Raising a family in Australia comes with its financial challenges. To alleviate some of these burdens, the Australian Government offers the Family Tax Benefit (FTB), a two-part payment system designed to assist families with the cost of raising children.
In 2025, eligible families could receive up to $6,442.25 annually through this benefit. This guide provides comprehensive information on eligibility criteria, payment structures, application processes, and important dates.
Understanding the Family Tax Benefit
The Family Tax Benefit is divided into two parts:
- FTB Part A: Provides financial assistance for each child, with the amount depending on the family’s income and the age of the children.
- FTB Part B: Offers additional support to single-parent families and families with one main income earner.
FTB Part A: Payment Rates and Eligibility
Payment Rates for 2025:
| Child’s Age | Maximum Fortnightly Payment | Annual Total |
|---|---|---|
| 0–12 years | $222.04 | $5,773.04 |
| 13–15 years | $288.82 | $7,509.32 |
| 16–19 years (in full-time study) | $288.82 | $7,509.32 |
Note: These amounts include the FTB Part A supplement of up to $916.15 per child, payable after the end of the financial year upon income confirmation.
Eligibility Criteria:
- Must have a dependent child aged 0–15 years, or 16–19 years if in full-time secondary study.
- Care for the child at least 35% of the time.
- Meet residency requirements.
- Satisfy income tests:
- Maximum rate if family income is $65,189 or less.
- Payments reduce by 20 cents for each dollar over $65,189, ceasing at higher income levels depending on the number and age of children.
FTB Part B: Payment Rates and Eligibility
Payment Rates for 2025:
| Youngest Child’s Age | Maximum Annual Payment |
|---|---|
| Under 5 years | $4,923.85 |
| 5–13 years | $3,434.65 |
Note: Includes the FTB Part B supplement of up to $448.95 per family, payable after the end of the financial year upon income confirmation.
Eligibility Criteria:
- Single parents, non-parent carers, or grandparent carers of a dependent child under 18 years.
- Couple families with one main income earner and a child under 13 years.
- Care for the child at least 35% of the time.
- Meet residency requirements.
- Primary earner’s income must be $117,194 or less annually.
Application Process
How to Apply:
- Online: Log in to your myGov account linked to Centrelink.
- In-Person: Visit a local Services Australia service centre.
Required Documents:
- 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 Methods
Payment Options:
- Fortnightly: Regular payments throughout the year.
- Lump Sum: After the financial year ends, upon lodging your tax return and confirming your income.
Note: The Australian financial year runs from July 1 to June 30. After this period, Services Australia will balance your payments to ensure you received the correct amount.
Additional Benefits
Families receiving the Family Tax Benefit may also be eligible for:
- Rent Assistance: Additional support for eligible renters.
- Health Care Card: Access to reduced-cost prescription medicines and other concessions.
- Immunization and Health Check Requirements: To ensure continued eligibility for FTB Part A, children must meet immunization requirements.
The $6,442.25 Family Tax Benefit in 2025 offers significant financial support to Australian families.
By understanding the eligibility criteria, payment rates, and application process, you can maximize your entitlements and ease the financial pressures of raising children.
Stay informed and proactive to ensure you receive the full benefits available to your family.
FAQs
Can I receive both FTB Part A and Part B?
Yes, if you meet the eligibility criteria for both parts, you can receive both payments.
What happens if my income changes during the year?
It’s important to update your income estimate with Services Australia to ensure accurate payment amounts and avoid overpayments or debate.
Is the Family Tax Benefit considered taxable income?
No, the Family Tax Benefit is not taxable and does not need to be declared on your tax return.