# How Are Payment Standards Calculated?

In the median rent method, HUD determines the exception payment standard amount by multiplying the FMR times a fraction of which the numerator is the median gross rent of the exception area and the denominator is the median gross rent of the entire FMR area.

Do payment standards include utilities?

The Payment Standard includes a Utility Allowance component of $ 50. So, if an apartment includes utilities, the rent would have to be below $710 to be within the Payment Standard.

*Effect of Utility Allowance Increases on Section 8 Housing Choice ...*

How do you calculate TTP?

To calculate TTP, PHAs convert annual adjusted income and annual income to monthly adjusted income and monthly income, respectively, by dividing the annual figures by 12.

*Calculating Rent and Housing Assistance Payments (HAP) - HUD*

The Payment Standard is the maximum amount of assistance a family can receive and is based on the region's fair market rent and funding from HUD. This is not the maximum rent that can be charged by landlords.

*Payment Standards Housing Choice Voucher Program - SHRA*

What are voucher payment standards?

The Section 8 Voucher Payment Standard is the most the Housing Authority can pay to help a family with rent. ... The Housing Authority establishes Voucher Payment Standards (VPS) based on the Fair Market Rents (FMR), which are established at least annually by U.S. Department of Housing and Urban Development (HUD).

*About Section 8 - HACLA.org*