Family Tax Benefit

How your income affects FTB Part A

How much Family Tax Benefit Part A you receive depends on your family’s income.

We use an income test to work out how much FTB Part A you’ll receive. The Maintenance Income Test may also apply.

There is also an income test for FTB Part A supplement.

Income $53,728 or less

You may receive the maximum rate of FTB Part A if:

Income between $53,728 and $94,316

We use an income test if your family's adjusted taxable income is between $53,728 and $94,316.

This test reduces your FTB Part A by 20 cents for each dollar of income over $53,728 . Your payment will stop reducing when it reaches the base rate of FTB Part A.

In some circumstances, there’s an annual income limit to receive the base rate of FTB Part A. It depends on the number of children you have and their ages.

Number of children you have No child
13-15 years or secondary student 16-19 years
1 child
13-15 years or secondary student 16-19 years
No child 0-12 years n/a $77,490
1 child 0-12 years $70,190 $93,951
2 children 0-12 years $86,651 n/a

Where n/a is shown, the base rate does not usually apply.

Income limits are higher if you’re eligible for Rent Assistance.

Income over $94,316

If your family’s adjusted taxable income is over $94,316, we use 1 of 2 tests. We’ll apply the test that gives you a higher rate.

The first test reduces the maximum rate of FTB Part A by 20 cents for each dollar of income over $53,728. This applies until your payment is nil.

The second test reduces the base rate of FTB Part A by 30 cents for each dollar of income you earn over $94,316. This applies until your payment is nil.

If your family’s income is close to the annual income limit, check your eligibility after the end of the financial year once you know your family’s actual income. Read more about the time period for submitting lump sum claims and confirming income.

The annual income limit to receive FTB Part A depends on the number of children you have and their ages.

Number of children you have No child
13-15 years or secondary student 16-19 years
1 child
13-15 years or secondary student 16-19 years
2 children
13-15 years or secondary students 16-19 years
3 children
13-15 years or secondary students 16-19 years
No child 0-12 years n/a $99,536 $116,910 $148,501
1 child 0-12 years $99,536 $109,610 $141,201 $172,791
2 children 0-12 years $104,755 $133,901 $165,491 $197,082
3 children 0-12 years $126,601 $158,191 $189,782 $221,373

Income limits are higher if you’re eligible for Rent Assistance or have more than 3 children.

FTB Part A supplement income test

To be eligible for the supplement, your family’s adjusted taxable income must be $80,000 or less.

The FTB Part A supplement income test also applies if you’re receiving an income support payment.

If eligible, we’ll pay the FTB Part A supplement to you after we balance your payments at the end of the financial year.

Maintenance Action Test

If you or your partner have a child from a previous relationship in your care, you need to take reasonable steps to obtain child support to receive more than the base rate of FTB Part A.

We call this the Maintenance Action Test. You can meet this test by applying for a child support assessment. If you or your partner don’t do this, you may only receive the base rate of FTB Part A.

If you have a child in secondary school turning 18 this year, contact us to extend your child support assessment to the end of the school year. You must apply before your child turns 18. Otherwise, your child support assessment will end when your child turns 18 and your FTB will reduce to the base rate.

You or your partner should call us if:

  • there is anything that makes it difficult for you to apply for child support from the other parent, or
  • you’re unsure of what to do.

Read more about child support and your FTB Part A.

Maintenance Income Test

Generally the more child support you receive, or are entitled to receive, the less FTB Part A you can receive. We use the Maintenance Income Test to work this out.

This test may apply if:

  • you receive more than the base rate of FTB Part A, and
  • you or your partner receives, or are entitled to receive, child support or spousal maintenance

You may be exempt from this test if you or your partner are permanently blind and receive either:

Maintenance Income Free Area

You and your partner can receive a certain amount of child support and spousal maintenance before it affects your FTB. We call this the Maintenance Income Free Area. We reduce your FTB by 50 cents for every dollar of child support and spousal maintenance over this amount until you reach the base rate of FTB Part A.

Your FTB Part A rate may include other payments, such as Rent Assistance. We may also reduce these payments as a proportion of your total FTB Part A rate.

These are the Maintenance Income Free Areas per year.

Status Child support received per year
Single parent or one member of a couple receiving maintenance $1,620.60 for the first child

Couple, both receiving maintenance

$3,241.20
For each additional child add $540.20

Maintenance Income Credit

If we collect your child support and you don’t use all of your Maintenance Income Free Area from previous financial years, you may be able to access the Maintenance Income Credit.

The Maintenance Income Credit allows you to carry over any unused Maintenance Income Free Area from previous financial years. If you get arrears of child support in a later financial year, we’ll use the available credit to reduce the impact on your FTB Part A. We’ll do this when we balance your family assistance payments.

You don’t need to ask us to use your credit. We automatically calculate and apply it.

Example

Carrie has a $500 Maintenance Income Credit from previous financial years. She gets a $400 arrears payment of child support during the next financial year.

When we balance Carrie's FTB payments, we use the $500 credit to offset the $400 of arrears. As a result, the $400 arrears will not affect her FTB Part A for the financial year.

Carrie still has $100 of Maintenance Income Credit to use later.

Page last updated: 27 September 2018