Roomer/Boarder Income (Archive)

Roomer/boarder income is income that is received by a client for lodging, meals, or related services from people living in the client's home. It is self-employment income and is considered earned income.

Reminder:  Allow earned income disregards and deductions from roomer/boarder income when calculating a person’s total countable income. See Income Calculation for more information on disregards and deductions.

Roomer/boarder income is different from rental property or from shared living expense income.

l  For information on rental property income, see Rental Income.

l  For information on shared living expense income, see Availability of Income.

The following policy regarding roomer/boarder income is only for MA and GAMC.

What Constitutes A Roomer/Boarder?

Method A.

Method B.

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What Constitutes A Roomer/Boarder?

Roomer/boarder situations include the following:

l  A roomer lives with the household and pays for lodging only.

l  A boarder eats with the household and pays for meals only.

l  A roomer and boarder lives and eats with the household and pays for lodging and meals.

Note:  A roomer/boarder can include a family member who is not part of the household.

Method A

To determine the countable self-employment income, deduct allowable expenses to arrive at gross self-employed income.

l  Allow a flat rate deduction for each roomer/boarder. The flat rate is determined by the situation. The roomer/boarder standard amounts are based on the:

n  Roomer.

n  Boarder.

n  Roomer and boarder.

l  Subtract the flat rate deduction for each roomer/boarder from total roomer/boarder income to get countable self-employment income.

Method B

To determine the countable self-employment income, deduct allowable expenses to arrive at gross self-employed income.

l  Allow only expenses for providing a room, food or both to a roomer, boarder or roomer/boarder which have been verified to be deducted.

To determine the expense of providing a room:

n  Prorate the total shelter expenses based on the percentage of the number of rooms for rent to the total rooms in the house.

n  Do not include bathrooms, attics, or basements unless they are converted to living spaces.

l  Deduct expenses, up to the amount of the income, to determine the countable self-employment income.

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