3 - PUBLIC HEARING ANNUAL ACTION PLAN

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Administrative Plan 4/1/16 Page 7-21 7-III.G. RETIREMENT ACCOUNTS SAHA Policy SAHA will accept written third-party documents supplied by the family as evidence of the status of retirement accounts. The type of document that will be accepted depends upon the family member’s retirement status: o Before retirement, SAHA will accept a copy of document provided from the entity holding the account with a date that shows it is the most recently scheduled statement for the account but in no case earlier than 120 days from the effective date of the re-examination. o SAHA will send third party verification to determine if family has access to the account to determine penalties, early withdrawal fees, and any related fees. o SAHA will consider limited access as having no access. o Upon retirement, SAHA will accept a copy of document provided from the entity holding the account that reflects any distributions of the account balance, any lump sums taken and any regular payments. o After retirement, SAHA will accept a copy of document provided from the entity holding the account dated no earlier than 90 days before that reflects any distributions of the account balance, any lump sums taken and any regular payments. 7-III.H. INCOME FROM EXCLUDED SOURCES A detailed discussion of excluded income is provided in Chapter 6, Part I. HUD guidance on verification of excluded income draws a distinction between income which is fully excluded and income which is only partially excluded. For fully excluded income, SAHA is not required to follow the verification hierarchy, document why third-party verification is not available, or report the income on the 50058. Fully excluded income is defined as income that is entirely excluded from the annual income determination (for example, food stamps, earned income of a minor, or foster care funds) [Notice PIH 2013-04]. PHAs may accept a family’s signed application or reexamination form as self-certification of fully excluded income. They do not have to require additional documentation. However, if there is any doubt that a source of income qualifies for full exclusion, PHAs have the option of requiring additional verification. For partially excluded income, SAHA is required to follow the verification hierarchy and all applicable regulations, and to report the income on the 50058. Partially excluded income is defined as income where only a certain portion of what is reported by the family qualifies to be 3-201