40 Percent Burden Rule

[ Parent ]

Under the Housing Choice Voucher Program the family’s share of rent plus a utility allowance may not exceed 40% of the family’s adjusted income when the family moves into a new unit or signs the first assisted lease for a unit.

Calculating Maximum Initial Rent Burden

Payment Standard	$780.00
Total Tenant Payment	$200.00
40% of Monthly Adjusted Income ($668 x .40)	$267.00

Amount Family is limited to contributing to total housing costs (tenant’s portion of rent plus a utility allowance)	$267.00
PHA Maximum Subsidy (see below)	$580.00
Maximum Gross Rent for this family	$847.00

Calculating Maximum Subsidy

Payment Standard	$780.00
Minus TTP	$200.00
Equals Maximum Subsidy	$580.00