350.2 Earned Income

The CAO will consider  payments that an individual receives in return for services as earned income. The CAO will determine the total amount of earned income before any deductions (such as taxes, personal expenses, or dependent care) are taken out.


NOTE: In some situations, pre-tax deductions must be deducted from gross income for MAGI MA. (See Section 312.51, Income Deductions.)


The CAO will count income from the following sources as earned income:     

55 Pa. Code § 181.91      

55 Pa. Code § 181.271

 55 Pa. Code § 181.95


NOTE:  AmeriCorps Volunteers in Service to America (VISTA) income is not counted.



NOTE:  For Non-MAGI MA determinations, the CAO will count a lump sum payment as a resource unless it would be better for the individual to count it as income.    

55 Pa. Code § 181.31

For MAGI-related MA, a lump sum payment is always considered income in the month it is received.



NOTE:  Rental income may also be unearned (see Section 350.4, Rental Property Income)

NOTE:  Payments to employees that are not included as wages (for example, repayments for travel expenses) are not considered income. They are used to repay the employee for an expense that someone else is responsible to pay.


A payment is considered  when an individual receives it or it is set aside for their use.


The CAO will verify and record all earned income in the case record.

Updated October 30, 2018, Replacing February 14, 2012