Understanding How Rent Impacts SNAP Benefits
SNAP, or the Supplemental Nutrition Assistance Program, is a federal assistance program in the United States that helps households afford food. It is available to all low-income earners in America.
For those who happen to be in situations where they're forced to change their initial residence from when they first applied for SNAP, this change can bear consequences on their benefits.
SNAP rent rules dictate that the amount one pays or receives in rent can significantly affect their ability to collect food stamps. To put it plainly, this is how the rent rules work:
SNAP Rules for Renters
According to Mass Legal Help, those who don’t pay rent at their current residence and have been receiving SNAP benefits might have their benefits reduced. For example, if John currently lives with his brother but doesn’t contribute towards the monthly rent, his SNAP benefits will automatically lower.
Similarly, if John begins contributing even the smallest amount towards his brother’s rent, SNAP benefits will increase. The only way to avoid having rent deducted from SNAP benefits is to contribute an amount towards rent and utilities.
Snap Rules for Homeowners
These are the rules that apply to homeowners renting out their homes and receiving SNAP benefits:
Tax Rules
When a homeowner receives rent from a person living in their home, the IRS considers the homeowner to have an income. The same tax rules that apply to landlords renting out entire properties also apply to these homeowners. This means these homeowners must also report their rent-based income to the IRS or other consumer reporting agencies.
When the homeowner reports their income to the IRS, they must show that they use their rent-based money for utilities or other housing expenses, such that they aren't left with any profits. This is one of the only ways for the homeowner to avoid deductions from their SNAP benefits. For example, if John pays his brother money as rent for occupying his basement, John’s brother must report that income and show that that money is used entirely on rental and utility expenses. This is so that John's brother can continue receiving SNAP benefits.
Some of the ways a homeowner can use the rental income include:
- Home repairs – roof, painting, etc
- Home improvements (such as roof replacement)
- Homeowners insurance
- Electricity, gas, heating, and other utilities
- Interior or exterior cleaning and maintenance services like gardening
- Trash collection
- Security costs
Income Rules
If a homeowner receives SNAP benefits and obtains rent from someone directly, that income may lower their SNAP benefits. For a homeowner not to lose their benefits, they should ask the renter to contribute the money to their mortgage or utility companies. This can be in replacement of the renter paying the homeowner directly.
For example, if John’s brother receives SNAP benefits, John must contribute the money directly to his brother’s utility or mortgage company. This way, John's payments won't be considered income and won't be deducted from his brother’s benefits.
What to Do in the Case of Changes
If you experience any changes in income, rent, utilities, household, or medical expenses, it’s always important to notify your caseworker. This will help determine if any necessary adjustments are required to be made to your SNAP benefits.
You can request a reassessment of your SNAP benefits based on any of these changes at any time. Contacting a caseworker via email might be easier than visiting them in person. Email also leaves a written record of the changes you report to your caseworker.
If the caseworker asks for an in-person meeting, try to do so at the earliest chance. If your disability prevents you from attending an in-person meeting, you can request the caseworker to make the necessary adjustments and conduct the meeting via phone. Lastly, if you believe your SNAP benefits were incorrectly processed, you can appeal this decision via your caseworker.
Both renters and homeowners who receive SNAP benefits have a part to play in the effort of avoiding SNAP benefit deductions. Renters must contribute even the smallest amount to housing expenses, for their benefits to continue rolling in as usual. At the same time, homeowners must report their incomes and use them for utility and other housing expenses or direct the money to their utility or mortgage companies.
Summary
Generally, the greater your housing (aka, “shelter”) expenses, the larger your SNAP benefits will be. If you're not paying rent, mortgage, or utilities, you may still be eligible for SNAP, but you'll get less benefits.However, it's always good to check with you local SNAP website or office.
