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FoodShare Wisconsin

Income Credits (FoodShare)

Certain credits for shelter, dependent care and child support are subtracted from your gross monthly income to find your net monthly income. The FoodShare benefit amount is based on the number of people in your household and your net monthly income. (Click here to go to the Monthly Income Table.)

How Your FoodShare Benefits are Calculated

FoodShare benefits are based on a sliding scale. To calculate your benefit amount, your agency will look at the number of people in your home, as well as your income minus any FoodShare credits and bills.

Household Income

Most types of income are counted. After adding all of your household’s countable income to get your gross income, we will give you credit for some of the bills you pay.

Credits

For FoodShare, if you report and verify to the agency certain costs, you may be able to get up to six credits. The agency will subtract these credits from your gross monthly income, to get your net income. Some households may not get a credit for certain expenses and not all credits will be the actual amount reported and verified.

Your household may get the following credits:

1. Standard Credit — All households will get this credit which is based on your family size:

The Standard Credit may change by a small amount each year.

2. Employment Credit — If employed we will subtract 20% of job income or wages. Example, if your total gross job income each month is $1,000, your employment credit is $200 ($1,000 X 20% = $200).
    

3. Medical Expense Credit — If you are age 60 or over, blind or a person with a disability, we will give you a credit for any medical expenses over $35. Example, you reported and verified $100 each month in medical expenses, we give you a credit for $65 ($100 - $35 = $65).
    

4. Dependent Care Credit — If you attend training, school or work and pay for dependent care, we will give you a credit of the amount of care you pay.
    

5. Child Support Credit — We will give you a credit for any child support you are required to pay. 
    

6. Standard Shelter/Utility Credit

Shelter Credit
The Shelter Credit is based on your costs for rent, mortgage, property taxes and property insurance, condo fees, lot rent and certain utility costs.

Standard Utility Credit
All households will get a Standard Utility Credit of $442, no matter how many utilities you pay.

Maximum Shelter/Utility Credit
Group 1: Households who have a member age 60 and over, blind or a person with a disability do not have a maximum Shelter Credit limit.

Group 2: Households who do not have a member age 60 and over, blind, or a person with a disability can only get the Shelter/Utility Credit maximum allowed of $469.

For both groups, you will only get this credit if the shelter amount you are obligated to pay and the Standard Utility Credit ($442) are more than 50% of your net income (after other credits have been subtracted).

Example: Your net income is $1,000. 50% is $500 ($1,000 x 50% = $500). If your reported Shelter cost is $600, when you add the Standard Utility Credit ($442) this totals $1,042. Your Standard Shelter Credit will be $542 ($1,042- $500 =$542).

Calculating Income

To help you understand how we may count income and credits for FoodShare, we have included two examples. For the income limits and maximum allotments, please see FoodShare Monthly Income Limits/Maximum Benefit Amounts.

Example 1: A one or two person household with a person who is elderly, blind or has a disability has applied. The reported and verified gross monthly income of $828.00, monthly medical costs of $41.91, monthly shelter costs of $343.78 and monthly utility cost of $285.00.

The household’s gross income is less than the gross income limit for two people ($2,522) so this household passed the gross income test.

The next step is to figure the household’s credits and to subtract them from the gross income ($828.00) to get the household’s net adjusted income.

To calculate the shelter/utility allowance, add the total shelter costs plus the standard $442.00 utility allowance. Then subtract ½ of the adjusted income. ($672.09 divided by 2 equals $336.05). The amount left is the Shelter/Utility Credit.

To calculate the amount of monthly benefits, the maximum monthly benefit amount for two people ($367.00) is compared to 30% of the net adjusted income. ($241.85 x 30% = $72.55)

The monthly benefits for this household will be $300. Please note, the amount of benefits is rounded down to the nearest dollar.

Example 2: A household of one person applied and reported and verified monthly income of $1,600, monthly shelter expenses of $199, and utility expenses of $300. 

This person’s gross income is less than the gross income limit for one person ($1,816.00) so s/he passed the gross income test.

The next step is to figure the household’s credits and to subtract these credits from the gross income ($1,600) to get the household’s net adjusted income.

To calculate the shelter/utility allowance, add the total shelter costs plus the standard $442 utility credit. Then subtract ½ of the adjusted income. ($1,451 ÷ 2 = $725.50) The amount left is the Shelter/Utility Credit.

Because 50% of the adjusted net income ($725.50) is more than the actual shelter and utility cost ($641) s/he will not get a shelter credit

To calculate the amount of monthly benefits, the maximum monthly benefit amount for one person ($200) is compared to 30% of the net adjusted income. 

$ 200.00 Maximum Benefits Amount
$ 435.30 30% of Net Adjusted Income
$   16.00 Household’s Monthly Benefit

Because 30% of the net adjusted income ($435.30) is more than the maximum benefit amount ($200), and s/he passed the gross income test, s/he will get the minimum amount of benefits for a one or two person enrolled household, which is $16.

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Last Revised: February 07, 2013