Step 1 - Determine Total Income
The first step in determining the community spouse income allocation amount is to total the community spouse’s verified gross earned and unearned monthly income. Do not allow an allocation if the community spouse’s income is not verified.
- Determine a monthly income amount when a community spouse receives income less often than monthly. To determine the monthly income amount, total all income that will be received less often than monthly during the year and divide by 12.
- Do not allow any MA disregards or deductions.
- Do not require a community spouse to report income and expenses monthly. Calculate the allocation based on the verification received at application, the annual renewal or when a change is reported.
- Be sure to include income from all sources including interest earned on assets and income received from income-producing assets.
Page 4
LTC Income Calculation - Community Spouse Income Allocation