# How Do Payment Standards Work?

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 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.

*24 CFR Â§ 982.503 - Payment standard amount and schedule.*

How does PHA calculate rent?

Calculate 30 percent of your monthly adjusted gross income. For a two-person household with no deductions making $18,000 per year, 30 percent of $1,500 monthly equals $450. Using this method, your public housing rent, or TTP, would be $450 a month. Each PHA has its own procedures to calculate a renter's TTP.

*How to Calculate Public Housing Rent - PocketSense*

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*