Reimbursements

Exemptions [63-502.2g]

Use the following chart to determine whether a reimbursement is exempt.

EXEMPT A REIMBURSEMENT WHICH: DO NOT EXEMPT AS A REIMBURSEMENT ANY AMOUNT WHICH:

Does not exceed the actual expense.

Does not result in a gain or benefit to the household.

Is provided specifically for an identified expense, other than normal living expenses, and is used for the purpose intended.

Is for normal household living expenses, such as rent or mortgage, personal clothing, or food eaten at home.

Exceeds the actual expenses for which it was intended. However, a reimbursement shall not be considered to exceed the actual expense unless the provider or the household indicates that the amount is excessive. (If this happens, count only the excess amount as income.)

Examples

The following payments shall be exempt as a reimbursement:

  • Reimbursements or flat allowances for job/training-related expenses such as travel, per diem, uniforms, books, and transportation to and from the job/training site.
  • Reimbursements received for Employment Services participation.
  • Reimbursements for migrant workers' travel expenses.
  • Reimbursements to volunteers for expenses incurred in the course of their volunteer work.
  • Medical reimbursements which meet the requirement for a medical deduction. Refer to Income Deductions. Do not allow a deduction for an exempt reimbursement.)
  • Dependent care reimbursements (e.g. CalWORKs child care program payments issued to the client as a reimbursement).
  • Reimbursements to pay for IHSS or other adult or children's services provided under Title XX of the Social Security Act.
  • Clothing allowances, if:
    • Paid by the State or County (such as Foster Care), AND
    • Paid when children enter or return to school or day care, AND
    • Issued no more often than once a year, AND
    • The monthly cash grant is not reduced by the amount of the clothing allowance in the month when the allowance is provided.

Multiple Expenses

When a reimbursement is for multiple expenses, do not identify each expense separately unless a part of the reimbursement is intended to meet normal living expenses.

Related Topics

Earned Income