Sections 102 and 104 of HOTMA rewired how income, net family assets, and adjusted income are determined — and every HOTMA-governed threshold is now re-published by HUD each year. Every certification effective on or after January 1, 2027 must be HOTMA-compliant (Notice PIH 2026-15). This demo runs the core statutory kernels in your browser: deterministic rules code computes every figure below, and each constant carries its official CY 2026 value and citation.
Enter the household's assets. The kernel totals net family assets (24 CFR §5.603(b)), checks the §5.618 eligibility ceiling, applies the self-certification threshold, and imputes income at the HUD passbook rate — but only on assets whose actual income cannot be computed, and only when net family assets exceed the imputation threshold (24 CFR §5.609(a)(2)).
| Asset | Cash value $ | Actual annual income $ | Income computable? |
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Annual income under 24 CFR §5.609 as amended: wages and other countable income, plus asset income from step 1. Earned income of a dependent full-time student counts only up to the indexed exclusion per student (§5.609(b)(14)).
Adjusted income under 24 CFR §5.611: the two indexed mandatory deductions, unreimbursed childcare that enables work or education (§5.611(a)(4)), and the health/medical + disability-assistance deduction for the amount that exceeds 10% of annual income (§5.611(a)(3); the pre-HOTMA threshold was 3%). Hardship phase-in relief exists under §5.611(c) and is not modeled here.
TTP is the greatest of four terms (24 CFR §5.628): 30% of monthly adjusted income, 10% of monthly gross income, the welfare rent where applicable, and the PHA minimum rent (24 CFR §5.630, $0–$50). What the family actually pays at lease-up — the family share against the payment standard, and the 40% affordability cap — is computed in the payment-standards demo.