Raising a family in Australia can be expensive, and that’s where the Family Tax Benefit (FTB) comes in. The Australian Government provides financial assistance to eligible families through this benefit, helping them cover the costs of raising children. In 2025, eligible families can receive up to $6,442.25 per child under Family Tax Benefit Part A. If you have children and want to know if you qualify or how to claim, this guide has everything you need to know.
Australia Family Tax Benefit:
| Feature | Details |
|---|---|
| Maximum FTB Part A Payment (2025) | $6,442.25 per child per year |
| Eligibility Age for Children | 0–15 years (or 16–19 if a full-time secondary student) |
| Income Threshold (Before Reduction Applies) | $65,189 per year |
| Residency Requirement | Must meet Australian residency conditions |
| Application Methods | Online via myGov, phone, or in-person at a Centrelink office |
| Official Website for Application | Services Australia |
The Family Tax Benefit is a crucial financial support for Australian families in 2025. If you have children and meet the eligibility requirements, you can receive up to $6,442.25 per child annually to help with living costs. Applying is simple via myGov, phone, or in-person, and staying informed about income thresholds ensures you receive the correct amount. Keeping your income and care details updated with Centrelink is essential for smooth processing.
For the latest updates and to apply, visit Services Australia.
What Is the Family Tax Benefit (FTB)?
The Family Tax Benefit (FTB) is a financial support payment from the Australian Government designed to help families with the cost of raising children. It consists of two parts:
- FTB Part A – Paid per child and based on family income.
- FTB Part B – Available to single parents or families with one main income.
In 2025, the maximum annual rate for FTB Part A is $6,442.25 per child, while FTB Part B can provide up to $4,526.90 per year for eligible families. These payments ensure families can afford essential expenses such as education, healthcare, and childcare, providing significant financial relief.
Who Can Qualify for the Family Tax Benefit?
To receive the Family Tax Benefit, you must meet specific eligibility criteria, including:
1. You Must Have an Eligible Dependent Child
Your child must be:
- 0–15 years old, or
- 16–19 years old if they are a full-time secondary student and not receiving payments like Youth Allowance.
Additionally, the child must be in your care, and you must be responsible for their daily welfare.
2. You Must Provide at Least 35% of the Child’s Care
If you share custody, you can still receive FTB, but the payment is split based on the percentage of care you provide. The calculation considers factors such as how many nights the child stays with you and your level of financial support.
3. You Must Meet Income Limits
FTB payments reduce as your family income increases. In 2025, the base threshold is $65,189 per year. If your income exceeds this, the payment will be reduced gradually.
For example:
- Families earning under $65,189 will receive the full FTB Part A rate.
- Families earning above this amount will have their payment reduced by 20 cents per dollar over the threshold.
- If income reaches a certain high level, payments may stop entirely.
It is crucial to keep Centrelink informed of your earnings to avoid unexpected reductions or overpayments.
4. You Must Meet Residency Requirements
To be eligible, you must be:
- An Australian citizen, or
- A permanent resident, or
- A holder of a specific visa that qualifies for family assistance.
If you are new to Australia, you may have to wait for up to four years before receiving FTB, unless you qualify for an exemption.
How to Apply for the Family Tax Benefit in 2025
1. Online Through myGov
- Step 1: Log in or create a myGov account.
- Step 2: Link your account to Centrelink.
- Step 3: Navigate to ‘Make a Claim’ under the Families section.
- Step 4: Submit all required documents and information.
- Step 5: Wait for processing and approval.
2. By Phone
If you cannot apply online, call the Centrelink Families Line at 136 150 (available Monday to Friday, 8 am to 8 pm).
3. In-Person Application
Visit a Centrelink service centre with your identification and required documents.
4. Required Documents
Ensure you have:
- Your Tax File Number (TFN)
- Proof of identity (e.g., passport, driver’s license)
- Income details for you and your partner
- Bank account details
How Are Payments Made?
- Payments are made fortnightly or can be claimed at the end of the financial year as a lump sum.
- FTB is tax-free, meaning it will not be included in your taxable income.
- Payments are automatically deposited into your nominated bank account.
Additional Family Benefits You May Qualify For
Apart from FTB, you may also be eligible for:
- Child Care Subsidy (CCS): Helps reduce the cost of childcare.
- Parenting Payment: Financial assistance for low-income parents.
- Rent Assistance: Additional payment for eligible renters.
- Newborn Upfront Payment & Newborn Supplement: One-off payment for new parents.
- Energy Supplement: Helps cover utility costs.
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Frequently Asked Questions (FAQs)
1. Can I Receive Both FTB Part A and Part B?
Yes! If you meet the criteria for both, you can receive both Part A and Part B payments.
2. What Happens If My Income Increases?
If your income exceeds the threshold, your payment will be reduced. If you underestimate your income, you may have to repay any overpaid amounts.
3. How Long Does It Take for Centrelink to Process My Claim?
Processing times vary, but most claims are finalized within 21 days. In some cases, additional verification may be required, causing delays.
4. What If My Family Situation Changes?
If you have a new baby, start a new job, or change your care arrangements, update Centrelink immediately to avoid overpayments or missed payments.
