Calculate a household's deductible expenses based on the amount of the expense and how often the household expects to pay it during the certification period. The household does not have to pay the expense in order to receive the deduction.
Use the most recent month's bills unless the household expects expenses to change during the certification period (this most often occurs with medical expenses that are not owed every month). When the expense amount fluctuates monthly, is billed less often than monthly, or changes throughout the certification period, the household may choose to average the expenses over the certification period.
Do not deduct expenses that are fully or partially reimbursed by someone outside of the household. For instance, when the household's shelter costs are fully or partially paid by a housing assistance agency or when insurance pays all or part of a medical expense. the reimbursed portion is not deductible.
Household with one-time deductible expenses may average the expense over the entire certification period.
Policy on this topic is located at 340:50-7-31.