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Daycare and Taxes>I'm Low Income...
KEG123 03:46 PM 09-14-2011
I think that since we are a family of 3, if we start making over 1300 a month combined, then I have to let them know so they can adjust our food stamp amount. Next month the $ amount will change, since we are adding another family member. Originally, November we were supposed to have our renewal appointment.

Anyways, so right now I have 1 family I was making 400 a month from, and one I was making somewhere near 500 from. So I wasn't close to the 1300. Well the one family I was making 400 from I'm going to be making more, like last month it was 650 or so, and this month it will be closer to 750. I also will be getting more from the food program since they'll be here more. So that means I'm going to be closer to that 1300 than I was before.

But my question is this... when I report my income to DHS, I will obviously include the income from both families. BUT do I include the reimbursement $ from the food program? (which would be another $300 roughly per month)

And am I supposed to subtract my rent/utilities/other bills from my monthly income... For example, say my t/s is 40% and my rent is $800 a month, do I subtract $320 from my monthly income when I report to DHS?

(Does that make sense?? It does to me but I have a hard time explaining it, I think)

Thanks for the help anyone can offer me!
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wdmmom 04:17 PM 09-14-2011
I'm in Iowa and prior to getting married, I was considered low income with 4 dependants. I qualified for food stamps as well. When my annual review came up, I was required to provide my taxes as income. That also showed my profit and losses and verified my self employment. They divided my annual income over the course of 12 months and determined my eligibility.

Each month I was required to do a profit/loss sheet with my what I earned for the month. If my income changed by more than $200 per month, they would need to re-calculate my benefits. If not, I got the same each month.

Ask your worker what is acceptable as proof of income.
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KEG123 04:18 PM 09-14-2011
Well this is my first year in business, just got my first two families in May. I haven't done taxes yet, of course.
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mismatchedsocks 04:26 PM 09-14-2011
Did you work before May? I think if you total up the amount of income you made THIS year, then let them know the rent/mortgage, electric payments. They will be able to figure out things from this. I wouldnt subtract anything from the amount you made unless they told you too.
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TomCopeland 08:45 AM 09-15-2011
When qualifying for government assistance programs, you should be submitting your net income, not your gross income. That is, your income minus your expenses. This is the bottom line on IRS Form Schedule C.
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KEG123 08:59 AM 09-15-2011
Originally Posted by TomCopeland:
When qualifying for government assistance programs, you should be submitting your net income, not your gross income. That is, your income minus your expenses. This is the bottom line on IRS Form Schedule C.
Where do I get that form?
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My Daycare 10:15 AM 09-15-2011
I am in Illinois too and they seem to only be concerned about the last 30 days when it comes to food program, medical insurance, school lunch forms or any kind of assistance.

Our income varies greatly throughout the seasons, and when I have tried to send in average calculations, previous tax returns, and schedule C's that more accurately portrayed our income, they were sent back to us. Usually with a letter that emphasized last 30 days in bold and highlights. When your income goes up you can call them, but they might just hang up on you. However you may live in a nicer, or less busy county than me.

So, ask, but you may be better off sending in a schedule C for 30 days from the date you apply. If you have minute menu and you have entered all of your accounting info, you can print a schedule C for whichever dates you pick.
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KEG123 10:58 AM 09-15-2011
I only have the free version of minute menu through my food program.
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MyAngels 01:35 PM 09-15-2011
Originally Posted by KEG123:
Where do I get that form?
This is Schedule C: http://www.irs.gov/pub/irs-pdf/f1040sc.pdf
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Tags:illinois, income, irs, low income, net income, schedule c, state assistance, tom copeland
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