An e mployed recipient caretaker relative whose earnings are considered when determining eligibility for aid to families with dependent children (AFDC) and the amount of the assistance grant are allowed a deduction from the earnings in the amount of the cost of dependent care .

For a recipient caretaker relative who is employed full time throughout the budget month, the deductible dependent care cost is the amount actually paid by the caretaker, not to exceed one hundred seventy-five dollars per month for each dependent aged two or older, or two hundred dollars per month for each dependent under the age of two.

For a recipient caretaker relative who is employed part time throughout the budget month, the deductible dependent care cost is the amount actually paid by the caretaker, not to exceed one hundred seventy-four dollars per month for each dependent aged two or older, or one hundred ninety-nine dollars per month for each dependent under the age of two.

The deduction must be made after the earned income exemption in § 67:12:05:14 is applied.

Charges for dependent care must include all costs associated with the care.

Dependent care services are limited to those care services provided for the care of a dependent child or an incapacitated adult who is living in the home and who is receiving AFDC.

Dependent care services do not include those care services provided by the dependent child's parent or caretaker relative.

Cross-References:

Disregard of cost for care of dependent child or incapacitated adult, 45 C.F.R. § 233.20(a)(11)(i)(D).

Use of earned income exemption in determining eligibility and computing the assistance payment, § 67:12:05:34.

Source: SL 1975, ch 16, § 1; 2 SDR 88, effective July 1, 1976; 3 SDR 40, effective November 30, 1976; 7 SDR 23, effective September 18, 1980; 7 SDR 66, 7 SDR 89, effective July 1, 1981; 9 SDR 24, effective September 2, 1982; 14 SDR 40, effective September 24, 1987; 16 SDR 58, effective October 1, 1989 ; 52 SDR 55, effective December 2, 2025 .

General Authority: SDCL 28- 6-1 .

Law Implemented: SDCL 28- 6-1 .

Prior versions effective: 1989-10-01.