Estimates of Eligibility and Allowance Entitlement Under Alternative Housing Allowance Programs

Presents estimates of eligibility rates and allowance costs of various housing assistance programs for the nation and for the six sites considered for the Housing Assistance Supply Experiment. Estimates were prepared with three alternative allowance formulas — each associated with varying policy parameters — and by defining and calculating disposable income. The study concludes that allowance programs should not be chosen simply on the basis of total cost or number of eligible households; choice should reflect the program's purpose, which is to increase low-income families' consumption of housing services. Similarly, alternatives should not be judged in terms of income cutoffs or allocation of benefits by household size, since both income and household size are pertinent factors for low-income households — a fact reflected in the allowance formulas considered here.