference is paid by someone else other than a public or private agency providing social services described in § 416.1103(b) or assistance based on need described in § 416.1124(c)(2).

Notes, amendments, and revision history

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

§416.1144. If you live in a nonprofit retirement home or similar institution.

20 C.F.R. § 416.1144

(a)

Definitions. For purposes of this section the following definitions apply:

(1)

Nonprofit retirement home or similar institution means a nongovernmental institution as defined under § 416.1101, which is, or is controlled by, a private nonprofit organization and which does not provide you with—

(i)

Services which are (or could be) covered under Medicaid, or

(ii)

Education or vocational training.

(2)

Nonprofit organization means a private organization which is tax exempt under section 501(a) of the Internal Revenue Code of 1954 and is of the kind described in section 501 (c) or (d) of that code.

(3)

An express obligation to provide your full support and maintenance means there is either a legally enforceable written contract or set of membership rules providing that the home, institution, or organization—

(i)

Will provide at least all of your food and shelter needs; and

(ii)

Does not require any current or future payment for that food and shelter. (For purposes of this paragraph, a lump sum prepayment for lifetime care is not a current payment.)

(b)

How the presumed value rule applies. The presumed value rule applies if you are living in a nonprofit retirement home or similar institution where there is an express obligation to provide your full support and maintenance or where someone else pays for your support and maintenance. The rule does not apply to the extent that—

(1)

The home, institution, or nonprofit organization does not have an express obligation to provide your full support and maintenance; and

(2)

The home, institution, or nonprofit organization receives no payment for your food or shelter, or receives payment from another nonprofit organization.

Notes, amendments, and revision history

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 51 FR 34464, Sept. 29, 1986; 70 FR 6345, Feb. 7, 2005]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 51 FR 34464, Sept. 29, 1986; 70 FR 6345, Feb. 7, 2005]

§416.1145. How the presumed value rule applies in a nonmedical for-profit institution.

20 C.F.R. § 416.1145

If you live in a nonmedical for-profit institution, we consider the amount accepted by that institution as payment in full to be the current market value of whatever food or shelter the institution provides. If you are paying or are legally indebted for that amount, you are not receiving in-kind support and maintenance. We do not use the presumed value rule unless someone else pays for you.

Notes, amendments, and revision history

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 70 FR 6345, Feb. 7, 2005]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[45 FR 65547, Oct. 3, 1980, as amended at 70 FR 6345, Feb. 7, 2005]

§416.1147. How we value in-kind support and maintenance for a couple.

20 C.F.R. § 416.1147

(a)

Both members of a couple live in another person's household and receive shelter and all of their meals from others living in the household. When both of you live in another person's household throughout a month, receive shelter from others living in the household, and others within the household pay for or provide you with all of your meals, we apply the one-third reduction to the Federal benefit rate for a couple (§ 416.1131).

(b)

One member of a couple is in a medical institution and the other member of the couple lives in another person's household and receives shelter and all of their meals from others living in the household.

(1)

If one of you is living in the household of another person and receives shelter from others living in the household, and others within the household pay for or provide you with all of your meals, and the other is temporarily absent from the household as provided in § 416.1149(c)(1) (in a medical institution that receives substantial Medicaid payments for their care (§ 416.211(b))), and is ineligible in the month for either benefit payable under § 416.212, we compute your benefits as if you were separately eligible individuals (see § 416.414(b)(3)). This begins with the first full calendar month that one of you is in the medical institution. The one living in another person's household is eligible at an eligible individual's Federal benefit rate and one-third of that rate is counted as income not subject to any income exclusions. The one in the medical institution cannot receive more than the reduced benefit described in § 416.414(b)(3)(i).

(2)

If the one member of the couple in the institution is eligible for one of the benefits payable under the § 416.212 provisions, we compute benefits as a couple at the rate specified under § 416.412. However, if that one member remains in the institution for a full month after expiration of the period benefits based on § 416.212 can be paid, benefits will be computed as if each person were separately eligible as described under paragraph (c)(1) of this section. This begins with the first calendar month after expiration of the period benefits based on § 416.212 can be paid.

(c)

Both members of a couple are subject to the presumed value rule. If the presumed value rule applies to both of you, we value any shelter you and your spouse receive at one-third of the Federal benefit rate for a couple plus the amount of the general income exclusion (§ 416.1124(c)(12)), unless you can show that its value is less as described in § 416.1140(a)(2).

(d)

One member of a couple is subject to the presumed value rule and the other member is in a medical institution.

(1)

If one of you is subject to the presumed value rule and the other is temporarily absent from the household as provided in § 416.1149(c)(1) (in a medical institution that receives substantial Medicaid payments for his or her care (§ 416.211(b))), and is ineligible in that month for either benefit payable under § 416.212, we compute your benefits as if both members of the couple are separately eligible individuals (see § 416.414(b)(3)). This begins with the first full calendar month that one of you is in the medical institution (see § 416.211(b)). We value any shelter received by the one outside of the medical institution at one-third of an eligible individual's Federal benefit rate, plus the amount of the general income exclusion (§ 416.1124(c)(12)), unless you can show that its value is less as described in § 416.1140(a)(2). The member of the couple in the medical institution cannot receive more than the reduced benefit described in § 416.414(b)(3)(i).

(2)

If one of you is subject to the presumed value rule and the other in the institution is eligible for one of the benefits payable under § 416.212, we compute the benefits as a couple at the rate specified under § 416.412. However, if the one in the institution remains in the institution after the period benefits based on § 416.212 can be paid, we will compute benefits as if each member of the couple were separately eligible as described in paragraph (d)(1) of this section.

Notes, amendments, and revision history

Amendments

[60 FR 16375, Mar. 30, 1995, as amended at 61 FR 10279, Mar. 13, 1996; 70 FR 6345, Feb. 7, 2005; 89 FR 21210, Mar. 27, 2024]

Authority

Authority: 42 U.S.C. 902(a)(5), 1381a, 1382, 1382a, 1382b, 1382c(f), 1382j, 1383, and 1383b; sec. 211, Pub. L. 93-66, 87 Stat. 154 (42 U.S.C. 1382 note).

Source

Source: 45 FR 65547, Oct. 3, 1980, unless otherwise noted.

Amendments

[60 FR 16375, Mar. 30, 1995, as amended at 61 FR 10279, Mar. 13, 1996; 70 FR 6345, Feb. 7, 2005; 89 FR 21210, Mar. 27, 2024]