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Getting EID right: Tip #2

hands-computer.jpgTip #2: Understand increases in income.

In order to qualify for the earned income disallowance (EID), a family must experience an increase in income as a result of their new job or raise.

You might be thinking, "Well, of course a new job or raise will increase the family's income." For the vast majority of families that's true, but what about a person who was previously employed earning $8 per hour and now begins work at a job earning $7.75? What about a person who was receiving $600 per month in TANF benefits and then gets their first job making $575 per month in wages?

In both of these situations, the individual didn't experience an increase in income, and would not qualify for the EID. Annual income must increase as a result of the new earned income.

Next: Getting EID right: Tip #3

Trainer and consultant Samantha Sowards has been a part of the NMA team since 2008. For beginning and intermediate students, she recommends HCV and Public Housing Rent Calculation, available in both English and Spanish.