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Educational Assistance Income - SNAP (Food Stamps)

In the Supplemental Nutrition Assistance Program (SNAP, formerly Food Stamp Program), educational assistance income or student financial aid includes Federal and State work-study income, educational loans, grants, and scholarships.

To exclude some or all educational income, a student must be enrolled in one of the following:

·        a recognized institution of post-secondary education (a recognized institution includes any public or private educational institution which normally requires a high school diploma or equivalency certificate for enrollment. It also includes any institution which admits persons who are beyond the age of compulsory school attendance in the State in which the institution is located, provided the institution is legally authorized or recognized by the State to provide an educational program beyond secondary education in the State or provides a training program to prepare students for gainful employment);

·        a school for the disabled;

·        a vocational education program;

·        a vocational or technical school; and

·        a program that provides for obtaining a secondary school diploma or the equivalent.

All Title IV financial aid and income from Bureau of Indian Affairs (BIA) student assistance programs is excluded.

Financial aid wholly or partially funded by the United States Department of Education is Title IV aid. Title IV aid includes:

·        Pell or BEOG grants,

·        Presidential Access Scholarships (Super Pell),

·        Supplemental Education Opportunity Grants (SEOG),

·        Minnesota State Scholarships and Grants,

·        Stafford Loan (formerly Guaranteed Student Loan),

·        PLUS loans,

·        Perkins Loans (formerly NDSL),

·        SLS (formerly ALAS),

·        Robert C. Byrd Honor Scholarships,

·        Federal work-study income,

·        Bureau of Indian Affairs Grant Program,

·        High School Equivalency Program (HEP),

·        College Assistance Migrant Program (CAMP),

·        Upward Bound (Trio Grants),

·        National Early Intervention Scholarship and Partnership Program, and

·        Robert E. McNair Post-Baccalaureate Achievement.

Aid that is Federally funded but not under Title IV includes:

·        WIA, and

·        Veteran's benefits or other benefits through the United States Armed Services.

Aid that is Federally funded but not under Title IV as well as other types of aid which are paid directly to the institution or earmarked for a specific expense are excluded.

Also, educational loans on which payment is deferred are excluded.

Finally, exclude the income if the grantor of the aid demands immediate repayment beginning with the first budget month after the grantor demands repayment.

If the educational income is not excluded and is not received as work-study or through a fellowship with a work requirement, the gross amount of the income minus the following eligible expenses is counted as unearned income:

·        tuition;

·        mandatory school fees, including the rental or purchase of any equipment, material, and supplies related to the pursuit of the course of study; lab fees, equipment fees; student service fees; uniforms; and tools;

·        books;

·        supplies;

·        transportation;

·        miscellaneous personal expenses, other than normal living expenses (i.e., room and board) of the student incidental to attending a school, institution, or program;

·        origination fees and insurance premiums on educational loans;

·        dependent care. To the extent that the educational assistance does not fully cover the dependent care costs, the costs may be deducted up to the specified limits as part of the Dependent Care Deduction.

These expenses must be either incurred or anticipated for the period the educational assistance is intended to cover.

If the student's expenses exceed the educational income, then subtract the excess amount from educational income received as work-study or through a fellowship with a work requirement.

If the aid covers multiple months, divide the aid over the number of months it is intended to cover or it is incurred.

If your household resides in New Hampshire, read the topic Educational Income Exclusion (New Hampshire) - SNAP (Food Stamps) for information about excluding educational income.

If your household resides in Delaware, read the topic Educational Income Exclusion (Delaware) - SNAP (Food Stamps) for information about excluding educational income.

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