24 C.F.R. § 886.324
§ 886.324 Reexamination of family income and composition. (24 CFR Part 886)
Operative Text
(a) Regular reexaminations. The owner must reexamine the income and composition of all families at least once each year. Upon verification of the information, the owner must make appropriate adjustments in the Total Tenant Payment in accordance with part 5 of this title and determine whether the family's unit size is still appropriate. The owner must adjust Tenant Rent and the Housing Assistance Payment to reflect any change in Total Tenant Payment and carry out any unit transfer required by HUD. At the time of the annual reexamination of family income and composition, the owner must require the family to disclose and verify Social Security Numbers, as provided by part 5, subpart B, of this title. For requirements regarding the signing and submitting of consent forms by families for the obtaining of wage and claim information from State Wage Information Collection Agencies, see part 5, subpart B, of this title. At the first regular reexamination after June 19, 1995, the owner shall follow the requirements of part 5 of this title concerning obtaining and processing evidence of citizenship or eligible immigration status of all family members. Thereafter, at each regular reexamination, the owner shall follow the requirements of part 5 of this title concerning verification of the immigration status of any new family member. (b) Interim reexaminations. The family must comply with provisions in its lease regarding interim reporting of changes in income. If the owner receives information concerning a change in the family's income or other circumstances between regularly scheduled reexaminations, the owner must consult with the family and make any adjustments determined to be appropriate. Any change in the family's income or other circumstances that results in an adjustment in the Total Tenant Payment, Tenant Rent and Housing Assistance Payment must be verified. See part 5, subpart B, of this title for the requirements for the disclosure and verification of Social Security Numbers at interim reexaminations involving new family members. For requirements regarding the signing and submitting of consent forms by families for the obtaining of wage and claim information from State Wage Information Collection Agencies, see part 5, subpart B, of this title. At any interim reexamination after June 19, 1995 when there is a new family member, the owner shall follow the requirements of part 5 of this title concerning obtaining and processing evidence of citizenship or eligible immigration status of the new family member. (c) Continuation of housing assistance payments. A family's eligibility for Housing Assistance Payments will continue until the Total Tenant Payment equals the Contact Rent plus any applicable Utility Allowance. The termination of eligibility at such point will not affect the family's other rights under its lease, nor will such termination preclude the resumption of payments as a result of later changes in income, rents, or other relevant circumstances during the term of the contract. However, eligibility also may be terminated in accordance with HUD requirements, for such reasons as failure to submit requested verification information, including failure to meet the disclosure and verification requirements for Social Security Numbers, as provided by part 5, subpart B, of this title, or failure to sign and submit consent forms for the obtaining of wage and claim information from State Wage Information Collection Agencies, as provided by part 5, subpart B, of this title. For provisions requiring termination of assistance for failure to establish citizenship or eligible immigration status, see part 5, subpart E, of this title for provisions concerning certain assistance for mixed families (families whose members include those with eligible immigration status, and those without eligible immigration status) in lieu of termination of assistance, and for provisions concerning deferral of termination of assistance. (d) Streamlined income determination. An owner may elect to follow the provisions of 24 CFR 5.657(d).
Under 24 CFR Part 886 § 886.324, housing assistance programs require that a family's income and household composition be reviewed at least once a year, with payment amounts adjusted to reflect any verified changes. Between annual reviews, changes in income or circumstances can trigger an interim review that may also result in adjusted payments. Housing assistance continues until a family's required contribution reaches the level of the contract rent plus any utility allowance, but can also end if a family fails to provide required documentation—such as Social Security Number verification, consent forms for wage data, or evidence of citizenship or eligible immigration status. If income or other circumstances later shift, assistance may resume during the contract term.
Plain English — not legal advice.
Operators subject to 24 CFR Part 886 § 886.324 generally conduct annual reexaminations of every assisted family's income and household composition, verify the information collected, and update Total Tenant Payment, Tenant Rent, and Housing Assistance Payment figures accordingly. Compliant operators also process interim reexaminations when they learn of mid-year changes, consult with the affected family, and verify any adjustments before applying them. At each reexamination cycle, operators collect and process Social Security Number disclosures, consent forms for wage and claim data, and—where applicable—documentation of citizenship or eligible immigration status for all current or newly added family members, consistent with the requirements cross-referenced in part 5 of title 24.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Under 24 CFR Part 886 § 886.324, assisted families have the right to have their rent recalculated when their income or household composition changes, whether at the annual review or through an interim reexamination triggered by a mid-year change. Families are generally required to report income changes as specified in their lease and to provide documentation such as Social Security Numbers and consent forms for wage data; failure to do so can result in termination of assistance. Tenants who believe a reexamination was handled incorrectly may raise the issue with their housing provider, contact a local HUD office, or reach out to a tenant-rights organization for general information about available options.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated September 4, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
Effective Timeline
References Out
No outbound references recorded yet for this provision.
References In
No inbound references recorded yet for this provision.