Count military retirement in KS, MS, NC, NJ and NY LIHEAP income

changelog.d/liheap-military-retirement-ks-ms-nc-nj-ny.fixed.md

@@ -0,0 +1 @@
+Count military retirement pay and Survivor Benefit Plan annuities as unearned income in the Kansas, Mississippi, North Carolina, New Jersey and New York LIHEAP programs.

policyengine_us/parameters/gov/states/ks/dcf/liheap/income/sources/unearned.yaml

@@ -6,7 +6,15 @@ values:
     # SSA benefits are counted gross, including the Medicare deduction.
     - social_security
     - ssi
+    # Military retirement income (retiree pay plus Survivor Benefit Plan
+    # annuities) is a separate input from the pension inputs that
+    # pension_income adds, so both are listed; a household reports the amount
+    # in one or the other. A military survivor annuity belongs in
+    # military_retirement_pay_survivors, not survivor_benefits. Plan Section
+    # 1.9 counts retirement and pension benefits, and KEESM 13361 exempts
+    # neither.
     - pension_income
+    - military_retirement_income
     - general_assistance
     - ks_tanf
     - rental_income

policyengine_us/parameters/gov/states/ms/mdhs/liheap/unearned_income_sources.yaml

@@ -6,7 +6,14 @@ values:
     # Rule 6.11 F(3) lists Railroad Retirement benefits.
     - railroad_benefits
     - ssi
+    # Military retirement income (retiree pay plus Survivor Benefit Plan
+    # annuities) is a separate input from the pension inputs that
+    # pension_income adds, so both are listed; a household reports the amount
+    # in one or the other. A military survivor annuity belongs in
+    # military_retirement_pay_survivors, not survivor_benefits. Rule 6.11 C(8)
+    # counts retirement benefits and F(2)-(3) count pensions and annuities.
     - pension_income
+    - military_retirement_income
     - retirement_distributions
     - alimony_income
     - veterans_benefits

policyengine_us/parameters/gov/states/nc/ncdhhs/lieap/unearned_income_sources.yaml

@@ -20,6 +20,13 @@ values:
     - pension_income
     # "Retirement Benefits" (page 18).
     - retirement_distributions
+    # "Retirement Benefits" (page 18) covers plans set up by the government,
+    # with "Pensions" (page 16) and "Annuities" (page 3). Military retirement
+    # income (retiree pay plus Survivor Benefit Plan annuities) is a separate
+    # input from the pension inputs that pension_income adds; a household
+    # reports the amount in one or the other. A military survivor annuity
+    # belongs in military_retirement_pay_survivors, not survivor_benefits.
+    - military_retirement_income
     # "Annuities" (page 3) and "Pensions" (page 16): survivor benefits other
     # than Social Security.
     - survivor_benefits

policyengine_us/parameters/gov/states/nj/dca/liheap/income/sources/unearned.yaml

@@ -9,6 +9,15 @@ values:
   - strike_benefits
   - ssi
   - pension_income
+  # Military retirement income (retiree pay plus Survivor Benefit Plan
+  # annuities) is a separate input from the pension inputs that pension_income
+  # adds; a household reports the amount in one or the other. Handbook 2.3.D
+  # counts pensions and annuities. The Department of Defense, not the VA, pays
+  # both, and plan 1.9 (page 7) names the excluded veterans' item "Veterans
+  # Administration (VA) benefits", so 2.3.E.10 does not reach them. A military
+  # survivor annuity belongs in military_retirement_pay_survivors, not
+  # survivor_benefits.
+  - military_retirement_income
   # Handbook 2.3.D counts pensions and annuities; 2.3.E.10 excludes veterans'
   # benefits, but VA survivor payments cannot be separated and count here.
   - survivor_benefits

policyengine_us/parameters/gov/states/ny/otda/heap/income/sources/unearned.yaml

@@ -14,6 +14,13 @@ values:
   # insurance and annuities; veterans' survivor benefits under D.12(a)(12).
   - survivor_benefits
   - pension_income
+  # Military retirement income (retiree pay plus Survivor Benefit Plan
+  # annuities) is a separate input from the pension inputs that pension_income
+  # adds; a household reports the amount in one or the other. D.12(a)(13)
+  # counts pensions and (14) annuities, and D.13 excludes neither. A military
+  # survivor annuity belongs in military_retirement_pay_survivors, not
+  # survivor_benefits.
+  - military_retirement_income
   - retirement_distributions
   - alimony_income
   - child_support_received

policyengine_us/tests/policy/baseline/gov/states/ks/dcf/liheap/income/ks_liheap_countable_income.yaml

@@ -267,3 +267,22 @@
     ks_liheap_countable_unearned_income: 6_000
     # 0 earned income + 6,000 unearned income = 6,000.
     ks_liheap_countable_income: 6_000
+
+- name: Case 12, military retirement pay and a Survivor Benefit Plan annuity are counted as unearned income.
+  # Two one-person households aged 70. Plan Section 1.9 counts retirement and
+  # pension benefits; KEESM 13360 counts "most other income" and 13361 exempts
+  # neither. Household 1: 24,000 military retirement pay. Household 2: 9,600
+  # Survivor Benefit Plan annuity (800 a month).
+  period: 2026
+  absolute_error_margin: 0.01
+  input:
+    state_code: [KS, KS]
+    age: [70, 70]
+    military_retirement_pay: [24_000, 0]
+    military_retirement_pay_survivors: [0, 9_600]
+    ssi: [0, 0]
+    ks_tanf: [0, 0]
+  output:
+    ks_liheap_countable_unearned_income: [24_000, 9_600]
+    # 0 earned income + unearned income.
+    ks_liheap_countable_income: [24_000, 9_600]

policyengine_us/tests/policy/baseline/gov/states/ms/mdhs/liheap/ms_liheap_income.yaml

@@ -229,3 +229,18 @@
   output:
     total_unemployment_compensation: 6_000
     ms_liheap_income: 6_000
+
+- name: Case 10, military retirement pay and a Survivor Benefit Plan annuity count as unearned income.
+  # Two one-person households aged 70. Rule 6.11 C(8) (manual PDF page 29)
+  # counts retirement benefits and F(2)-(3) (page 31) count pensions and
+  # annuities. Household 1: 24,000 military retirement pay. Household 2: 9,600
+  # Survivor Benefit Plan annuity (800 a month).
+  period: 2026
+  input:
+    state_code: [MS, MS]
+    age: [70, 70]
+    military_retirement_pay: [24_000, 0]
+    military_retirement_pay_survivors: [0, 9_600]
+    ssi: [0, 0]
+  output:
+    ms_liheap_income: [24_000, 9_600]

policyengine_us/tests/policy/baseline/gov/states/nc/ncdhhs/lieap/nc_lieap_income.yaml

@@ -342,3 +342,26 @@
     # "Unemployment" (FNS 300.02 chart, page 24) has no work deduction.
     nc_lieap_gross_income_person: 6_000
   absolute_error_margin: 0.01
+
+- name: Case 14, military retirement pay and a Survivor Benefit Plan annuity count as unearned income.
+  # Two one-person households aged 70. FNS 300.02 chart rows "Pensions" (page
+  # 16), "Retirement Benefits" (page 18) and "Annuities" (page 3) are
+  # unearned income. Household 1: 24,000 military retirement pay. Household 2:
+  # 9,600 Survivor Benefit Plan annuity (800 a month).
+  period: 2026
+  input:
+    state_code: [NC, NC]
+    age: [70, 70]
+    military_retirement_pay: [24_000, 0]
+    military_retirement_pay_survivors: [0, 9_600]
+    ssi: [0, 0]
+    social_security: [0, 0]
+    tanf: [0, 0]
+    childcare_expenses: [0, 0]
+  output:
+    nc_lieap_earned_income: [0, 0]
+    nc_lieap_gross_income_person: [24_000, 9_600]
+    # EP-300.09 B.4 (page 13): an $85 monthly medical deduction at age 60 or
+    # older, 85 * 12 = 1,020. 24,000 - 1,020 = 22,980; 9,600 - 1,020 = 8,580.
+    nc_lieap_income: [22_980, 8_580]
+  absolute_error_margin: 0.01

policyengine_us/tests/policy/baseline/gov/states/nj/dca/liheap/income/nj_liheap_countable_income_person.yaml

@@ -210,3 +210,24 @@
   output:
     total_unemployment_compensation: 6_000
     nj_liheap_countable_income_person: 6_000
+
+- name: Case 9, military retirement pay and a Survivor Benefit Plan annuity count as unearned income.
+  # Two one-person households aged 70. Handbook 2.3.D (page 8) counts pensions
+  # and annuities; the Department of Defense pays both, so the 2.3.E.10
+  # veterans' benefits exclusion does not apply. Household 1: 24,000 military
+  # retirement pay. Household 2: 9,600 Survivor Benefit Plan annuity (800 a
+  # month).
+  period: 2026
+  absolute_error_margin: 0.01
+  input:
+    state_code: [NJ, NJ]
+    age: [70, 70]
+    military_retirement_pay: [24_000, 0]
+    military_retirement_pay_survivors: [0, 9_600]
+    social_security: [0, 0]
+    ssi: [0, 0]
+    tanf: [0, 0]
+  output:
+    nj_liheap_countable_income_person: [24_000, 9_600]
+    # 2,000 and 800 a month are whole dollars, so rounding changes nothing.
+    nj_liheap_countable_income: [24_000, 9_600]

policyengine_us/tests/policy/baseline/gov/states/ny/otda/heap/income/ny_heap_countable_income.yaml

@@ -186,3 +186,21 @@
   output:
     total_unemployment_compensation: 7_982
     ny_heap_countable_income: 7_980
+
+- name: Case 8, military retirement pay and a Survivor Benefit Plan annuity count as unearned income.
+  # Two one-person households aged 70. Chapter 8 D.12(a)(13) pensions and (14)
+  # payments from annuities (page 38); D.13 excludes neither. Household 1:
+  # 24,000 military retirement pay. Household 2: 9,600 Survivor Benefit Plan
+  # annuity (800 a month).
+  period: 2026
+  absolute_error_margin: 0.01
+  input:
+    state_code: [NY, NY]
+    age: [70, 70]
+    military_retirement_pay: [24_000, 0]
+    military_retirement_pay_survivors: [0, 9_600]
+    ssi: [0, 0]
+  output:
+    # D.14(c): floor(24,000 / 12) = 2,000 and floor(9,600 / 12) = 800 a month,
+    # annualized 24,000 and 9,600.
+    ny_heap_countable_income: [24_000, 9_600]