Special Budgeting Considerations

The situations discussed in this section should be considered when budgeting CalWORKs grants.

Effect of the 100 Hour Work Rule

When an AU receives aid based upon both absent parent and unemployed parent deprivation, this AU is affected by the mandatory inclusion rule and the 100 Hour Work Rule for U-parents. Once U-parent deprivation is established, the CalWORKs family remains aided under that basis of deprivation, regardless of the number of hours the principal earner works.

Because of the mandatory inclusion rules there are situations where the CalWORKs-U and the CalWORKs-FG AUs must be combined. In these situations, the entire family receives aid until the AU becomes ineligible.

Transfer From RCA to CalWORKs

When an AU is determined to no longer be eligible for RCA but CalWORKs eligibility continues, the EW must continue the prospective budgeting process.

Meals

When a waitress or waiter receives meals from the employer, this is considered partial income in kind and thus exempt unless the customer receives all meals free of charge.

Example Example If the customer spends anything for food for himself/herself, income in kind is not counted.

The cost of the meals must be shown by the employer on the check stubs for tax purposes.

Meals are usually included in the gross amount.
When meals are included in the gross amount, do not include that amount as gross earnings.

Vacation Pay

[44-101.5]

Most vacation pay is counted as earned income when received.

If the recipient has accumulated vacation pay through mandatory deductions on the regular pay check (truckers, electricians, plumbers and others who are paid vacation by a union rather than by an employer) do not allow the earned income disregards. The EW will follow the procedures to register the U-parent with Employment Services. Refer to Employment Services Referrals.

Special Budgeting Considerations

Effect of the 100 Hour Work Rule

Transfer From RCA to CalWORKs

Meals

Vacation Pay

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