Income Limits Are Set by Your Local Housing Authority, Not a Single National Number

Section 8 programs use your household's gross monthly income — before taxes, before deductions — to decide whether you can participate. The limit changes based on where you live. A family of four in rural Mississippi has a different income ceiling than a family of four in San Francisco, because the program ties limits to the area's median income.

Your local Public Housing Authority (PHA) publishes its current income limits every year, usually by March. You find them on the PHA's website or by calling the office directly. Do not guess based on a number you saw online or heard from someone else — that number may be from a different year, a different state, or a different household size.

Income limits also depend on household size. A single person has a lower limit than a couple, who have a lower limit than a family of five. If you are on the edge, the exact count of who lives in your home matters. A live-in caregiver, an adult child, or a foster child may all count toward household size, which can raise your income limit.

Key Takeaways

  • Your local Public Housing Authority sets income limits based on area median income and household size, and these limits change yearly.
  • Income is counted as gross monthly earnings before taxes or deductions, and includes wages, self-employment income, Social Security, and child support received.
  • Certain income sources do not count toward the limit, including food stamps, some disability payments, and money set aside for a disabled family member's future care.
  • You must provide recent pay stubs, tax returns, or benefit letters to prove your income, and the PHA will verify what you report.
  • Household composition — who lives with you — determines both your income limit and your rent contribution, so changes in who lives in your home must be reported.

What Counts as Income and What Does Not

Gross income includes wages from employment, self-employment earnings, Social Security benefits, Supplemental Security Income (SSI), unemployment benefits, workers' compensation, child support you receive, alimony, and regular gifts or contributions from people outside your household. If money comes in regularly and you can count on it, the PHA counts it.

Some income does not count. Food stamps (SNAP), Temporary information for Needy Families (TANF), and most housing vouchers do not count toward your income limit. Lump-sum payments — an inheritance, a tax refund, a one-time insurance settlement — do not count. Money set aside in a special needs trust for a disabled family member does not count. If you receive a payment for a specific expense, like a utility allowance from a government program, that does not count either.

Self-employment income requires documentation. If you own a business or work as a contractor, you will need to provide tax returns for the past two years, plus a profit-and-loss statement if you have one. The PHA will calculate your net income (revenue minus documented business expenses) and count that toward your limit.

Household Composition and Who Counts as a Member

Your household includes everyone who lives with you and is related to you by blood, marriage, or adoption, plus any foster children. It also includes live-in aides or caregivers, even if they are not related to you. A roommate who pays rent and is not related to you does not count as a household member.

Children born to household members after you are admitted to the program count as household members. If a child moves out permanently, you must report that change. If an adult child moves back in, that changes your household size and may affect your income limit and your rent contribution. The PHA needs to know about these changes within 30 days in most cases.

Temporary absences do not remove someone from the household. If a family member is in the hospital, in jail, or away at school, they still count as part of your household. A permanent move — to another state, to independent housing, or to another family's home — ends their membership.

Documentation You Will Need to Provide

The PHA will ask for proof of income. For employment, bring recent pay stubs (usually the last 30 days) plus a letter from your employer on company letterhead stating your job title, hourly rate or salary, and expected hours per week. If you have been at the job less than 30 days, bring an offer letter or employment contract instead.

For self-employment, bring your most recent federal tax return (Form 1040 plus Schedule C or Schedule F), plus a current profit-and-loss statement if you have one. For Social Security or SSI, bring a benefit statement from the Social Security Administration — you can request one online at ssa.gov or by phone. For unemployment, bring a current benefit statement from your state's unemployment office.

For child support or alimony, bring a court order and recent bank statements or payment receipts showing what you actually receive. If the amount varies, the PHA will average the last 12 months. For any other income source, bring documentation that shows the amount and frequency of payment.

You will also need to provide proof of identity (a driver's license, passport, or state ID) and proof of citizenship or may be able to access immigration status (a birth certificate, passport, or immigration document). The PHA will verify your income by contacting your employer or benefit provider directly, so the information you provide must be current and accurate.

Citizenship and Immigration Status Requirements

You must be a U.S. citizen or have may be able to access immigration status to participate in Section 8. may be able to access status includes lawful permanent residents (green card holders), refugees, asylees, and certain other categories defined by federal law. Undocumented immigrants do not meet this requirement.

The PHA will ask you to sign a declaration of citizenship or may be able to access immigration status. If you claim may be able to access status, you will need to provide documentation — a green card, a refugee or asylee approval letter, or other immigration paperwork. The PHA may verify your status through the Department of Homeland Security's SAVE system.

If you are a mixed-status household (some members are citizens or may be able to access, others are not), the program can still work. The income of ineligible members counts toward your household income, but only may be able to access members can be listed on the lease. Ask your PHA how mixed-status households are handled in your area, because rules vary slightly.

Criminal History and Lease Violations That Disqualify You

The PHA will conduct a background check. You are permanently disqualified if you have been convicted of manufacturing methamphetamine on federally assisted housing. You are also disqualified if you are subject to a lifetime sex offender registration requirement under state law.

Beyond those two absolute bars, the PHA has discretion. They may deny you for a felony conviction within the past five to seven years (the exact timeframe varies by PHA), for a pattern of lease violations, for owing money to a previous housing program, or for drug-related criminal activity. They must give you a chance to explain, and they must consider the nature and age of the offense.

If you have a criminal record, ask your PHA what their specific policy is before you submit documents. Some PHAs are more flexible than others. A conviction from 15 years ago is treated differently than one from last year. If you are denied, the PHA must tell you why and give you a chance to appeal.

Assets and Savings Do Not Disqualify You

Section 8 does not have an asset limit. You can own a car, have money in the bank, own property, or have investments. None of that disqualifies you or affects your rent contribution. The program looks only at income, not at what you own.

This is different from some other housing programs. If you are also looking at public housing or other subsidized programs, check their rules separately — some do count assets. But for Section 8 specifically, savings and property ownership are not barriers.

Frequently Asked Questions

Does my income have to stay below the limit forever, or just when I first get approved?

You must be below the limit when you are first approved. After that, your income can rise and you stay in the program — you will just pay a higher rent contribution. However, if your income rises above 120 percent of the area median income, the PHA may stop issuing you new vouchers or may eventually terminate your information. Rules vary by PHA, so ask what happens if your income increases.

What if I am unemployed right now but expect to get a job soon?

The PHA counts income you actually receive, not income you expect to receive. If you are unemployed, your current income is zero (or whatever unemployment benefits you get). Once you start the job, you report that income. Do not wait for a job to explore — explore now with your current income situation.

Can I hide income to stay under the limit?

No. The PHA verifies income by contacting employers, benefit providers, and banks. If you misreport income and it is discovered, you can be removed from the program and may be required to repay information you received. Be honest about what you earn.

If I get married, does my spouse's income count?

Yes. Once you marry, your spouse becomes a household member and their income counts toward your household total. You must report the marriage to the PHA within 30 days. If the combined income pushes you over the limit, you will not be removed, but your rent contribution will increase.

What happens if someone in my household gets a job and we go over the income limit?

You stay in the program. Your income limit is only checked at admission. After you are approved, income increases do not disqualify you. Your rent contribution will go up based on the new household income, but you keep your voucher.