How much will the tenant pay?
Rent is calculated according to federal regulations. It must be recalculated any time income or family size changes. The local HA uses a formula to calculate the family’s portion of the rent. The tenant’s portion will be 30% of the monthly adjusted income. This amount is then subtracted from the lower of the “payment standard” or the gross contract rent to determine the subsidy amount paid by the HA to the owner. The “payment standard” is a HUD approved amount by bedroom size, based on the Fair Market Rents (or rent reasonableness data) for the area. The bedroom size for the family, based on the HA’s “subsidy standard” is two persons per bedroom, except that the head of household will not be forced to share a bedroom with a minor child, or when there is medical justification. Even if the family selects a larger unit, the Housing Authority will still base the subsidy in accordance with the “subsidy standard,” and the family will be required to pay the difference. “Tenant Rent” is the di
