Does current projected income from self-employment jobs like Instacart count for sponsorship income requirement?

[proudbruin93 0]

I'm a USC married to an intending immigrant. In 2017, I made $14,500 from Instacart & Airbnb (earned $21k, but gross taxable income ended lower due to deductions). 

My current projected 2018 earnings is $18k (up to $20k) through Instacart. My wife and I also have $15k in cash savings. I can make up the difference & more from the minimum sponsorship income of $20,575 via our assets in liquid cash savings (3x the $2,575 difference assuming $18k income = min. $7,725 in assets needed). With $15k assets, my $18k income becomes $23k, above 125% of the min. poverty income. There's no paystub evidence, but I have bank transaction evidence + screenshots from my Instacart account to prove the income. I can also submit evidence of quarterly tax payment for 2018. 

Our attorney says I won't qualify as a sponsor due to my filed 2017 gross income not meeting $20,575. However, the guidelines state that "during the initial evidence review, USCIS shall as a general rule determine the sufficiency of a Form I-864 based on the sponsor’s reasonably anticipated household income for the year in which the sponsor signed the Form I-864." 

See: https://www.uscis.gov/ilink/docView/AFM/HTML/AFM/0-0-0-1/0-0-0-2872/0-0-0-3055.html 

 

So what's the verdict here? Thanks!

[Pinkrlion 2,724]

When you are self employed, they will accept 1099, tax transcript and proof of assets.  Otherwise, you need a co-sponser.

[mushroomspore 3,044]

I would also recommend getting a joint sponsor. USCIS tend to scrutinize self-employed sponsors more. If you are too close to the guideline, they will ask for a joint sponsor and/or further proof of assets and income. I'd say unless you make $30,000+, they'll ask for further evidence. If you get a joint sponsor, it solidifies your financial security and stability to USCIS. Rather than try to play the game with your assets, getting a joint sponsor will save you the hassle of getting an RFE/RFIE down the road.

[Balamban 113]

I'm no expert but if you say:  "earned $21k, but gross taxable income ended lower due to deductions"  I believe that the adjudicator will ignore anything but Adjusted Gross Income (AGI) line 37 on 1040.  Even there, what they want is W-2 amounts, for I think that is what they are likely to focus on.  Remember a person could gave W2 income of $2000 and a one-time capital gain from selling stock or property of $30,000.  In that case the AGI would say $32,000.  However, I think it likely that in reality, the $32,000 would be ignored and the focus would be on the W2 income alone.  By the same token a person could say: "I only had $15,000 AGI but I wrote off $15,000 in expenses while, in reality, that was much more than I really expended, as in the case of mileage deductions.  Well, a person will say that, but the adjudicator is not likely to agree.  (IMHO)

 

I assume you filed Schedule C.  There you may "feel" that you had 21,000 income but you had expenses including a "ripe" one of mileage.  This is a double-edged sword.  Such deductions can go into your pocket and escape taxes if you drive an inexpensive car,  (you can deduct 56 cents/mile and yet only spend 9 cents per mile) so that's a positive for you.  The negative is that fiduciary entities will ignore anything but the net of a schedule C, and even there, they will likely search for non-recurring amounts.  So I suggest you consider your income only to be the sum of W-2 income plus the Business income which is line 12 on 1040.  Then take that amount and be prepared for covering any deficit.

 

Ordinary logic says that if you wrote off, for instance, $6,000 in mileage expense for Instacart and you only really spent $1000 in gas and repairs that your that you have $5000 "extra income."  But no fiduciary will ever agree with that for they dance to a different form of logic. 

 

If your two prior 1040's look "good." I'd suggest that you include a copy of them.  If they look as good or better then the incident year the adjudicator might feel that you have "stability."  YMMV. 

[Mrsjackson 300]

1 hour ago, mushroomspore said:

I would also recommend getting a joint sponsor. USCIS tend to scrutinize self-employed sponsors more. If you are too close to the guideline, they will ask for a joint sponsor and/or further proof of assets and income. I'd say unless you make $30,000+, they'll ask for further evidence. If you get a joint sponsor, it solidifies your financial security and stability to USCIS. Rather than try to play the game with your assets, getting a joint sponsor will save you the hassle of getting an RFE/RFIE down the road.

Where did you learn that they might have an issue with being too close to the guideline? My understanding is that if you meet the income requirements then you meet them, and if not you need a joint sponsor whether you’re self employed or not. I’ve never read that being too close to the guideline can be an issue. I’d be curious to know more if that’s true please share where you got that info. 

Edited April 26, 2018 by Mrsjackson

[mushroomspore 3,044]

19 minutes ago, Mrsjackson said:

Where did you learn that they might have an issue with being too close to the guideline? My understanding is that if you meet the income requirements then you meet them, and if not you need a joint sponsor whether you’re self employed or not. I’ve never read that being too close to the guideline can be an issue. I’d be curious to know more if that’s true please share where you got that info. 

It's not an official policy (as far as I know); sorry if it came across that way. I've read many many threads on this forum and others regarding income for self-employed sponsors because my husband is one. I was also in contact with a paralegal at an immigration law firm who told me that RFE/RFIE's for the i-864 are the most common. He said they're issued for various reasons. The most obvious is that the petitioner doesn't make enough and there is no joint sponsor paperwork included. Other reasons include inconsistent income (if the petitioner included the past 2-3 years' tax returns) or if the income is too close to the guideline. The paralegal also informed that the i-864 get badly misinterpreted too frequently by the NBC officers who look over them, so this is another reason for common RFE/RFIE's.

 

USCIS wants to ensure intending immigrants aren't at risk of becoming public charges. If your income is too close to the guideline, it makes total sense to me that they would want further evidence of income. This "further evidence" does not necessarily mean "you must get a joint sponsor". It usually just means, "please provide us with evidence that the petitioner continues to make enough money legally to sponsor the intending immigrant." But for example (the paralegal told me this is a common circumstance that frequently comes up during his boss's free consultations), let's say the petitioner made $21,575. This is $1,000 over the guideline. If he only includes the most recent tax return, how does USCIS know that he was above the guideline the previous year? Did he just get out of "poverty" or is he at risk of falling under the guideline? They don't know just from the previous year's tax return. So they issue an RFE/RFIE asking for more evidence and once again, it makes sense to me why they would do this.

 

In short, if your income is too close to the guideline, it's not so black-and-white with the way USCIS will interpret your income and MAY ask for further evidence. This is why getting a joint sponsor is recommended, especially in OP's case since his reported income is actually below the guideline. YMMV.

[Mrsjackson 300]

14 minutes ago, mushroomspore said:

It's not an official policy (as far as I know); sorry if it came across that way. I've read many many threads on this forum and others regarding income for self-employed sponsors because my husband is one. I was also in contact with a paralegal at an immigration law firm who told me that RFE/RFIE's for the i-864 are the most common. He said they're issued for various reasons. The most obvious is that the petitioner doesn't make enough and there is no joint sponsor paperwork included. Other reasons include inconsistent income (if the petitioner included the past 2-3 years' tax returns) or if the income is too close to the guideline. The paralegal also informed that the i-864 get badly misinterpreted too frequently by the NBC officers who look over them, so this is another reason for common RFE/RFIE's.

 

USCIS wants to ensure intending immigrants aren't at risk of becoming public charges. If your income is too close to the guideline, it makes total sense to me that they would want further evidence of income. This "further evidence" does not necessarily mean "you must get a joint sponsor". It usually just means, "please provide us with evidence that the petitioner continues to make enough money legally to sponsor the intending immigrant." But for example (the paralegal told me this is a common circumstance that frequently comes up during his boss's free consultations), let's say the petitioner made $21,575. This is $1,000 over the guideline. If he only includes the most recent tax return, how does USCIS know that he was above the guideline the previous year? Did he just get out of "poverty" or is he at risk of falling under the guideline? They don't know just from the previous year's tax return. So they issue an RFE/RFIE asking for more evidence and once again, it makes sense to me why they would do this.

 

In short, if your income is too close to the guideline, it's not so black-and-white with the way USCIS will interpret your income and MAY ask for further evidence. This is why getting a joint sponsor is recommended, especially in OP's case since his reported income is actually below the guideline. YMMV.

No worries, it all makes sense. I’m just confused because they ask for 125% of the poverty level so why not ask for 150% if 125% really doesn’t cut it? Just confusing. Thanks for the info!

[proudbruin93 0]

2 hours ago, mushroomspore said:

It's not an official policy (as far as I know); sorry if it came across that way. I've read many many threads on this forum and others regarding income for self-employed sponsors because my husband is one. I was also in contact with a paralegal at an immigration law firm who told me that RFE/RFIE's for the i-864 are the most common. He said they're issued for various reasons. The most obvious is that the petitioner doesn't make enough and there is no joint sponsor paperwork included. Other reasons include inconsistent income (if the petitioner included the past 2-3 years' tax returns) or if the income is too close to the guideline. The paralegal also informed that the i-864 get badly misinterpreted too frequently by the NBC officers who look over them, so this is another reason for common RFE/RFIE's.

 

USCIS wants to ensure intending immigrants aren't at risk of becoming public charges. If your income is too close to the guideline, it makes total sense to me that they would want further evidence of income. This "further evidence" does not necessarily mean "you must get a joint sponsor". It usually just means, "please provide us with evidence that the petitioner continues to make enough money legally to sponsor the intending immigrant." But for example (the paralegal told me this is a common circumstance that frequently comes up during his boss's free consultations), let's say the petitioner made $21,575. This is $1,000 over the guideline. If he only includes the most recent tax return, how does USCIS know that he was above the guideline the previous year? Did he just get out of "poverty" or is he at risk of falling under the guideline? They don't know just from the previous year's tax return. So they issue an RFE/RFIE asking for more evidence and once again, it makes sense to me why they would do this.

 

In short, if your income is too close to the guideline, it's not so black-and-white with the way USCIS will interpret your income and MAY ask for further evidence. This is why getting a joint sponsor is recommended, especially in OP's case since his reported income is actually below the guideline. YMMV.

 

Thanks for the detailed breakdown of your logic!

 

But did you see this part of my post regarding the Adjucator's Field Manual?

 

The Adjucator's Field Manual by USCIS explicitly states that if your current anticipated household income is sufficient, past year incomes are not needed to be considered. It seems like those are only supposed to be looked at if current year's income is not deemed sufficient according to the guidelines. It also seems like when adjucators DO look at those, they're misinterpreting the requirements and not following the true guidelines -- thus resulting in prolonged cases, unnecessary RFEs and lots of headache. 

 

So technically, in my case, while it is BETTER to have a joint sponsor (not feasible for us) or have a regular w2 job (possible, but takes time to acquire)... if I can prove my anticipated earnings for 2018 is above the guidelines (i.e. via bank statement deposits and quarterly tax payment), it should qualify. Right? 

 

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https://www.uscis.gov/ilink/docView/AFM/HTML/AFM/0-0-0-1/0-0-0-2872/0-0-0-3055.html

 

When determining the sufficiency of a Form I-864, USCIS shall first consider the sponsor’s anticipated income for the year the sponsor signed Form I-864. Thus, during the initial evidence review, USCIS shall as a general rule determine the sufficiency of a Form I-864 based on the sponsor’s reasonably anticipated household income for the year in which the sponsor signed the Form I-864.

 

Important

If the income is at least 125% (or 100% as applicable) of the governing Poverty Guideline in the Form I-864P, Poverty Guidelines, from the year in which the Form I-864 was filed, the Form I-864 is sufficient.

 

(2) Requesting updated information . There are two limited, specific situations in which the general rule stated in section 20.5(e)(1) will not apply:

·     The first exception applies if both of the following criteria are met:

Ø     The most recent income tax return, the anticipated household income listed for the year the sponsor signed the Form I-864, and the evidence for the income for the year of filing all show an income that is less than 125% (or 100% as applicable) of the governing Poverty Guideline for the year the Form I-864 was filed, and

Ø     A joint sponsor has not filed a sufficient Form I-864.

·     The second exception applies if at least one year has elapsed since the Form I-864 was submitted, and the facts in the case, as supported by the evidence in the record, provide a specific reason (other than simply the passage of time) to believe that the sponsor’s income is no longer sufficient.

If USCIS determines that either of these situations exists, USCIS should issue a request for evidence. However, the request for evidence should only be for the current year’s income information, not for additional evidence concerning the year in which the Form I-864 was filed.

 

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What are your thoughts about that? Thanks again.

[Lemonslice 4,961]

Quote

 I can prove my anticipated earnings for 2018 is above the guidelines (i.e. via bank statement deposits and quarterly tax payment), it should qualify. Right? 

Not necessarily, you would need to detail the earnings AND expenses to get your income and this is why for self-employed individual, the instructions are different.

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Page 8

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If you selected Part 6., Item Number 2. that you are self-employed, you should have completed one of the following forms with your Federal income tax return: Schedule C (Profit or Loss from Business), Schedule D (Capital Gains), Schedule E (Supplemental Income or Loss), or Schedule F (Profit or Loss from Farming). You must include each and every Form 1040 Schedule, if any, that you filed with your Federal income tax return.

Page 16-17

Quote

For ALL sponsors: A copy of your individual Federal income tax return, including W-2s for the most recent tax year, or a statement and/or evidence describing why you were not required to file.

Also include a copy of each and every Form 1099, Schedule, and any other evidence of reported income. You may submit this information for the most recent three tax years,

**pay stubs from the most recent six months, and/or a letter from your employer if you believe any of these items will help you qualify.** [you do not have those as a self-employed] individual

 

For SOME sponsors: If you are currently self-employed, a copy of your Schedule C, D, E, or F from your most recent Federal income tax return which establishes your income from your business. [this is how your income is established in their calculation when you are self-employed]

 

[...]

 

If you use your assets or the assets of a household member to qualify, documentation of assets establishing location, ownership, date of acquisition, and value. Evidence of any liens or liabilities against these assets. [you may, or may not have this]

 

 

Edited April 27, 2018 by Lemonslice

[milimelo 4,544]

Only if spouse interviews next year after you’ve filed taxes will this work. 

Get a joint sponsor or a w-2 job that can provide real proof of current and ongoing income. 

[Mrsjackson 300]

Your attorney is probably right and you need a cosponsor. I disagree with the assertion that you or anyone else who is self employed should make $30k for a household of 2 (you and your fiancé). Your poverty requirement is $20,575. The instructions do not state that a self employed person has to make more than an employee, it states that both self employed and employees need to make 125% of the poverty level period. If self employed persons needed to make more it would be a clear requirement in the instructions (ex: self employed persons need to make 150%). 

 

Sorry this is a bit off topic but I wanted to clarify this point for anyone reading this thread because it was mentioned here. 

[dawning 212]

4 hours ago, Balamban said:

I'm no expert but if you say:  "earned $21k, but gross taxable income ended lower due to deductions"  I believe that the adjudicator will ignore anything but Adjusted Gross Income (AGI) line 37 on 1040.  Even there, what they want is W-2 amounts, for I think that is what they are likely to focus on.  Remember a person could gave W2 income of $2000 and a one-time capital gain from selling stock or property of $30,000.  In that case the AGI would say $32,000.  However, I think it likely that in reality, the $32,000 would be ignored and the focus would be on the W2 income alone.  By the same token a person could say: "I only had $15,000 AGI but I wrote off $15,000 in expenses while, in reality, that was much more than I really expended, as in the case of mileage deductions.  Well, a person will say that, but the adjudicator is not likely to agree.  (IMHO)

 

I assume you filed Schedule C.  There you may "feel" that you had 21,000 income but you had expenses including a "ripe" one of mileage.  This is a double-edged sword.  Such deductions can go into your pocket and escape taxes if you drive an inexpensive car,  (you can deduct 56 cents/mile and yet only spend 9 cents per mile) so that's a positive for you.  The negative is that fiduciary entities will ignore anything but the net of a schedule C, and even there, they will likely search for non-recurring amounts.  So I suggest you consider your income only to be the sum of W-2 income plus the Business income which is line 12 on 1040.  Then take that amount and be prepared for covering any deficit.

 

Ordinary logic says that if you wrote off, for instance, $6,000 in mileage expense for Instacart and you only really spent $1000 in gas and repairs that your that you have $5000 "extra income."  But no fiduciary will ever agree with that for they dance to a different form of logic. 

 

If your two prior 1040's look "good." I'd suggest that you include a copy of them.  If they look as good or better then the incident year the adjudicator might feel that you have "stability."  YMMV. 

Mileage is meant to cover more than the out of pocket expenses in any given year, because the miles driven lower the value of the vehicle.  That's why he doesn't really have $5,000 of extra income, because his car is worth less than it would be if he hadn't driven all those miles.  Although your point about some vehicles being cheaper than others is still valid.  It is entirely possible to work for Instacart in a car worth less than $5,000. But if the car should die after all those miles he would have to shell out for a new one before he could go back to working that job.

[geowrian 22,338]

4 hours ago, Mrsjackson said:

Where did you learn that they might have an issue with being too close to the guideline? My understanding is that if you meet the income requirements then you meet them, and if not you need a joint sponsor whether you’re self employed or not. I’ve never read that being too close to the guideline can be an issue. I’d be curious to know more if that’s true please share where you got that info. 

It's quite as clear cut as that. If you are under the minimum, then they won't approve you. If you are above the minimum, they will still consider the totality of the circumstances for the public charge concern. Technically, somebody with a household size of 2 could be approved with $30k in income while somebody else be denied on the public charge grounds with $100k in income (although this would not actually be the case unless there are some unusual circumstances here for the IO to make this decision).

 

Only slightly related...COs don't follow the I-864 guidelines as closely as IOs. For instance, COs in at least one country want to see 3 years of tax returns above the 125% level.

[Mrsjackson 300]

12 minutes ago, geowrian said:

It's quite as clear cut as that. If you are under the minimum, then they won't approve you. If you are above the minimum, they will still consider the totality of the circumstances for the public charge concern. Technically, somebody with a household size of 2 could be approved with $30k in income while somebody else be denied on the public charge grounds with $100k in income (although this would not actually be the case unless there are some unusual circumstances here for the IO to make this decision).

 

Only slightly related...COs don't follow the I-864 guidelines as closely as IOs. For instance, COs in at least one country want to see 3 years of tax returns above the 125% level.

What are your thoughts on the assertion that self employed petitioners should make more than employees? Do you think a self employed petitioner should show a great deal more income than the 125% level even though the instructions state that both self employed and employees only need to meet the 125% requirement? And do you think a self employed petitioner whose income is just above the 125% level would be denied or get an RFE at the interview? 

Edited April 27, 2018 by Mrsjackson

[geowrian 22,338]

2 minutes ago, Mrsjackson said:

What are your thoughts on the assertion that self employed petitioners should make more than employees? Do you think a self employed petitioner should show a great deal more income than the 125% level even though the instructions state that both self employed and employees only need to meet the 125% requirement? And do you think a self employed petitioner whose income is just above the 125% level would be denied or get an RFE at the interview? 

I think the income requirements are treated the same whether you are self-employed, use investment income, or have a 9-5 day job. The only practical difference, IMO, is how you show that you meet your stated income level.

Some may disagree, and that's fine.