Current through Register Vol. 56, No. 18, September 16, 2024
(a) Any single permanent resident of New Jersey
who is 65 years of age or older or who is between 18 and 65 and is receiving Social Security Title II
disability benefits must have an annual income of less than $ 28,769 to be eligible for HAAAD.
(b) Any married permanent resident of New Jersey who is 65 years of age or
older or who is between 18 and 65 and is receiving Social Security Title II disability benefits, and his or
her spouse, must have a combined annual income of less than $ 35,270 to be eligible for HAAAD.
1. An applicant and spouse shall be considered separated, and eligibility
determined under the single income standard, when each maintains a separate residence and the applicant does
not have access to the spouse's income.
i. Any support payment received by
the applicant for the sole benefit of the applicant shall be considered as income for HAAAD eligibility
purposes.
2. An applicant and spouse may be considered
separated when the spouse has been institutionalized in a long-term facility, either skilled or intermediate,
or in a State or county psychiatric hospital at least 30 consecutive days prior to application.
i. HAAAD shall consider the applicant and spouse separated only when doing
so is more favorable to the applicant for HAAAD (for example, when the income of an applicant and his or her
institutionalized spouse is combined at $ 35,270 the applicant is ineligible for HAAAD, but if the applicant
and spouse are considered separated, the applicant could become eligible for HAAAD under the single income
standard. If the institutionalized spouse was not covered by Medicaid, the spouse could become eligible under
the single income standard).
(c) All
income, from whatever source derived, is considered in determining eligibility for the purpose of HAAAD.
Jointly owned income sources will be allocated according to degree of ownership.
1. All income, taxable and nontaxable, is to be included. Examples of
possible sources of income, which shall be gross amounts unless otherwise noted, are as follows:
i. Social Security benefits paid to or on behalf of the
applicant;
ii. Veterans benefits;
iii. Disability benefits, whether public or private;
iv. Salaries;
v.
Wages;
vi. Bonuses;
vii. Commissions;
viii.
Fees;
ix. Dividends;
x. Interest taxable and nontaxable;
xi. Capital gains;
xii.
Royalties;
xiii. Bequests and death benefits;
xiv. Support payments;
xv.
Unemployment benefits;
xvi. Pensions and black lung
benefits;
xvii. Annuities, whether contributory,
non-contributory, qualified or non-qualified;
xviii. Retirement
benefits including distribution from Individual Retirement Arrangements (IRAs), such as Traditional, Simple,
Roth, or Educational, and benefit payments from foreign countries;
xix. Net business income;
xx.
Fair market value of prizes and awards;
xxi. Gambling and lottery
winnings; and
xxii. Rental income (net after expenses).
2. Sources of income which are excluded in considering
eligibility for HAAAD are as follows:
i. Benefit amounts received under the
New Jersey State Lifeline Credit Program/Tenants Lifeline Assistance Program;
ii. Benefits received under New Jersey Homestead Rebates;
iii. Proceeds from spouse's life insurance;
iv. Capital gains of up to $ 250,000 for a single person or up to $ 500,000
for a married couple on the sale of a main home which is also excluded from income taxation by IRS and the
New Jersey Division of Taxation;
v. Stipends from the Volunteers
in Service to America (VISTA), Foster Grandparents programs, Workforce 55+ program and programs under Title V
of the Older Americans Act of 1965;
vi. Agent Orange
payments;
vii. Rewards involving health care fraud or abuse which
apply to 10:49-13.4;
viii.
Holocaust reparations;
ix. Proceeds from viatical
settlements;
x. Proceeds received by the beneficiary of a special
needs trust as described in N.J.A.C.
10:167-2.2;
xi. Rollovers from
one tax deferred financial instrument, such as pension, annuity, IRA, insurance contract or other retirement
benefits, to another tax deferred financial instrument;
xii. 1035
Tax Free Exchanges of a policy or contract handled between two insurance companies; and
xiii. An insurance policyholder's original contributions if demutualization
of the policy occurs and, in that case, only the earnings on the policy would be counted.
(d) The applicant must be able to document the
amounts reported upon request by the Department, and will be required to submit photocopies of his or her
Federal, State and city income tax return and other acceptable evidence.
(e) HAAAD eligibility is conferred based upon annual income for the current
calendar year, which is estimated at the time of application. Previous year income information is used as a
gauge and supplements estimates of current income to determine current eligibility. However, if previous year
income exceeds the standard, but current year income is expected to fall within legal limits, an initial
applicant may estimate current year income for the purpose of establishing HAAAD eligibility.
(f) Since HAAAD eligibility is based upon actual annual income, if the
actual annual income for the applicable calendar year exceeds the HAAAD income standard, the person will
become ineligible for the entire calendar year.
(g) The HAAAD
program shall take necessary action to recover the full amount of payments made on behalf of beneficiaries
during an ineligible period, when appropriate.
(h) HAAAD
beneficiaries are required to notify the HAAAD program immediately if their current year income exceeds the
established income standard.
(i) The income eligibility limits
shall increase annually on January 1 by the amount of the maximum Social Security benefit cost-of-living
adjustment for that year for single and married persons, respectively, in accordance with
42
U.S.C. §
415(i)(2)(D), incorporated herein by
reference. The Commissioner shall publish the new income limits annually in the New Jersey
Register.
