source:
  type: guide
  id: fnma-sel-b3-3.3-02
  authority: Fannie Mae Selling Guide B3-3.3-02 — Bonus, Commission, Overtime, and
    Tip Income Published May 6, 2026 318
  description: Fannie Mae Selling Guide B3-3.3-02 — Bonus, Commission, Overtime, and
    Tip Income Published May 6, 2026 318.
  coverage_tier: operative
obligations:
- id: fnma-sel-b3-3.3-02-full
  canonical_id: fnma-sel-b3-3.3-02-full
  section: Fannie Mae Selling Guide B3-3.3-02 — Bonus, Commission, Overtime, and Tip
    Income Published May 6, 2026 318
  type: do
  tags:
  - regulator-direct
  - fnma
  - selling-guide
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: Fannie Mae Selling Guide B3-3.3-02 — Bonus, Commission, Overtime, and
      Tip Income Published May 6, 2026 318
    source_class: fnma-guide
    source_url: https://singlefamily.fanniemae.com/media/document/pdf/selling-guide
    snapshot_id: 5f7b8b79da595d76
    fetched_at: '2026-05-25T14:09:57Z'
    content_hash: sha256:98cf85a02861bbe84914a0e339b327c8fc131869a8a573882007bbeea60c5701
    paragraph_quote: 'B3-3.3-02, Bonus, Commission, Overtime, and Tip Income Published
      May 6, 2026 318 (03/04/2026) The following table provides requirements for bonus,
      commission, overtime and tip income. Criteria Requirements Documentation The
      lender must obtain • a completed Request for Veriﬁcation of Employment ( Form
      1005), or • the most recent paystub and two years’ W-2s. Additionally, a verbal
      VOE is required. See B3-3.1-04, Verbal Veriﬁcation of Employment for speciﬁc
      requirements. Note: For tip income not reported by the employer, two years’
      personal tax returns with IRS Form 4137 may be provided in lieu of a W-2. Income
      History A minimum two-year history is recommended; however, income received
      for a shorter period, but no less than 12 months, may be considered as acceptable
      if there are positive factors to reasonably oﬀset the shorter income history.
      Income Continuance The lender is not required to verify continuance unless they
      have reason to believe the income may not continue. Published May 6, 2026 319
      Criteria Requirements Determination of Qualifying Income The lender must determine
      the income frequency (for example, weekly, biweekly, monthly, quarterly, or
      annually) to accurately calculate the monthly income amount. Once the monthly
      year-to-date income amount is determined, it must be compared to the earnings
      from previous years. Depending on the historical trend of the income, the lender
      must calculate qualifying income as follows: • Stable or Increasing: Calculate
      an average income amount using year-to- date and previous year’s earnings, divided
      by the number of months included in the year-to-date paystub and W-2s. The calculation
      must include a minimum of 12 months’ income. • Decreasing: The lender must conﬁrm
      the current income level has stabilized after the decline; otherwise, the income
      is not eligible for qualifying. To calculate income, use the year-to-date income
      divided by months elapsed since the income stabilized. When bonus income is
      used for qualiﬁcation, the lender must calculate the monthly amount accurately
      for use in the trending analysis. For example, if a borrower receives an annual
      bonus on March 31st of each year, the bonus income should be annualized (divided
      by 12) to determine the appropriate monthly bonus amount. The lender must also
      ensure that all supporting documentation in the ﬁle supports the income used
      in the qualiﬁcation process. Note: When a documented, non-recurring event outside
      the borrower’s control temporarily prevented them from earning income, the lender
      may exclude that period from the income calculation. Recent Related Announcements
      The table below provides reference to recently issued Announcements related
      to this topic. Announcements Issue Date Announcement SEL-2026-02 March 04, 2026
      Published May 6, 2026 320'
  judgment: false
