After the standard earned income deduction has been applied, employed recipients whose financial needs are considered in the AFDC grant shall each receive an earned income exemption. The amount of the earned income exemption is $30 a month plus one-third of the remaining income until the exemption has been applied for 4 consecutive months. For the next 8 consecutive months, the exemption is $30. The 8 months are continuous regardless of whether the $30 exemption was or was not applied in these months.
A person who becomes ineligible for AFDC after receiving the earned income exemption for 4 consecutive months, but before the 8 additional months of the $30 exemption have run out is eligible for the remaining months of the $30 exemption if the person returns to AFDC during that time.
The earned income exemption may not be applied again until the individual has been a nonrecipient for 12 consecutive months.
S.D. Admin. R. 67:12:05:14
General Authority: SDCL 28-7-2.
Law Implemented: SDCL 28-7-4.
Earned income from business, § 67:12:05:12. Dependent care disregard from earnings -- Employed caretaker relatives, § 67:12:05:21. Use of earned income exemption in determining eligibility and computing the assistance payment, § 67:12:05:34. Disregard of income, 45 C.F.R. § 233.20 (a)(11)(i)(D) and 45 C.F.R. § 233.20 (a)(11)(ii)(B).