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Housing Choice Voucher Program:
Rents
Who pays what?
Tenants pay the "total family share."
Tenants pay the total family share, which is between 30
percent and 40 percent of their monthly adjusted income for
rent and utilities. "Monthly adjusted income" is
the household’s gross income, after certain HUD-mandated
deductions and allowances are taken into account.
SHA pays the "housing assistance payment."
SHA pays the housing assistance payment,
which is the difference between the cost of rent plus
utilities and the total family share. Note that SHA does not
actually pay tenants’ utilities. Instead, we include a
"utility allowance"
– the amount the tenant can expect to spend on utilities
for his or her unit – when calculating how much subsidy
the tenant will need each month.
If the tenant’s total family share is
greater than the utility allowance for tenant-paid
utilities, the tenant pays the utilities called for in the
lease and also pays a portion of the rent to the owner. If
the tenant’s total family share is less than the utility
allowance for tenant-paid utilities, SHA will pay the entire
contract rent to the owner and also a portion of the tenant’s
utilities.
Voucher payment standards
Every year SHA establishes voucher
payment standards for units of various bedroom sizes.
Voucher payment standards are not the maximum rent
owners can charge or the subsidy that each tenant will
receive. Voucher payment standards set the maximum amount
SHA will pay for a tenant’s housing costs, and include a
utility allowance for tenant-paid utilities.
Figure 1: Payment responsibilities in the voucher
program

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