Information about How Your Income is Counted in the Housing Choice Voucher Program (“Section 8”)

Definición de ingreso anual

HUD defines Annual Income as all amounts, monetary or not, received by each member of the family who is 18 years of age or older, or is the head of household or spouse, plus unearned income to, or on behalf of, any family member under age 18, or are anticipated to be received from a source outside the family during the 12-month period following admission or a reexamination effective date; and which are not specifically excluded. Annual income also means amounts derived (during the 12- month period) from assets to which any member of the family has access, but only when the family’s net assets exceed $50,000 (as adjusted annually by HUD). For HUD’s complete definition of Annual Income, including a listing of all income exclusions, see 24CFR5.609.

Cómo la Autoridad de Vivienda verifica los ingresos: descripción general

As a condition of housing assistance under the program, the Housing Authority requires the family to complete a detailed Initial Application and a Personal and Financial Statement listing all sources of income, assets, and other information needed to determine the appropriate level of subsidy, which is updated on an annual, bi-annual, or tri-annual basis (see below). Additionally, family members must sign a consent form, authorizing any financial institution, employer, Federal, State, or local agency, etc. to release information to the Housing Authority.

The Housing Authority has instituted an alternative reexamination schedule. In most cases, fixed-income households will be reexamined every three years, and non-fixed income households will be reexamined every two years. Some program participants (including but not limited to zero income households, and households participating in the Family Self Sufficiency and Shelter Plus Care programs) are required to complete annual reexaminations. Interim adjustments are also conducted upon request under specific qualifying events.

HUD exige que todos los ingresos, bienes y otra información familiar se verifiquen de acuerdo con los siguientes niveles de prioridad.

1. Verificación de ingresos por adelantado: Upfront Income Verification is the verification of income, before or during a family reexamination, through an independent source that systemically and uniformly maintains income information in computerized form for a large number of individuals. In an effort to minimize HAP overpayments due to tenant misreporting and non-reporting of income, HUD has launched an upfront income verification tool called Enterprise Income Verification (EIV). EIV contains data regarding wages and benefits received by all program participants with valid Social Security Numbers.
2. Written Third Party Verification (Tenant Documents): Written third party verification (tenant documents) are current, original documents generated by a third-party source.
3. Written Third Party Verification Form (HA Form): In cases where the tenant is unable to provide documentation, or where the tenant provided documentation is not sufficient, the Housing Authority will contact the income source directly, in writing, to obtain the verification information.
4. Verificación verbal de terceros: If the income source does not respond to a written request for information or provides incomplete or unclear information, the Housing Authority staff may contact the source by phone to request clarification on incomplete information.
5. Tenant Declaration (Self-Certification): If no other verification is available, staff will note the reason in the file and require the tenant to sign an affidavit declaring their income.

Información sobre la verificación de tipos de ingresos específicos

The following is a list of the most common income types, as well as other items that the Housing Authority documents include details associated with how these items are verified. This is not a comprehensive list, as new income sources and other related items are added frequently.

Annual contributions/gifts: HUD requires that regular and ongoing contributions and gifts should be counted towards annual income. However, gifts or contributions that occur annually (such as Christmas or birthday gifts) are not considered regular or ongoing because they occur only once during the reexamination reporting period of one year. Therefore, such contributions and gifts are to be excluded if they are less than $1,000 per household.

Alternative Income Exclusions: The Housing Authority excludes income from asset-building activities, such as funds deposited into escrow accounts or other savings programs, when calculating rental subsidies.

Activos: For current program participants at regular reexaminations only, the Housing Authority will accept tenant self-certification of assets on the Personal and Financial Statement if total household assets are reported to be less than $50,000. For applicants in the eligibility process, and for current program participants with $50,000 or more in total household assets, the Housing Authority will collect current tenant provided documents, such as bank statements.

Cash on Hand: Occasionally Tenants report their cash on hand (as requested on the Personal and Financial Statement). Cash amounts less than $1,000 per household will not be counted as an asset. However, any amount of cash that is greater than or equal to $1,000 per household will be counted as an asset.

Childcare Expense Deductions: The Housing Authority must first verify that childcare expenses are used to enable a family member to work, actively seek employment, or further his/her education. For instance, childcare must be provided during the hours of work, education, etc. when there is no other activity (such as school) for the child.

Discapacidad: If a tenant receives SSI, the verification of the SSI payment is acceptable verification of the disability. If the tenant does not receive SSI, verification of disability, depending on the individual’s circumstances, will be requested from a doctor, other health care professional or a social worker, with medical or professional knowledge of the person’s disability. If such verification is not available, the Authority may consider other forms of verification on a case-by-case basis.

Estado de estudiante a tiempo completo: Full time student status must be verified using current tenant documents provided either by the household or by the school. Full time student status will be annually.

Estado de ciudadanía e inmigración: All program participants admitted to the program must sign a statement indicating whether they are a US citizen, a legal resident, or whether they do not contend to have eligible citizenship status (and will therefore receive prorated assistance). US citizens will be asked to provide proof of citizenship, which may include either a birth certificate, passport, or naturalization certificate. Non-citizens who are under the age of 62 years old must provide documentation of eligible immigration status (which is then verified in the E-Verify SAVE system).

Deducción de gastos de asistencia por discapacidad y gastos médicos: The Department of Health and Human Services has developed Federal privacy standards to protect patients’ medical records and other health information provided to health plans, doctors, hospitals, and other health care providers as of April 14, 2003. These standards are part of the Health Insurance Portability and Accountability Act of 1996 (HIPAA). The privacy requirements under HIPAA have a significant impact on how PHAs verify disability status, medical expenses, and disability assistance expenses. HIPAA requires that patients sign a specific authorization before a covered entity can release their medical information to a third party for purposes not related to the patient’s health care.

The Housing Authority appreciates the statement in the Verification Guidance acknowledging that “with increasing privacy law requirements, PHAs may have difficulty in verifying” medical and disability assistance expenses. In light of these considerable difficulties, the Housing Authority has determined that the best way to ensure the validity of medical and disability assistance expense information, while simultaneously protecting the confidentiality of our applicants and participants and complying with HIPAA, is a reliance on applicant/participant self-certification.

As of July 1, 2025, all elderly and disabled households who self-certify that their unreimbursed medical and disability assistance expenses exceed $1,500 will automatically receive a standardized $1,500 deduction. Households may request a Medical Expense Hardship exemption and provide additional verification to qualify for a higher deduction.

Identificación con foto: All adult household members will be asked to provide a government issued photo identification at the initial interview, before being added to the household, or at the annual reexamination following an existing household member’s eighteenth birthday. Photo identification may consist of a passport, driver’s license, state issued identification card, military identification card or a student identification card. Photo identification must always be presented in person, rather than by mail.

Ingresos estacionales: If a participant is employed in an occupation that is cyclical (that increases or decreases at the same time each year such as farm workers, teachers, and construction workers) all income expected to be received during the year must be annualized. If the Housing Authority determines that past income is the best predictor of future income, historical data may be used to project annual income.

Self-Employment: All self-employed tenants and applicants will be asked to provide a complete copy of their most recent tax return (including Schedule C and Schedule SE if applicable). Additionally, all self-employed tenants and applicants will be asked to complete the self-employment certification form, and to sign form IRS 4506-T.

Social Security (SS)/Supplemental Security Income (SSI): The Housing Authority is required to use the HUD EIV system to obtain up-front verification of Social Security and SSI benefits for current program participants. If the amount shown on EIV does not match the amount provided on a current original benefits letter, the amount in the benefits letter will be used. If no current original benefits letter has been provided, but EIV matches the amount the tenant has reported through the Personal and Financial Statement, EIV may be used without collecting tenant documents. However, if the amount reflected on the PFS does not match EIV and the tenant has not supplied an original benefits letter, staff will either obtain an original benefits letter or will contact the tenant by phone to provide the tenant with an opportunity to dispute the information in EIV. If the tenant does not dispute the information in EIV, staff will document the phone call and may use the data in EIV. If the tenant does dispute EIV, an original benefits letter must be obtained. Additionally, original benefits letters will be used to verify the Social Security and SSI benefits of applicants and other individuals who are not in the EIV system.

Wages & Salaries: All wages and salaries from adult members must be counted. The Housing Authority is required to use the HUD EIV system, along with tenant provided documentation (such as current consecutive paystubs), to obtain verification of wages.

Common Income Exclusions

When determining annual income for the Section 8 Housing Choice Voucher Program, certain types of income are excluded. These exclusions help ensure that only countable income is considered when calculating eligibility and rental assistance. The list below highlights some of the most common exclusions, but it is not exhaustive.

• Temporary, Nonrecurring, or Sporadic Income – Irregular gifts, one-time payments, or temporary income sources do not count toward annual income.
• Disaster Assistance – Payments from FEMA or other emergency assistance programs do not count as income.
• Income from Children – Earnings of children under 18 (including foster children) are not counted.
• Foster Care & Adoption Assistance – Payments received for the care of foster children or adults, as well as adoption assistance over $480 per child, are excluded.
• Full-Time Student Earnings – Earnings in excess of $480 for each full-time student aged 18 or older (excluding the head of household and spouse) are excluded.
• Adoption Assistance Payments – Adoption assistance payments in excess of $480 per adopted child are not counted as income.