Is Food Stamps Based On Gross Or Net Income?

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In this community resource guide, I will answer the question of is food stamps based on gross or net income?

In order to qualify your household income must fall below a certain level. The SNAP benefits program uses metrics like gross and net income to determine whether or not you qualify for food stamp benefits.

If you’ve never applied for SNAP benefits but are unsure if food stamps consider your eligibility on a gross or net basis, this article will explain how things work. Continue reading and we will break down which income measurement is used to determine if you qualify for food stamps.

Is SNAP Based On Gross Or Net Income?

The food stamp program determines eligibility by using both your gross and net income monthly income. In order to qualify for SNAP benefits, your monthly gross and net income will need to fall under the food stamp income limits.

Next, we’ll define gross income and net income to give you a better idea of how SNAP determines eligibility based on your household income.

What Is Gross Income?

Gross Income is the total amount of money that you earn, before any taxes or other deductions are taken out of your check.

What Is Net Income?

The amount of money remaining in your check after taxes, health insurance, and other deductions are subtracted is called net income.

The SNAP program calculates net income by looking at your gross income and then subtracting any deductions you have. The amount that is left over is your net income.

When applying for food stamps its important to list every allowable deduction that you have. These deductions demonstrate to SNAP that, while your gross income is fixed, you truly have only a limited amount of money to buy food after you’ve paid all of your bills.

Food Stamp Deductions: Why It’s Important To List Every Deduction You Have On A SNAP Application

Food stamp deductions are costs that you can subtract from your monthly gross income. The more deductions that you have the lower your net income will be.

Examples of expenses that you can deduct on a food stamp application include:

Deduction	Description
Monthly Bills	These monthly bills can potentially be deducted from your gross income: rent, mortgage, water bills, gas bills, utility bills, your phone bill, home insurance, taxes on your home.
Dependent Care Costs	The food stamp program will allow you to deduct things like childcare costs, money spent caring for people in your household with disabilities. This also includes senior citizen expenses.
Employment/Training Costs	If you are paying tuition or for training programs, this is another cost that you can deduct on the food stamp application.
The Care Of A Child Outside Your Home	These deductions are things like child support payments, medical bills, and health insurance that you pay for a child living with an ex-spouse of yours.

Remember if you are applying for SNAP benefits and pay any of these bills be sure to list them on your food stamp application. The section that you will make these deductions will depend on your state. If you are in Texas, you can list these deductions in Section O of the food stamp application.

Texas Food Stamp Deductions (1) — This is the section where you can enter your Texas food stamp deductions.

How Does The Food Stamp Program Determine Eligibility?

SNAP will take your gross income and subtract your deductions to get your net income.

The food stamp program has income requirements for both gross and net income. Here are a few scenarios to help you understand how the Supplemental Nutrition Assistance Program determines whether or not you qualify for food stamps.

Scenario	Description
High Gross Income	If your income exceeds the monthly income limit for the SNAP program you will not qualify for the food stamp benefit.
Low Gross Income	If your gross income falls under the income limits, you will now have to meet net income limits. To meet net income limits it’s important to list as many deductions as you have.
High Net Income	If you met gross income limits but failed to meet net income limits, take a look at your deductions. Have you listed all of your deductions? If not list those deductions to see if this lowers your net income and qualifies you for food stamps.
Low Net Income	If your net income falls under the income limits, then you should qualify for food stamps.

In addition to meeting the maximum gross monthly income and net income requirements, you will also have to pass an asset test.

In Texas, your assets must be no more than $5000. Assets that the food stamp program consider are second homes, a car over $15,000 in value, and a second card over $4,650.

How To Find The Gross And Net Income Limits For Food Stamps?

To learn more about gross and net income limits, you will need to contact your state’s health and human services department. Each state has different food stamp income guidelines.

Editor’s Note: If you are in Texas you can use this link to see the monthly income limits for Texas food stamps.

One website that makes it easy to find your state’s food stamp program and learn about gross and net income limits is called Benefits.gov.

gross and net food stamp limit (1) — Visit Benefits.gov to find the food stamp program in your state.

Use the link above to visit the Benefits.gov website and:

Choose your state.

Pick food stamps as the subcategory.
Click your state’s food stamp link.

From there you will be taken to a page that will tell you more about your state’s food stamp program. Scroll down to the “Who Is Eligible For This Program” section and find the “view/hide table” link and click it. You will be shown a table that shows income limits for the food stamp program in your state.

gross and net food stamp income limits (1) — Once you are on Benefits.gov you will need to click the Show/Hide Table dropdown to see how much the income limit is for food stamps in your state.

Conclusion

The food stamp program determines your eligibility based on your monthly gross and net income.

First, you must meet the gross income limit. This is your monthly income before taxes are taken out.

Next, you’ll need to meet net income limits. You can lower your net income by listing deductions on your food stamp application. The lower your net income the better your chance of qualifying for the SNAP program in your state. Because of this, it’s important to list every deduction you have. Costs like housing, medical care, and child care expenses can be deducted from your gross income to make your net income lower.

If you have more questions about gross or net income limits for SNAP benefits, contact your state’s food stamp department. You can find your food stamp department by using this link and visiting Benefits.gov.

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Nick Bryant

Nick Bryant is the author of Understanding Healthcare Is Half The Battle and a Senior Counselor with 13+ years of experience working in community health and mental health. He enjoys spending time with his family, watching WWE on Friday nights, and working toward a Google Data Analytics certification. If you have additional questions about community resources or government assistance programs, simply leave a comment below and he will follow up as soon as possible.