75. What deductions are allowed against my income?
The following deductions are allowed for all households depending on living situation and expenses:
- 20 percent of gross earned income. 106 C.M.R. § 364.400(B).
Legally obligated child support paid to children outside the home does not count as income – but if it’s paid out of earnings, is included in the calculation of the 20% earned income deduction. See Question 78.
- Self-employment business expenses. 106 C.M.R. § 365.940. See Question 69.
A standard deduction based on household size: 106 C.M.R. § 364.400(A).
|
Standard Deduction |
|
|
$193 |
Household of 1-4 persons |
|
$225 |
Household of 5 persons |
|
$258 |
Household of 6 or more persons |
- A childcare or disabled adult care deduction if you are working, looking for work, or in school or training. 106 C.M.R. § 364.400(D). See Question 79 describing the range of allowable expenses.
A shelter deduction capped at $624/month for households that do not include an elderly or disabled member. For households with an elderly or disabled member, the shelter deduction is un-capped. 106 C.M.R.§ 364.400(G). See Question 81.
- A homeless shelter deduction of $167/ month if homeless with no shelter costs. 106 C.M.R. § 364.400(F). See Question 82.
The result is your monthly net income. Your benefits are based on this amount. An additional medical expense deduction is available to elder and disabled households. See Question 76.