Today’s blog is designed to test your knowledge of various income aspects! Answers and explanations will be posted tomorrow!
While sitting in the clubhouse one day, looking out at your perfect, Affordable Housing community, you notice a kind-looking lady with salt and pepper hair walking toward the leasing office. She reminds you of your grandmother and when she walks in you can almost smell fresh-baked cookies.
“Welcome to Magnolia Sabal Pinewoods! How can I help you today?” you say, giving her your best professional smile.
“Hello, I’m looking for a nice quiet community to live in where my grandchildren can come and visit me!” she says.
“Then the first step is to fill out an application” you reply.
During the application interview you learn the following information:
Her name is Sarah Jones and she’s 62 years old.
Ms. Jones works at Sandalwood Elementary School as a cafeteria worker. She receives an annual salary of $21,000.
To supplement her income, Ms. Jones, also receives $100 every month from her annuity fund valued at $160,000.
The answers to these previously posted questions are shown below:
Which of the following is not pertinent to the application process in determining her eligibility?
Answer: Do you have any pets? Though it may be important to know about pets, and could affect their occupancy, it does not affect their eligibility
Would it be necessary to inquire if the applicant works during the summer?
Answer: Yes. It is always important to ask applicants about all income for the upcoming certification year; however, it is especially crucial you cover this question when you know a place of employment may not last year-round. An example of this is an educational employee. Though some may work at the school year-round, it is not guaranteed. Many educational employees take off the summers, while many work another job. Another form of income some education employees have is unemployment during the summer months. Please keep that in mind when processing their applications.
Is the annuity included as income or an asset?
Answer: Income. An annuity is a contract sold by an insurance company designed to provide payments, at specified times. Many annuities will be paid for the life of the recipient.
Once a holder starts receiving regular payments, they can no longer convert it to a lump sum of cash. In this situation, Ms. Jones will receive regular payments from the annuity and it will be treated as regular income, not asset income and no calculation of income from assets will be made. In addition, the balance from the annuity will not be counted as an asset.
Since you discover that Ms. Jones is eligible under the income guidelines, is it necessary to determine if Ms. Jones will have any roommates?
Answer: Yes. Just like you should ask all applicants about income, you should ask all applicants about additional household members. You must ask if they anticipate ANY changes to the household within the upcoming certification year.
Should you inquire about how long and often the grandchildren will be visiting?
Answer: Yes. Anyone who is in the household at least 50% of the time should be considered a household member. So, if she is planning on her grandchildren being in the unit more than 50% of the time, you must include them as household members for income eligibility purposes.