DEFINITION of 'Member Of Household Test'

A test that can be administered to a prospective dependent in lieu of the "relationship test". If a person does not meet the criteria to be considered a close relative by the IRS, he or she may still qualify as a member of household if he or she lived as a member of the taxpayer's household for the entire year. Domestic employees, such as maids and babysitters, are excluded from this treatment.

BREAKING DOWN 'Member Of Household Test'

Both the taxpayer and the prospective dependent can be temporarily absent from the home during the year without jeopardizing the dependency status. This type of absence can be for illness, vacation, education, business, military service or other similar reasons. If a person is born or dies during the year but lived as a member of the household the rest of the year, that person still qualifies as a member of the household.

RELATED TERMS
  1. Head Of Household

    A status held by the person in a household who is running the ...
  2. Household Income

    The combined gross income of all the members of a household who ...
  3. Member Of Household

    A person who is claimed as a dependent when filing year-end tax ...
  4. Qualifying Relative

    A federal income tax designation that allows a taxpayer to claim ...
  5. IRS Publication 926

    A document published by the Internal Revenue Service (IRS) that ...
  6. Support Test

    One of five tests that must be passed in order to claim someone ...
Related Articles
  1. Taxes

    What Does Filing As Head Of Household Mean For Your Taxes?

    In order to file as head of household, you must meet several requirements. Find out whether being head of household comes with any tax benefits.
  2. Taxes

    Do You Qualify as Head of Household?

    When you hear the term “head of household,” what comes to mind? The breadwinner? The main source of household income? Unfortunately, it’s not that simple.
  3. Taxes

    How To Claim A Dependent On Your Tax Return

    If you are a caregiver, get to know the rules for claiming a dependent before filing your taxes.
  4. Financial Advisor

    Household Net Worth For Americans Rose In 2015

    Even as household net worth for American households rose in 2015, it failed to translate into economic growth.
  5. Personal Finance

    Household Debt Surpasses $90,000

    Study finds that the average debt in U.S. households is over $90,000.
  6. Managing Wealth

    Americans Are Getting Richer...Kind Of

    Americans are getting richer – the number of affluent households is growing – but the rate is slower now than it was before the Great Recession.
  7. Financial Advisor

    Preparing Finances For Deployment: A Guide For Service Members

    Those who follow the instruction in this article can look forward to a homecoming of financial prosperity.
  8. Insights

    Americans' Total Net Wealth Rises to Record Level

    According to the first quarter 2016 figures put out by the Federal Reserve, the aggregate net worth of U.S. households and nonprofits rose to $88.1 trillion.
  9. Insights

    10 Wealthiest States in the United States

    A review of the 10 richest states in America as ranked by median household income.
  10. Insights

    The 10 Best Cities for Financial Advisors

    If you're an advisor looking for a promising location to practice, consider the combination of high wealth and low market penetration of these locales.
RELATED FAQS
  1. When do I need to fill out an IRS Schedule H form?

    Learn what factors would require you to file a Schedule H Form with the IRS. Read Answer >>
  2. I get multiple mailings to my house from companies that my spouse, children and I ...

    It's not uncommon for there to be more than one investment account holder in one household. If multiple members of your household ... Read Answer >>
  3. Which US cities have the highest number of high-income households?

    Learn which U.S. cities have the highest number of high-income households and why they were able to attract such a large ... Read Answer >>
Hot Definitions
  1. Federal Direct Loan Program

    A program that provides low-interest loans to postsecondary students and their parents. The William D. Ford Federal Direct ...
  2. Cash Flow

    The net amount of cash and cash-equivalents moving into and out of a business. Positive cash flow indicates that a company's ...
  3. PLUS Loan

    A low-cost student loan offered to parents of students currently enrolled in post-secondary education. With a PLUS Loan, ...
  4. Graduate Record Examination - GRE

    A standardized exam used to measure one's aptitude for abstract thinking in the areas of analytical writing, mathematics ...
  5. Graduate Management Admission Test - GMAT

    A standardized test intended to measure a test taker's aptitude in mathematics and the English language. The GMAT is most ...
  6. Magna Cum Laude

    An academic level of distinction used by educational institutions to signify an academic degree which was received "with ...
Trading Center