Deduction of Alternative Sources of Income

(1) General Rule. Except as provided otherwise by statute or regulation, the veterans’ agent shall offset the applicant’s needs budget with alternative sources of income. (2) Applicant’s Obligation to Report Income. The veterans’ agent shall inform the applicant of his or her obligationto report to the veterans’ agent all income received from all other sources, including but not limited to merchandise or services received in lieu of money, and credit card advances while receiving veterans’ benefits. (3) Applicant’s Obligation to Utilize Alternative Sources of Income. As a prerequisite of eligibility to receive benefits, the veterans’ agent shall require that the applicant file applications and submit documentation thereof to receive any and all alternative types of benefits available to him or her. Alternative sources include but not limited to: VA compensation, VA non-service pension, Social Security, railroad retirement, Supplemental Security Income, workmen’s compensation or private pension plans. Proof of application for those alternative benefits must be submitted to DVS. If the availability of such other benefits arises after the applicant has begun receiving veterans’ benefits, the veterans’ agent shall require the applicant to immediately file appropriate applications. The veterans’ agent shall require the applicant to execute an assignment or agreement to reimburse as the circumstances may require under 108 CMR 6.04. The veterans’ agent shall explain the meaning of these documents to the applicant. Copies of these must be submitted to DVS with the Form VS-21A. (4) Types of Exempt Income. (a) A veteran’s income from annuities received under the provisions of M.G.L. c. 115, § 6B, shall not be counted as income to be deducted in determining veterans’ benefits. (b) Money which an applicant has received from the United States or the Commonwealth as a “bonus” for military service or enrollment shall not be considered as income to be deducted in determining benefits. (c) Earned income of children attending high school shall not be counted. (d) Earned income for children attending college shall not be counted. (e) Payments made to an applicant from the Agent Orange Settlement Fund or any other fund established pursuant to the settlement in the In Re Agent Orange Product Liability Litigation, M.D.L. No. 381 (E.D.N.Y.) and the Radiation Exposure Compensation Program shall not be considered income in determining veterans’ payments. (5) Calculation of Employment Income. An applicant’s monthly wages shall be calculated by subtracting from the weekly gross income federal and state taxes withheld and mandatory retirement, health and hospital insurance payments. From the resulting net weekly income, the followingsteps shall be applied. (a) Add four consecutive weekly net paychecks. (b) Divide by four. (c) Multiply by 4.33 (d) Deduct $200 as a work incentive. (6) Income fromRentalProperty. Rentalincome earned by an applicant on property in which he or she resides which produces income shall be considered as income. Profits are calculated by deducting fromrentalincome principaland interest on the mortgage, property taxes (current or betterment), fire insurance premiums, water and sewer, and reasonable maintenance costs. An applicant shall not receive benefits to compensate for property losses. 6.01: continued (7) Single Home orMultipleDwelling(NotOccupied by Applicant). If the property produces income it is considered business property, and the income produced shall be counted. The veterans’ agent shall not, under anycircumstances, compelthe applicant to make a disadvantageous sale of property.