1. (1) Self-employment income is income resulting from an individual's business, trade, or profession, rather than from a salary or wage paid by an employer. An individual is considered self-employed if the individual meets the criteria in sections (2) or (3) of this rule. Except as noted in section (3) of this rule when an individual has established a corporation, determine if the individual is self-employed according to section (2) of this rule. If the individual has more than one self-employment business, trade, or profession, the income from each is determined separately.

2. (2) Except as provided in OAR 461-145-0250(1), an individual is self-employed for the purposes of this division of rules if the individual meets the requirements of one or more of (a), (b), or (c):

   1. (a) Files taxes as self-employed for their business on their personal taxes.
   2. (b) Is considered an independent contractor by the business.

   3. (c) Meets all the following criteria:

      1. (A) Is not required by the business to complete an IRS W-4 form;
      2. (B) Is not required to pay federal income tax or FICA payments from their paycheck(s);
      3. (C) Liability or worker’s compensation insurance for the individual is not paid by the business;

      4. (D) Meets at least one of the following:

         1. (i) Creates or provides the products or services they sell, or
         2. (ii) Sets the price for the products or services they sell;
      5. (E) Is responsible for the business expense and losses; and
      6. (F) Receives profits from the business, or could receive profits from the business but the business is not making a profit.

3. (3) Notwithstanding section (2) of this rule:

   1. (a) Homecare Workers (see OAR 411-031-0020) paid by the Department are not self-employed.
   2. (b) Providers considered an employee of an Aging and People with Disabilities, Office of Developmental Disabilities Services, or Oregon Health Authority benefit recipient, such as Independent Choices Program (see OAR 411-030-0100) providers, Personal Support Workers (see OAR 411-375-0000), and Personal Care Attendants (see OAR 410-172-0776) are not self-employed.

   3. (c) Specific self-employment income types and professions:

      1. (A) The following individuals are considered self-employed:

         1. (i) Child care providers for the ERDC program,
         2. (ii) Adult foster home providers (see OAR 411-050-0602) paid by the Department, and
         3. (iii) Realty agents.

      2. (B) The following income types are considered self-employment:

         1. (i) Selling plasma,
         2. (ii) Redeeming beverage containers,
         3. (iii) Foraging items to sell (mushrooms for example), and
         4. (iv) Similar enterprises.

4. (4) In the REF, SNAP, and TANF programs, self-employment income is counted prospectively to determine eligibility (see OAR 461-001-0000) as follows:

   1. (a) Self-employment income is annualized when it is:

      1. (A) Received during less than a 12-month period but is intended as a full year's income.
      2. (B) From a business that has operated for a full year and the previous year is representative of what the income and costs will be during the budget month.
   2. (b) Self-employment income is treated as anticipated income when a financial group (see OAR 461-110-0530) begins self-employment and is unable to determine what the income and costs will be during the budget month.

5. (5) In the REFM program:

   1. (a) Self-employment income is counted only if received in the month of application.
   2. (b) If self-employment income counted in the month of application puts the applicant over the income limits for REFM, the income is calculated according to section (4) of this rule.
6. (6) When determining the amount of countable (see OAR 461-001-0000) self-employment income, use gross receipts and sales, including mileage reimbursements, before costs.

Statutory/Other Authority

ORS 409.050, 411.060, 411.070, 411.404, 411.816, 412.006, 412.049, 413.085 & 414.619

Statutes/Other Implemented

ORS 409.050, 411.060, 411.070, 411.404, 411.816, 412.006, 412.049, 413.085, 414.619 & ORS 409.010

History

SSP 47-2023, amend filed 09/25/2023, effective 10/01/2023
SSP 17-2023, amend filed 06/14/2023, effective 07/01/2023
SSP 7-2022, amend filed 02/03/2022, effective 02/18/2022
SSP 51-2021, temporary amend filed 09/30/2021, effective 10/01/2021 through 03/27/2022
SSP 49-2021, amend filed 09/23/2021, effective 10/01/2021
SSP 44-2020, amend filed 12/22/2020, effective 01/01/2021
SSP 22-2020, amend filed 07/08/2020, effective 07/08/2020
SSP 31-2016, f. & cert. ef. 9-1-16
SSP 25-2016(Temp), f. 6-30-16, cert. ef. 7-1-16 thru 12-27-16
SSP 36-2015, f. 12-23-15, cert. ef. 1-1-16
SSP 29-2015(Temp), f. & cert. ef. 10-1-15 thru 3-28-16
SSP 25-2015, f. 9-29-15, cert. ef. 10-1-15
SSP 11-2015, f. 3-13-15, cert. ef. 4-1-15
SSP 38-2013, f. 12-31-13, cert. ef. 1-1-14
SSP 30-2013(Temp), f. & cert. ef. 10-1-13 thru 3-30-14
SSP 8-2008, f. & cert. ef. 4-1-08
SSP 14-2006, f. 9-29-06, cert. ef. 10-1-06
SSP 7-2005, f. & cert. ef. 7-1-05
SSP 5-2005(Temp), f. & cert. ef. 4-1-05 thru 6-30-05
SSP 4-2005, f. & cert. ef. 4-1-05
SSP 1-2005(Temp), f. & cert. ef. 2-1-05 thru 6-30-05
SSP 17-2004, f. & cert. ef. 7-1-04
AFS 2-1999, f. 3-26-99, cert. ef. 4-1-99
AFS 9-1997, f. & cert. ef. 7-1-97
AFS 19-1993, f. & cert. ef. 10-1-93
AFS 12-1993, f. & cert. ef. 7-1-93
AFS 20-1992, f. 7-31-92, cert. ef. 8-1-92
AFS 8-1992, f. & cert. ef. 4-1-92
AFS 80-1989, f. 12-21-89, cert. ef. 2-1-90