Resources counted

Pretax cash income

Threshold

One national standard, varying by family size, composition and householder age

Question answered: Is cash income below the official threshold?

Resources counted

Cash income + qualifying noncash benefits + refundable tax credits

Then deducted

Taxes, work and child-care costs, child support paid, medical spending and health-insurance premiums

Threshold

Varies with housing tenure and geographic housing costs

Question answered: Are remaining resources below the supplemental threshold?

Neither measure is a complete household budget, and the two rates should not be read as competing estimates of the same definition.