Cornell Work Incentives Certification (WIP-C™) Program Practice Exam

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An extremely low-income family, according to HUD, has an income that does not exceed what percentage of the area's median income?

20%

30%

The correct answer is based on the definitions established by the U.S. Department of Housing and Urban Development (HUD). HUD defines an extremely low-income family as one whose income does not exceed 30% of the area median income (AMI). This designation is important for determining eligibility for various housing assistance programs, which aim to support families who are facing significant financial challenges.

This specific threshold is used to identify those families that require the most help in securing safe and affordable housing options. By establishing this benchmark at 30% of the AMI, HUD ensures that resources are allocated effectively to those most in need, allowing for targeted support to improve overall housing stability within communities.

40%

50%