In 2024, Australia’s Family Tax Benefit (FTB) continues to support eligible families with financial assistance, helping to ease the cost of raising children. This benefit is split into two parts: Part A and Part B. Each part is designed to help different types of families based on their circumstances.
Whether you’re a new parent or a seasoned one, understanding how to apply for, qualify for, and benefit from the Family Tax Benefit is crucial for making the most of these government payments.
What Is Family Tax Benefit (FTB)?
The Family Tax Benefit is a government payment designed to help families with the cost of raising children. It’s available to eligible families who are responsible for children under 19 years of age (or up to 25 if the child is studying full-time).
There are two main components of the FTB:
- FTB Part A: This part helps families with the cost of raising children, regardless of the family’s income. The amount of Part A you can receive depends on your income and the number of children you have.
- FTB Part B: This payment is intended to assist single-parent families or families with one income, helping them to manage the financial pressures of raising children.
FTB Part A in 2024
FTB Part A is designed to provide financial assistance based on your family’s income and the number of children you have. The more children you have, the higher the payment can be. The benefit is paid to families regardless of whether they are single or partnered, but the amount you receive depends on your annual income.
Eligibility for FTB Part A
To qualify for FTB Part A in 2024, the following criteria must be met:
- You must be the primary carer of at least one child under 19 years old (or 25 years old if they are a full-time student).
- Your family income must be under a certain threshold, though families with higher incomes may still be eligible for a reduced amount.
- You must meet Australian residency requirements.
FTB Part A Payment Rates
The amount of FTB Part A you can receive depends on several factors:
- Your family income: The lower your income, the higher the payment.
- The number of children you have: Larger families generally receive higher payments.
In 2024, the maximum rates for FTB Part A are as follows (subject to individual circumstances):
- First child: Up to $191.64 per fortnight for families earning below the income threshold.
- Additional children: An extra $151.30 per fortnight for each subsequent child.
There are also supplementary payments available, including the FTB Part A supplement which can be paid at the end of the financial year.
FTB Part B in 2024
FTB Part B is designed specifically for single-parent families and couples with one primary income. It offers additional assistance to families where one parent stays at home to care for the children, or where one parent works less than the other.
Eligibility for FTB Part B
To be eligible for FTB Part B, you must:
- Be the primary carer of at least one child under 13 years of age, or a child who has a disability.
- Have a lower-income partner (if you’re a couple) earning up to a set amount.
- Be an Australian resident.
- Meet other general eligibility criteria for FTB.
FTB Part B Payment Rates
The payment rate for FTB Part B is based on the income of the lower-earning parent, with the maximum rate paid if the lower income is below the threshold. For families where the primary carer has a lower income, the maximum amount for FTB Part B can be up to $179.80 per fortnight for each eligible child under 13 years old.
It’s important to note that FTB Part B stops when the child turns 13, although if the child has a disability, the payment can continue beyond that age.
How to Apply for Family Tax Benefit Part A & B
Applying for FTB Part A and FTB Part B is a simple process but requires that you meet all eligibility criteria. Here’s how to apply:
Step 1: Check Your Eligibility
Before applying, check the official Services Australia website or use their online tools to determine if you’re eligible for FTB Part A and Part B. Be sure to confirm the income thresholds, as they may vary from year to year.
Step 2: Gather Your Documents
To apply, you will need to provide certain information, including:
- Your tax file number (TFN)
- Proof of your residency status in Australia
- Details of your children, including their birth certificates and school enrollment records
- Income information (such as payslips and tax returns)
- Bank account details for payment
Step 3: Apply Online
Once you have your documents ready, apply online through your myGov account, linked to Services Australia. If you prefer, you can also apply by calling Services Australia or visiting a local office.
Step 4: Wait for Processing
After your application is submitted, Services Australia will assess your eligibility. If you are eligible, you will receive your payments on a regular basis (usually fortnightly).
Important Dates to Remember
- Tax Year: Payments are generally calculated based on your income tax return, so make sure to lodge your tax return promptly to avoid delays.
- Claiming Deadlines: If you haven’t applied for FTB yet, be sure to submit your application as soon as possible to ensure you receive the maximum benefit.
The Family Tax Benefit (FTB) provides vital financial support to families raising children in Australia, and with Part A and Part B, there are options tailored to different family structures. Whether you are a single parent or a couple with children, this benefit can help ease the financial burden and improve your quality of life.
Be sure to check your eligibility, gather the necessary documentation, and apply in time to take full advantage of the payments in 2024. With these extra funds, you can better manage household expenses and ensure your children get the best possible start in life.
