Raising a family is both a rewarding and demanding task, especially when it comes to managing the financial responsibilities that come with it. To assist families in Australia, the government provides the Family Tax Benefit (FTB), a two-part payment designed to ease the financial burden of raising children.
In 2025, eligible families can receive up to $6,442.25 annually through this benefit. This guide will help you understand the eligibility criteria, payment structures, application process, and key dates related to the Family Tax Benefit.
Overview of the Family Tax Benefit (FTB) in Australia
The Family Tax Benefit (FTB) in Australia provides essential financial support to families, helping cover the various costs of raising children. Depending on your family situation, you could receive up to $6,442.25 per year.
It’s important to understand the eligibility requirements, income limits, and how the application process works in order to receive the maximum benefits. Whether you’re a single parent, part-time caregiver, or a family with a low income, the FTB offers tailored financial aid based on your unique situation.
Key Points to Remember:
- The FTB Part A is a per-child payment that helps with the daily costs of raising children.
- FTB Part B offers additional financial assistance to single-parent families and those with one primary earner.
- Income estimates and keeping track of changes to eligibility criteria or rates are crucial to ensure you receive the correct payment amount.
- You can choose to receive payments either fortnightly or as a lump sum at the end of the financial year.
Detailed Breakdown of FTB
| Aspect | Details |
|---|---|
| FTB Part A | Helps with childcare costs; rates vary based on child’s age and income. |
| FTB Part B | Extra support for single-parent families or families with one income. |
| Maximum Annual Payment | Up to $6,442.25 per child for FTB Part A. |
| Income Thresholds | Payments decrease as family income exceeds $65,189 annually. |
| Residency Requirements | Both claimant and child must meet Australian residency criteria. |
| Application Process | Apply via myGov or in person at a Services Australia office. |
| Payment Dates | Fortnightly payments or lump sum after the financial year ends. |
For further information, visit the Services Australia website.
Family Tax Benefit Part A: A Closer Look
FTB Part A is specifically designed to assist families with the everyday costs of raising children. The amount you receive depends on your family’s income and the age of your children.
Payment Rates for 2025
- Children aged 0-12 years: Up to $222.04 per fortnight.
- Children aged 13-15 years: Up to $288.82 per fortnight.
- Children aged 16-19 years (studying): Up to $288.82 per fortnight.
Annual Supplement
Families may also be eligible for an FTB Part A supplement of up to $916.15 per child, which is paid after the end of the financial year, once your income is confirmed.
Income Thresholds
The income free area for FTB Part A is $65,189 per year. If your family earns more than this amount, the payments will gradually decrease.
Family Tax Benefit Part B: Extra Support for Single-Parent Families
FTB Part B offers additional assistance to single-parent families or families with a single main income earner. The payment amount is based on the age of your youngest child.
Payment Rates for 2025
- Youngest child under 5 years: Up to $4,923.85 per year.
- Youngest child 5-13 years: Up to $3,434.65 per year.
Annual Supplement
Eligible families can also receive an FTB Part B supplement of up to $448.95 per family, payable after the end of the financial year once income has been confirmed.
Income Limits
To qualify for FTB Part B:
- The primary earner’s income must be $117,194 or less per year.
- The secondary earner’s income can affect the payment amount, with reductions starting if they earn above $6,789 per year.
Eligibility Criteria for Family Tax Benefit
To qualify for both FTB Part A and FTB Part B, the following criteria must be met:
- You must have a dependent child or a full-time secondary student aged 16 to 19 who isn’t receiving certain government payments (e.g., Youth Allowance).
- You need to care for the child for at least 35% of the time.
- Both the claimant and child must meet Australian residency requirements.
Family Tax Benefit Application Process
How to Apply
Applying for the Family Tax Benefit is a simple process, which can be done in the following ways:
- Online Application: The fastest way to apply is via your myGov account linked to Centrelink.
- In-Person Application: Alternatively, you can visit a local Services Australia office for help with your application.
Required Documents
Before applying, ensure you have the following documents ready:
- Proof of identity (e.g., passport, driver’s license).
- Tax File Number (TFN).
- Birth certificates or school enrollment records for your children.
Payment Dates and Balancing
Payments can be received in the following ways:
- Fortnightly: Regular payments throughout the year.
- Lump Sum: After the financial year ends, once you have lodged your tax return and confirmed your income.
The Australian financial year runs from July 1 to June 30. After the year ends, Services Australia will balance your payments, ensuring you received the correct amount. This balancing process typically starts once you’ve lodged your tax return.
Additional Benefits and Considerations
Beyond the regular payments, families receiving the Family Tax Benefit may qualify for additional assistance:
Rent Assistance
If you’re renting privately and receiving FTB Part A, you may qualify for Rent Assistance, which provides extra support for rental expenses.
Health Care Card
Families receiving the maximum rate of FTB Part A are typically eligible for a Health Care Card, which provides access to discounted prescription medications and other health-related concessions.
Immunization and Health Check Requirements
To maintain eligibility for FTB Part A, children must meet immunization requirements. Additionally, in some states, a health check is required when your child turns four.
The $6,442.25 Australia Family Tax Benefit in 2025 provides vital financial assistance to families raising children. By understanding the eligibility criteria, payment structures, and the application process, you can ensure that your family benefits from the support available.
Whether you are a single parent or a family with one income earner, the FTB Part A and Part B are designed to accommodate different family situations and provide tailored financial relief.
FAQs
What is the maximum annual payment for FTB Part A in 2025?
The maximum payment for FTB Part A is up to $6,442.25 per child per year.
How do I apply for the Family Tax Benefit?
You can apply online via your myGov account or in person at a Services Australia office.
Are there any additional benefits with the Family Tax Benefit?
Yes, families may be eligible for Rent Assistance and a Health Care Card.
What is the income threshold for FTB Part A?
The income free area for FTB Part A is $65,189 per year. Payments are reduced if your income exceeds this threshold.