GIE (if not used $20 - $0 Remainder $850 Earned Income Exclusion (EIE) $65 - $65 Remainder $785 Impairment Related Work Expense (IRWE) (16% of wages or - $0 actual amount if higher) Remainder $785 Divide by 2 $392.50 Work Expenses (BWE) (25% of gross wages or actual amount - $0 if higher) Total Countable Earned Income = $392.50 Countable Unearned Income $1,000 Total Countable Earned Income + $392.50 PASS Deduction - $0 Countable Income = $1,392.50 Tom’s countable income, $1,392.50, will be over 135% of the FPL ($1,324 in 2015), which means he would not be eligible for Full LIS. But, his income does fall below 150% of the FPL ($1,471 in 2015), which means he would likely be eligible for Partial LIS. To support Tom in pursuing his work goal, it will be important for him to know his options. He will be able to use Partial LIS instead of Full LIS or (if Medicaid eligibility is an option for Tom in his state) he will be able to maintain Full LIS by enrolling in Medicaid. Reporting Income and Resource Changes and LIS Redeterminations To determine subsidy eligibility and whether the individual qualifies for a full or partial subsidy, Social Security considers all of the countable income the individual and living-with spouse receive (or expect to receive) for a period of 12 months. Although the computation of income for subsidy eligibility is based on income projected for 12 months, the computation is not linked to a particular calendar year. The subsidy determination system uses the 12-month projection of income because the Federal Poverty Limit (FPL) income limits are issued as annual income limits. At the point when an individual files for subsidy, the 12-month projection of income is compared to the current year’s FPL income limit. If the individual’s projected income is under
GIE (if not used $20 - $0 Remainder $850 Earned Income Exclusion (EIE) $65 - $65 Remainder $785 Impairment Related Work Expense (IRWE) (16% of wages or actual amount if higher) - $0 Remainder $785 Divide by 2 $392.50 Work Expenses (BWE) (25% of gross wages or actual amount if higher) - $0 Total Countable Earned Income = $392.50 Countable Unearned Income $1,000 Total Countable Earned Income + $392.50 PASS Deduction - $0 Countable Income = $1,392.50 Tom’s countable income, $1,392.50, will be over 135% of the FPL ($1,324 in 2015), which means he would not be eligible for Full LIS. But, his income does fall below 150% of the FPL ($1,471 in 2015), which means he would likely be eligible for Partial LIS. To support Tom in pursuing his work goal, it will be important for him to know his options. He will be able to use Partial LIS instead of Full LIS or (if Medicaid eligibility is an option for Tom in his state) he will be able to maintain Full LIS by enrolling in Medicaid. Reporting Income and Resource Changes and LIS Redeterminations To determine subsidy eligibility and whether the individual qualifies for a full or partial subsidy, Social Security considers all of the countable income the individual and living-with spouse receive (or expect to receive) for a period of 12 months. Although the computation of income for subsidy eligibility is based on income projected for 12 months, the computation is not linked to a particular calendar year. The subsidy determination system uses the 12-month projection of income because the Federal Poverty Limit (FPL) income limits are issued as annual income limits. At the point when an individual files for subsidy, the 12-month projection of income is compared to the current year’s FPL income limit. If the individual’s projected income is under