Family Tax Part B Rate Calculator

Estimate your Family Tax Benefit Part B rate based on your family situation and income details

What is Family Tax Benefit Part B?

Family Tax Benefit (FTB) Part B is an Australian government payment designed to help single parents and families with one main income. This benefit provides additional financial support to assist with the costs of raising children, particularly for families where one parent stays at home or works reduced hours to care for children.

Key Features of FTB Part B:

• Primarily targeted at single parent families and couple families with one main income earner
• Paid per family rather than per child (unlike Part A)
• Income test applies to the lower income earner in couple families
• Maximum rate depends on the age of the youngest child
• Supplement payment available after the end of the financial year

Eligibility Criteria for FTB Part B

To qualify for Family Tax Benefit Part B, you must meet several eligibility requirements:

1. Residence Requirements

You must be an Australian resident or hold an eligible visa. Generally, you need to be living in Australia and meet the residence requirements that apply to most social security payments.

2. Care Requirements

You must be responsible for the daily care of a child who is:

• Under 16 years of age, or
• 16-18 years old and in full-time secondary study, or
• 19 years or older and in approved study

The child must be in your care for at least 35% of the time to qualify for any payment.

3. Income Test

The income test for FTB Part B depends on your family situation:

• Single parents/grandparent carers: Your adjusted taxable income must be $100,000 or less
• Couple families: The lower income earner’s adjusted taxable income must be $100,000 or less

The benefit reduces by 20 cents for each dollar over $100,000 until it reaches zero.

4. Age Requirements

The amount you receive depends on the age of your youngest child:

Age of Youngest Child	Maximum Rate (per fortnight)	Annual Supplement
Under 5 years	$170.86	$375.70
5-18 years	$123.34	$375.70

How FTB Part B is Calculated

The calculation of your Family Tax Benefit Part B involves several factors:

1. Base Rate Determination

The base rate depends primarily on:

• The age of your youngest child
• Whether you’re a single parent or part of a couple
• Your shared care percentage

2. Income Test Application

The income test reduces your payment if your income exceeds certain thresholds:

• Primary earner threshold: $100,000 (payment reduces by 20c for each $1 over)
• Secondary earner threshold: $5,728 (payment reduces by 20c for each $1 over)

3. Shared Care Adjustments

If you share care of your child with another person, your payment will be adjusted based on your percentage of care:

Percentage of Care	Payment Percentage
35-49%	Relevant percentage of the standard rate
50-64%	50% of the standard rate
65-84%	65% of the standard rate
85-100%	Full standard rate

How to Claim FTB Part B

Claiming Family Tax Benefit Part B is a straightforward process that can be done online through your myGov account linked to Centrelink.

Step-by-Step Claim Process:

1. Create or log in to myGov: If you don’t have one, create a myGov account and link it to Centrelink
2. Complete the claim form: Provide details about your family situation, income, and children
3. Submit supporting documents: You may need to provide birth certificates, income details, and care arrangements
4. Review and submit: Double-check all information before submitting your claim
5. Receive confirmation: You’ll get a receipt and reference number for your claim
6. Wait for assessment: Processing times vary but are typically within 21 days

Required Documentation

When claiming FTB Part B, you may need to provide:

• Your child’s birth certificate or passport
• Proof of income (PAYG summaries, tax returns, etc.)
• Details of any child support arrangements
• Proof of care arrangements if sharing custody
• Bank account details for payment

FTB Part B vs FTB Part A: Key Differences

While both payments are part of the Family Tax Benefit system, they serve different purposes and have different eligibility criteria.

Feature	FTB Part A	FTB Part B
Payment basis	Per child	Per family
Primary recipients	All families with children	Single parents and single-income families
Income test	Family income tested	Primary earner income tested
Maximum rate (under 13)	Up to $203.66 per fortnight	Up to $170.86 per fortnight
Supplement	Up to $817.60 per child	Up to $375.70 per family
Age limit	Up to 19 (if in study)	Up to 18 (if in study)

Common Mistakes to Avoid

When applying for or receiving FTB Part B, be aware of these common pitfalls:

1. Incorrect Income Reporting

Failing to accurately report your income can lead to overpayments that you’ll need to repay. Always:

• Update your income estimate when your situation changes
• Include all taxable income sources
• Report income from investments and side businesses

2. Missing Deadlines

Important deadlines to remember:

• Lodging your tax return: Required to finalize your payments
• Updating income estimates: Should be done when your income changes by more than 10%
• Reporting changes: Must be done within 14 days of any change in circumstances

3. Not Understanding Shared Care Rules

If you share care of your child, it’s crucial to:

• Accurately report your percentage of care
• Update Centrelink if care arrangements change
• Understand how shared care affects your payment rate

Recent Changes to FTB Part B

The Australian government periodically reviews and updates family assistance payments. Recent changes include:

2023-24 Financial Year Updates

• Indexation: Payment rates increased by 3.7% in line with CPI
• Income test thresholds: Adjusted slightly to account for inflation
• Simplified reporting: New online tools for easier income reporting

Proposed Future Changes

The government has indicated potential future reforms may include:

• Further increases to payment rates to match cost of living
• Simplification of the income test process
• Expanded eligibility for certain family types

Maximizing Your FTB Part B Entitlements

To ensure you receive your full entitlement, consider these strategies:

1. Accurate Income Estimates

Provide the most accurate income estimate possible to avoid overpayments or underpayments. If your income changes during the year, update your estimate promptly.

2. Timely Reporting of Changes

Report any changes in your circumstances within 14 days, including:

• Changes in your income
• Changes in your child’s care arrangements
• Changes in your relationship status
• Your child starting or finishing school

3. Understanding Supplements

The FTB Part B supplement is paid after the end of the financial year when:

• You’ve lodged your tax return (or advised you don’t need to lodge)
• Your income is confirmed to be within eligibility limits
• You’ve received FTB Part B for at least some of the year

4. Combining with Other Payments

FTB Part B can be received alongside other payments such as:

• Parenting Payment
• JobSeeker Payment
• Child Care Subsidy
• Rent Assistance

However, be aware that some payments may affect your eligibility or payment rate for FTB Part B.

Frequently Asked Questions

How often is FTB Part B paid?

FTB Part B is typically paid fortnightly, though you can choose to receive it as a lump sum after the end of the financial year if you prefer.

Can I receive FTB Part B if I’m on Parenting Payment?

Yes, you can receive both payments simultaneously, though your Parenting Payment may affect your FTB Part B rate depending on your income.

What happens if I earn more than the income limit?

If your income exceeds $100,000, your FTB Part B payment will reduce by 20 cents for each dollar over the limit until it reaches zero. The exact cutoff point depends on your family situation.

Do I need to reapply every year?

No, your claim will automatically continue each year unless your circumstances change significantly. However, you must lodge your tax return each year to finalize your payments.

Can grandparents receive FTB Part B?

Yes, grandparents who are the primary carers of their grandchildren may be eligible for FTB Part B, provided they meet all other eligibility criteria.

Additional Resources

For the most accurate and up-to-date information about Family Tax Benefit Part B, consult these official resources:

• Services Australia – Family Tax Benefit Part B
• Australian Taxation Office – Family Assistance Payments
• Department of Social Services – Families and Children

For personalized advice about your specific situation, consider contacting a financial advisor or the Centrelink Families line on 136 150.