2020 Income test for Family Tax Benefit Part A

Every year I update the Income Tests for Family Tax Benefit Part A on this blog, I do this for several reasons, the first being that I have an easy way of retrieving the income thresholds should a client ask.
The second is, that historical information on www.humanservices.gov.au is very hard to find, as of the 1st July 2020, the information below will be replaced with the 2021 Income Test Thresholds.

Income $54,677 or less

You may get the maximum rate of FTB Part A if your family’s adjusted taxable income is $54,677 or less.

Income between $54,677 and $98,988

We use an income test if your family’s adjusted taxable income is between $54,677 and $98,988.

This test reduces your FTB Part A by 20 cents for each dollar of income over $54,677. 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 get the base rate of FTB Part A. It depends on the number of children you have and their ages.

Income limits where we’ll pay you the base rate of FTB Part A

We only pay you the base rate of FTB Part A once you reach the income limit. The limit depends on the number of children you have and their ages.

If you have 1 child

Age of childIncome limit
1 child aged 0-12$71,157
1 child aged 13-15 or 16-19 in secondary study$78,457

If you have 2 children

Ages of childrenIncome limit
2 children aged 0-12$87,637
1 child aged 0-12 and 1 child aged 13-15 or 16-19 in secondary study$94,937

If you have 3 or more children, we won’t automatically reduce your payments to the base rate. In most circumstances, you’ll get more than the base rate.

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

Income over $98,988

We use an income test if your family’s adjusted taxable income is over $98,988.

We’ll reduce the rate of FTB Part A by 30 cents for each dollar of income over $98,988. This applies until your payment is nil.

If your family’s income is close to the annual income limit, you may want to consider either:

  • a different payment choice
  • claiming as a lump sum.

This can help you avoid an overpayment. If you claim as a lump sum after the end of the financial year you’ll know your family’s actual income. If you want to claim as a lump sum, you should:

  • check your eligibility for FTB Part A
  • submit a lump sum claim for FTB.

Read more about the time period for submitting lump sum claims and confirming income.

Income limits where we won’t pay FTB Part A

There are income limits where we’ll no longer pay you FTB Part A. This depends on the number of children you have and their ages.

If you have 1 child

Ages of childrenIncome limit
1 child aged 0-15$104,184
1 child aged 16-19 who is a secondary student$104,184

If you have 2 children

Ages of childrenIncome limit
2 children aged 0-15$109,379
1 child aged 0-12 and 1 child aged 16-19 in secondary study$109,379
2 children aged 13-15 or 16-19 in secondary study$111,544

If you have 3 children

Ages of childrenIncome limit
3 children aged 0-12$117,993
2 children aged 0-12 years and 1 child aged 13-15, or 16-19 in secondary study$122,859
1 child aged 0-12 years and 2 children aged 13-15, or 16-19 in secondary study$127,726
3 children aged 13-15 or 16-19 in secondary study$132,593

If you have 4 children

Ages of childrenIncome limit
3 children aged 0-12 years and 1 child aged either:13-15 years16-19 in secondary study$139,041
2 children aged 0-12 and 2 children aged either:13-1516-19 in secondary study$143,908
1child aged 0-12 and 3 children aged either:13-1516-19 in secondary study$148,774

If you have 5 children

Ages of childrenIncome limit
3 children aged 0-12 and 2 children aged 13-15 or 16-19 in secondary study$160,089
2 children aged 0-12 and 3 children aged 13-15 or 16-19 in secondary study$164,956

If you have 6 children

We won’t pay FTB Part A once your income reaches $181,138 if you have 3 children in each age bracket:

  • aged 0-12 years
  • aged 13-19 years

We’ll only pay FTB Part A for children 16-19 years if they’re secondary students.

Income limits are higher if you’re eligible for Rent Assistance or have more than 3 children in either age bracket. They may also be higher if you’re eligible for the Energy Supplement.

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 income test applies to everyone, even if you are getting an income support payment.

If you’re eligible for the supplement, we’ll pay it to you after we balance your payments. We do this after the end of the financial year.

Maintenance Action Test

If you or your partner care for a child from a past relationship, you must take reasonable steps to get child support. You must do this to get 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.

You or your partner should call us on the Families line if either of these apply:

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

If you have a child support assessment, you must apply for an extension to it before the child turns 18. You can do this if you have a child support assessment for a child and both of the following apply:

  • the child is in secondary school
  • the child is turning 18 this calendar year.

If you don’t, your child support assessment will end when they turn 18. This will mean your FTB will reduce to the base rate.

To apply for an extension, please call us on the Child Support general enquiries line.

Read more about child support and your FTB Part A.

Maintenance Income Test

Generally, the more child support you get, or you’re entitled to get, the less FTB Part A we pay you. We use the Maintenance Income Test to work this out.

This test may apply if you meet both of the following:

  • you get more than the base rate of FTB Part A
  • you or your partner get, or you’re entitled to get, child support or spousal maintenance.

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

  • Age Pension
  • Disability Support Pension
  • a Department of Veterans’ Affairs service pension or income support supplement.

Maintenance Income Free Area

You and your partner can get 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. We do this until you reach the base rate of FTB Part A.

The amount of your Maintenance Income Free Area depends on both of the following:

  • whether both you and your partner receive child support
  • the number of child support children in your and your partner’s care.
Relationship statusMaintenance Income Free Area
Single parent or member of a couple, receiving maintenance$1,653.45
Couple, both receiving maintenance$3,306.90

For each additional child in your and your partner’s care, the Maintenance Income Free Area increases by $551.15.

Your FTB Part A rate may include other payments, such as Rent Assistance. We may reduce these payments as a proportion of your total FTB Part A rate. We’ll do this if you get child support and spousal maintenance over the relevant Maintenance Income Free Area.

Maintenance Income Credit

You may be able to access the Maintenance Income Credit if both of these apply:

  • we collect your child support
  • you don’t reach your Maintenance Income Free Area from previous financial years.

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. This will 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 won’t affect her FTB Part A for the financial year.

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

45 Comments

  1. The statement “Income limits are higher if you’re eligible for Rent Assistance” is not all that helpful because no where can I find what those limits are. Any information about that would be useful.

    1. Author

      This is copied directly from Services Australia’s website as it is relevant to the current income tax year. This information is dated by 12 months and should you want the current information please visitServices Australia’s website

  2. hello,

    I was just wondering if the tax supplement for children is still in? it used to be $700 per child though not sure if that is still the case?

    Thanks

  3. Hi there my partner and I have 1 child that is currently 4yrs old. We earnt a combine of $108,000.00. Are we entitled to any family tax payments for the financial year of 2016-2017

    1. Author

      Lisa, The threshold for 1 four year old child is $99,536 so your income is greater so it would be unlikely that you would get any benefit.

  4. Hi, I was wondering what we nay or may not be entiltled to, my husband and I have a combined income of 114000 we a have 16, 13,and 10 year old we didn’t claim anything this year as we were caught out last year with the wrong estimate and ended up paying a sum back, will we be entitled to anything fam tax A or B or education tax benefit. We rent with no investments.

  5. Hi,

    Good website for information and you get replies, terrific.

    My question is I have one child 16yrs of age and I earned $94,000 (taxable income) as the main income and my partner earned $21,000 (part-time). Is the eligible income assessment both wages combined and do we qualify for part A with those figures for 2012-2013?.

    Also are we eligible for part B on those figures?.

    Thanks

    1. Tony, your getting a reply 🙂

      Just based on the information you have given me, for the year ending June 2013 you are over the threshold $101,458 for one 16 year old.

      As for the FTB part B, I can not say for sure as I don’t have that information available. I know that you are close to the threshold with the income of $21k.

      Geoff

  6. Hi..Just wondering if we are entitled for any family tax benefit for 2011-2012. Me and my husband have two kids age 11 and 3. My gross payments are 63191, fbt 17589, laundry allowance 267. My husband has gross payments of 38,381, fbt 16758, reportable employer superannuation contribution of 469.
    Thanks..

    1. Marinel

      Your ATI is approximately $118k which is over the limit to receive any FTB part A.

  7. HOW MUCH FAMILY TAX BENEFIT WILL I RECIVE FOR YEAR ENDING JUNE 2012 JF MY COMBINED INCOME FOR MYSELF & PARTNER WAS 65000.00 FOR 1 CHILD UNDER 12 YEARS OF AGE & 3 UNDER 17 YEARS OF AGE

    1. Anna, You will eligible to receive FTB Part A, but unfortunately as this calculation is based on Centrelinks information and not the ATO’s information I would suggest that you contact Centrelink.

  8. Hi there,
    We have 3 children, age. 9,7,1.. Just received our estimated income of $101,598.00. I’m so confused right now. Does my family tax benefit payment part A still continue or have I reached the threshold. What is my threshold for this amount!! This table has really confused me!!

    1. For 3 kids for the year ended 30th June 2012 the estimated income of $101,598 would make you eligible for both the family tax benefit and the family tax benefit supplement (lump sum paid at the end of the year.

  9. We have a combined taxable income for 2012 of $88,668 and 2 children aged 10 & 12. Are we eligable for anything? Last year we applied with a similar income and got nothing. The tables just confuse me as I thought we may be eligable for something.

    1. If your Adjusted Taxable Income (ATI) is equal to the $88,668 then you should receive some payment. But the ATI is calculated using the following formulae, so other factors may come in to play.

      The ATI is calculated as follows for Centrelink Gross income – Allowable deductions + Total net investment losses + Reportable fringe benefits + Target foreign income + Total tax free pensions and benefits + Reportable superannuation contributions.

  10. Those of us with more kids…pretty sure the centerlink system is designed to be confusing & onerous to put people off applying.

  11. HI I have 2 children under the age of 10. Our combined family income for 2012 year is 110,000. Are we entitled to FTB and if so how much.

    Andrea

  12. hi just wondering if we are still getting the 700 per child ?

  13. are 457 visa holder entitled to family tax benefits? My husband starting working here in Oz only last February 2012 and we have 2 children aged 10 and 8.

    1. Hi, the main reason I have posted the FTB A Income thresholds is to have a reference point. Centrelink in their wisdom only have the current years information on their website. So if you are completing the 2012 tax return and you need to know the income thresholds, Centrelink will only have the information for the financial year ending June 2013.
      If you need answers to your questions, please contact Centrelink, as a Registered Tax Agent I am up to date with the Australian Taxation law but hold the same phobias as you do about Centrelink.

  14. Hi, I lodged my tax return and the CCR was paid within a few days indicating the ato’s been made aware of the lodgement. As a single father on 54k per yr I eaxpected the receive the ftb-a supp with the ftb reg payment today, but didn’t. Have I missed something here?

  15. If I may join this conversation. My husband and I have combined taxable income of $124610. We have 3 kids, 16, 14 and 3. Are we eligible to receive anything?

  16. Hi, I was wondering if the supplement is different for the age of the child? And if so, is it the age of the child at the time of processing the tax return and then the supplement or is it the age at 30 June?

  17. Hi,

    I know we are not eligible for a payment as we are just over the threshhold, but does having 2 kids of the correct age make us ‘eligible’, and therefore able to have received the ETR bonus in June, and subsequently the SchoolKids Bonus next year…. and other Household Assistance Package handouts?

    I seem to rememeber having a statement previously telling us we were eligible, but receiving a payment of $0.00. All very confusing, and then silence this year! We have completed our tax returns…so should Centrelink (or whatever they are now called) do a retrospective calculation?

    Thanks,

    Richard

  18. Hi, we have earned a combined income of $108,000 and have 2 primary aged children. i think we will get some of the supplement but will we be entitled to the Education bonus? Not sure how it all works.

    Thanks

  19. Hi,
    Just wondering whether we are eligible for any FTB last finacial year based on the fact that our combined taxable income was $110373. We have a 13 and 14yo dependants.

  20. Can you please tell me what my taxable income limit is and benefits are, I have 2 children living at home 1 (17 year old, still at school), 1 (18 year old, looking for apprenticeship, just finished preapp at tafe).
    Thanks

    1. Can you pls tell me if I am eligible for FTB A? I have a 14 year old and I earn $106,500

      1. Vicki, the cut off figure for FTB Part A including the supplement for a child between 0 and 17 years is $101,312. Unfortunately you are over the threshold.

  21. Hi, I too am confused! I have 3 children – 10, 6 & 6 mths. My husband and I earnt $119000 for 2011/2012 (adjusted taxable income). Are we entitled to any FTB, supplements and/or Education Tax Refund? Also is my 6 nth old baby included, being that he has only been with us for half of the financial year? If I am entitled do I need to make a claim?

  22. Hi – I have a 19 year old son, at Uni this year, and shared care of my daughter who will turn 13 in march 2013. I will pay child support of $6,800 this fin year (2012/13). At what $figure would FT Benefit A cutout for 2012/13? I believe I need to include my ex-partners income as well when determing this. Indicative fiures for this fin year are $110k for me and $10k for my ex partner.

    Many thanks

  23. I am the sole income earner, I earned 40k for the financial year 2012 have 3 kids, my husband does not work, I have lodged my tax return and have rcecived my refund, will I be entitled to receive the family supplement? Sorry this is new to me! Please let me know! Cheers!

    1. If you have been receiving FTB throughout the year then any extra payments and reconciliations will be made after the returns are lodged. You may need to contact Centrelink as they may sill be waiting for you husband to lodge the return.

  24. I have 2 children age 13 and 10 and my adjusted taxable income year 2011-2012 was $ 102,382, do I entitled to anything ?
    The school kids bonus, family tax part A and the supplement ?

  25. Hi All,

    Very confused – if we have a 3 and 4 year old – and after tax we earnt $102,000 – are we entitled to anything?

    1. Tanya, the payments are calculated on your Adjusted Taxable Income, not your after tax income of $102,000.

      The ATI is calculated as follows for Centrelink Gross income – Allowable deductions + Total net investment losses + Reportable fringe benefits + Target foreign income + Total tax free pensions and benefits + Reportable superannuation contributions.

  26. How is the FTB A supplement calculated? We have not received any FTB A during the year, but ended up under the $107,262 cut off point.
    Do we received all of the supplements for our children?

    1. Nick, once the relevant tax returns are completed and lodged, Centrelink will process your payments in relation to your adjusted taxable income (ATI).

  27. The first table you are referring to includes eligibility to receive the FTB A Supplement Payment of $726.35 per child. Based on the income you have stated you are eligible for the Supplement Payments, but not the fortnightly Family Tax Benefit A payments which diminishes to $0 per week once you earn over $107,262 with 2 kids under 7.

    1. Katherine

      To claim for the FTB A Supplement Payment of $726.35 per child that you refer to, do you need to submit a different claim or do you just put in one online claim for FTB A and then let them decide which one you are eligible for?

      1. That is how it works, put in a single claim and and your payments will be calculated on your income.

  28. This is confusing.Why the 2 tables?? FTB A until 30th June 2012 – one figure is 112,104 and the other figure is 107,262 if you have 2 children year 2011-2012. Which is it ? as we have earnt 109, 800?

  29. Can you please tell me what is my taxable income limit if I have 2 dependants at the age of 14 and 17?

    I also have a dependent at the age of 20 but I think she will make more than the allowable $13,000(?) from her two part time jobs? She is working her way through uni.

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