7 CFR § 273.8(e)(3) and (5) and (9) and (g)


Exclude self-employment income from the asset calculation during the period when the income is annualized or averaged.  

Example: Applicant states income tax amounts are anticipated to stay the same for the current year. Gross income is $50,000 (Schedule F, Line 9). She has $51,000 in her checking account. Count $1,000 as an asset ($51,000 – $50,000). Self-employment income cannot be counted as an asset during the period of time the income is intended to cover.


Note:  Exclude property needed for business and farm self-employment.