N.Y. Comp. Codes R. & Regs. tit. 18, § 352.32 – Calculating the budget.

(a) Using the State-prescribed form, a budget shall be prepared for each new or reopened public assistance case at the time the application is approved for assistance. This form contains budget data which constitutes an estimate of regularly recurring needs and regularly recurring resources available to meet them. These items are based on the circumstances in each individual case and the policies and allowance schedules of the agency.
(b) The budget shall be recalculated whenever there is a change in the needs and/or resources of the recipient and/or a change in the allowance schedules of the agency.
1. (1) When at least one individual in one assistance unit is legally responsible for at least one member of the other assistance unit:
  1. (i) the basic monthly allowance, home energy allowance, supplemental home energy allowance, shelter and water allowances and fuel allowance shall be prorated; and
  2. (ii) allowances for any other recurring special need included in the standard of need shall not be prorated.
2. (2) When no one in one assistance unit is legally responsible for anyone in the other assistance unit:
  1. (i) the basic monthly allowance, the home energy allowance and the supplemental home energy allowance, and the fuel for heating allowance must not be prorated unless the members of the assistance units reside together as a single economic unit, generally sharing income and resources as though they were one family;
  2. (ii) the fuel for heating allowance is provided to the unit containing the tenant and customer of record as defined in section 352.5(a) of this Part and reflects the number of persons in that unit;
  3. (iii) allowances for water and fuel must be prorated; and
  4. (iv) allowances for shelter and any other recurring special need included in the standard of need must not be prorated.
3. (3) All available and unrestricted income of an applicant or recipient shall be prorated and applied against his needs and the needs of his legally dependent relatives in the household.
(c)-(d) [Reserved]
(e) Cooperative cases.
When two or more persons in the same dwelling unit are eligible for separate grants of public assistance, the following procedures shall be applied:
(f) In all other cases, all available and unrestricted income of an applicant or recipient shall be prorated and applied against his needs and the needs of his legally dependent relatives in the household.