In computing a household's income, the department excludes the following:

1. (1) Earned income of a household member who is under the age of 18 or, if still in high school, under the age of 19;
2. (2) Cash which is administratively difficult to compute and verify;
3. (3) Tax refunds, earned income tax credits, and advanced earned income tax credits; (4) Reimbursement for expenses, such as medical expenses, mileage incurred in connection with employment, and other employment-related expense, incurred by the household;
4. (5) Payments made to others on behalf of household members;
5. (6) Money derived from programs established under Title III or Title V of the Older Americans Act of 1965, such as experience works (formerlygreenthumb), foster grandparents, retired senior volunteer programs, older Americans community service programs, VISTA program, and senior companion program;
6. (7) Money borrowed by the household;
7. (8) Educational benefits, including grants, scholarships, work study, and loans;
8. (9) WIA educational and employment training expense reimbursements;
9. (10) Insurance settlements replacing personal or real property;
10. (11) Adoption subsidies received by the household;
11. (12) Deductions from social security benefit payments for Medicare;
12. (13) The portion of a social security lump-sum death benefit designated for funeral expenses;
13. (14) Capital gains;
14. (15) Proceeds from the sale of a home or farm, a liquidation auction, or the sale of property not normally sold in the household's regular course of doing business;
15. (16) One-time payments from a welfare agency;
16. (17) Cash gifts for recurring occasions such as birthdays and Christmas;
17. (18) Earnings from community work experience programs, tribal work experience programs, and Job Corps programs;
18. (19) Money earned from taking the census, unless it is the individual's full-time job;
19. (20) Income used to pay child support;
20. (21) Income withheld by other entitlement programs to recover overpayments made to a household member by the other program; and
21. (22) Utility allowances.

Source: 8 SDR 95, effective February 18, 1982; 10 SDR 30, effective October 3, 1983; 11 SDR 96, effective January 27, 1985; 12 SDR 73, effective November 4, 1985; 17 SDR 66, effective November 12, 1990; 23 SDR 101, effective December 22, 1996; 29 SDR 116, effective February 23, 2003; 31 SDR 192, effective June 8, 2005; 36 SDR 103, effective December 21, 2009; 41 SDR 218, effective June 30, 2015.

General Authority: SDCL 28-1-50.

Law Implemented: SDCL 28-1-46.

Prior versions effective: 2009-12-21.