FFESP: Public Benefits & Taxes

Advertisements Will receiving cash assistance from the FFESP affect other benefits like CalFresh and CalWORKs? The State of California, Department of Social Services, has determined that all guaranteed Income (GI) Programs throughout the State are exempt from eligibility calculations for CalWORKs benefits, and pilots that meet certain criteria can also be exempt from eligibility calculations

Barbara Miller

- Freelance Contributor

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Will receiving cash assistance from the FFESP affect other benefits like CalFresh and CalWORKs?

The State of California, Department of Social Services, has determined that all guaranteed Income (GI) Programs throughout the State are exempt from eligibility calculations for CalWORKs benefits, and pilots that meet certain criteria can also be exempt from eligibility calculations for CalFresh benefits. The FFESP meets the required criteria; thus FFESP funding will not affect eligibility or benefit calculations related to CalWORKs or CalFresh. Many other benefits have also been assessed and will not be impacted, such as Tribal TANF, housing subsidies through the Sacramento Housing and Redevelopment Agency (SHRA), subsidized childcare through DHA for CalWORKs participants, and WIC for families who also receive CalWORKs, CalFresh, and/or Medi-Cal.

However, FFESP funds may change your total household income threshold and your eligibility for other benefits not listed above. It is every applicant’s responsibility to take this into consideration and make the best decision for their family if selected for the program. It is highly recommended that each individual household additionally check and confirm their benefits status with their Case Worker at the agency administering their current benefits (for example, the local Social Security Administration office should you receive a benefit like SSI or the Department of Human Assistance if you receive Medi-Cal).

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Your eligibility for public benefits will NOT be affected by simply applying for the FFESP. If you apply and are selected, a FFESP staff member will schedule a one-on-one meeting with you to discuss the possible impact that participating in the FFESP may have on any current public benefits you receive. If it looks like your benefits will be negatively impacted, FFESP representatives will discuss with you the possible impacts. However, FFESP representatives do not give legal advice or make formal benefit impact decisions for other entities. It will be your responsibility to carefully consider your individual situation, talk with the entities from whom you are receiving benefits (SSI, DHA, etc.) and then make the best decision for your family as to whether you would like to proceed with participating in the FFESP.

Is the FFESP funding taxable?   

DCFAS has also assessed that the guaranteed income should be non-taxable, however, consulting with your tax preparer to confirm this is advised. A letter of participation will be provided to participants who are randomly selected and enrolled into the pilot, and this letter can be provided to tax preparers and other entities as needed.

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