COS Income Calculations & Rent Determination 2

Question 1

A household earns $18,000/year in wages and receives $3,600/year in child support. What is their annual income for HUD purposes?

Accepted Answer

$21,600

Answer

Child support received is included in annual income, so $18,000 + $3,600 = $21,600.

Question 2

When calculating income from assets over $5,000, which amount must be used if it exceeds actual income earned?

Accepted Answer

Imputed income using the HUD passbook savings rate

Answer

When total assets exceed $5,000, you must compare actual income to imputed income (assets × passbook rate) and use the higher figure.

Question 3

A family's gross rent is $900 and their Total Tenant Payment (TTP) is $650. What is the Housing Assistance Payment (HAP)?

Accepted Answer

$250

Answer

HAP = Gross Rent − TTP, so $900 − $650 = $250.

Question 4

Which of the following is EXCLUDED from annual income under HUD rules?

Accepted Answer

Sporadic gifts totaling $500

Answer

Sporadic or irregular gifts that are not periodic payments are excluded from annual income.

Question 5

A tenant's adjusted income is $12,000. Their TTP equals 30% of adjusted monthly income. What is their monthly TTP?

Accepted Answer

$300

Answer

30% of adjusted monthly income: $12,000 ÷ 12 = $1,000/month × 30% = $300.

(COS) Certified Occupancy Specialist Practice Test