Section 8 (housing) - Earned Income Disallowance

Earned Income Disallowance

There is a provision for disabled people who have a Section 8 subsidized dwelling to have their rent frozen for a specified time if they are working part-time below a certain amount of money. This is called the Earned Income Disallowance or Earned Income Disregard (EID) and is stipulated under US 24 CFR 5.617, "Self-sufficiency incentives for persons with disabilities—Disallowance of increase in annual income". This was enacted as part of Quality Housing and Work Responsibility Act of 1998 (QHWRA) (Sec. 508(b); 42 U.S.C. 1437a(d). This requires Public Housing Authorities and some owners, in calculating rent, to temporarily “disregard” increased income earned when certain public housing residents and disabled participants in certain housing assistance programs return/go to work or job-related programs. The idea is to foster self-sufficiency for those who are on subsidies and disability and other assistance.

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