Your income, according to the facts that you've described, is your unemployment benefits. The fact that you are in your family's residence has no bearing, as they are supporting themselves. The only impact is that you have (presumably) lower rent than if you were renting from a stranger.
I have another question for you, though: If your wife has an *untreated* mental condition that caused her to *lose custody* in the past, then why are your children with her? What if she neglects them and they come to harm? What if her *untreated* mental condition causes her to *do* something harmful to the children.
CPS may get involved and, because you *failed to protect your children* YOU COULD POTENTIALLY LOSE CUSTODY OF YOUR CHILDREN. You do NOT want to get sucked into the Juvenile Dependency Court system, if you can avoid it, as they'll make your lives miserable.
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If your relationship is you’re simply renting a room with other individuals in the house, their income is not your income. In regard to your ability to benefit from their income, it’s not household income. Sounds like you need to take a very serious look at the two children and why they are at home with mom.
I hope this was helpful.
John N. Kitta
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