Temporary income is income that is known to be ending prior to the end of the family’s annualization period. Seasonal income is temporary income that is expected to reoccur annually.

Count the amount of temporary income the client expects to receive during the annualization period. Annualizing seasonal income or other temporary income as on-going income will not give an accurate assessment of annual income available to the family. It is recommended that workers use the method of income calculation that provides the most accurate assessment of annual income available to the family.

Unemployment Insurance is an example of temporary income and must be annualized in a way that takes into account the amount that is available to the family from the point of application or redetermination to the end of the annualization period.

Example 1:

The Unemployment Insurance award letter indicates the parent is eligible for benefits up to maximum amount of $6,000, issued at $259 per week. $6,000 divided by $259 equals just over 23 weeks the parent will receive this benefit. This is temporary income as it will end prior to the end of the family’s annualization period.

Example 2:

Nickole is a teacher. She submitted an employer statement that verifies she is employed for the school year, September through May, and is off June, July and August of each year. She earns $17 per hour at 40 hours per week for the school year and is not paid over the summer months. When annualizing this income, only count the income received for the nine months she is receiving it. This is seasonal income as it is expected to reoccur annually.

Example 3:

Michelle is employed at the local school. She submitted an employer statement that verifies she is employed for the school year, September through May, and is off June, July and August of each year. She earns $15.50 per hour at 40 hours per week for the school year and is eligible for Unemployment Insurance June, July and August. The Unemployment Insurance award letter indicates the parent is eligible for $212 in weekly payments. Both income types are seasonal income and expected to reoccur annually.

When annualizing the earned income, only count the income received for the nine months. When annualizing the unearned income, only count the income received for the months of June, July and August.

See Chapter 6.15 (Annualizing Income) for instructions to annualize seasonal/temporary income at application.

Legal authority

Minnesota Statutes 142E.01, subd. 18
Minnesota Statutes 142E.01, subd. 3
Minnesota Rule 3400.0170