Washington TANF Income Exclusion Rules for Kinship Caregivers

The single most important rule in Washington's kinship caregiver benefits system is the income exclusion for non-needy relatives. It's also the most misunderstood — by caregivers, by caseworkers, and even by state information pages that still reference outdated thresholds.

The Rule: Your Income Does Not Count

Under WAC 388-450-0162 and the broader DSHS eligibility framework (WAC 388-408-0025 defines who's in the assistance unit), when a relative caregiver applies for TANF solely on behalf of a child — not requesting cash assistance for themselves — the caregiver's income is completely excluded from the eligibility calculation.

This means:

• Your Social Security retirement check doesn't count
• Your pension doesn't count
• Your spouse's wages don't count
• Your savings and retirement accounts don't count
• Your rental income, investment income, or any other personal income doesn't count

DSHS evaluates only the child's own direct income — Social Security survivor or disability benefits in the child's name, child support payments received for the child, or trust distributions payable to the child. If the child has no income, the child qualifies for the full payment standard ($450/month for one child).

The History: Why Old Information Persists

Before July 1, 2018, DSHS applied a complex deeming calculation that could count portions of a caregiver's income against the child's eligibility. Historical materials reference a 300% Federal Poverty Level threshold — the income level above which DSHS would deem some of the caregiver's income as available to the child.

Chapter 20, Laws of 2017 (2ESSB 5890) permanently eliminated that means test. Since July 2018, no caregiver income test applies for non-needy relative TANF applications. But older DSHS policy documents, some community resource websites, and even caseworkers trained before the change sometimes still reference the 300% FPL threshold. It no longer applies.

Common Caseworker Errors

Two processing mistakes come up repeatedly in kinship caregiver forums and advocacy reports:

Processing as full-household TANF instead of child-only. If a caseworker enters the caregiver as a member of the assistance unit rather than a non-needy caretaker, the system applies full income testing, work requirements, and the 60-month time limit. This is a data entry error, not a policy decision. If your application was denied because of your income, ask whether it was processed as a child-only case.

Requesting income verification from the caregiver. Under the non-needy relative pathway, DSHS should not be asking for your pay stubs, tax returns, or bank statements. They need the child's income documentation. If a caseworker requests your financial information for a child-only application, ask them to review the non-needy relative policy under WAC 388-450-0162.

If either error leads to a denial, you can request a fair hearing within 90 days (within 10 days to keep benefits running during the appeal).

Additional Resources

Beyond DSHS, Washington has a network of community resources for kinship caregivers:

Area Agencies on Aging (AAAs) and tribal health offices support kinship navigators across 30 Washington counties. Navigators can help you locate services and connect you with emergency KCSP funds. Find a local navigator through DSHS or by calling 211.

Tribal kinship navigators serve families in Washington's tribal communities. Tribal health offices and tribal TANF programs may have additional resources and their own eligibility criteria. Contact your tribal health department directly or ask 211 for tribal-specific kinship support in your area.

Northwest Justice Project offers free legal screening for low-income residents. Call CLEAR at 1-888-201-1014 (or 1-888-387-7111 for seniors 60+); screening does not guarantee representation.

The Full Picture

Income exclusion is the foundation of financial support for kinship caregivers — but it's only one piece. TANF child-only cash, Basic Food, Apple Health, childcare subsidies, WIC, and KCSP emergency funds each have their own rules. The Washington Financial Help for Kinship Caregivers guide walks through every program, the documents you need, the application sequence, and what to do when something goes wrong.

See more Washington guides →