Family Tax Benefit (FTB) Explained: Part A, Part B & How Much You Get

Worth knowing: Family Tax Benefit (FTB) is a payment from the Australian Government to help families with the cost of raising children. It's administered by Services Australia (Centrelink) and is paid to the primary carer of children aged 0 to 15 (or 16 to 19 if in full-time secondary study).

FTB has two parts: Part A and Part B. Part A is paid per child and is the main payment, providing support based on the number and ages of your children and your family income. Part B provides additional support to single-parent families and families where one parent earns significantly less than the other — it's designed to help families where one parent stays at home or works part-time to care for children.

Most families receive FTB as a fortnightly payment directly into their bank account, though you can also receive it as an annual lump sum through your tax return.

FTB Part A maximum rates for 2025-26 are approximately: $222 per fortnight per child aged 0-12, and $289 per fortnight per child aged 13-15 (or 16-19 in secondary study). These rates include the FTB Part A Supplement of approximately $916 per child per year, which is paid after you lodge your tax return and reconciliation is completed.

The income test has two stages. The first income test reduces the maximum rate by 20 cents per dollar for family income above approximately $62,634. The second income test applies a base rate of approximately $68 per fortnight per child, which is reduced by 30 cents per dollar for family income above approximately $111,398.

Bottom line? The base rate cuts out entirely at approximately $137,000 for one child, with the threshold increasing by approximately $25,000 per additional child. This means a family with one child loses all FTB Part A at approximately $137,000 combined income, while a family with three children might still receive it at $187,000.

FTB Part B provides additional support for single-parent families and couple families where the primary earner's income is below $117,194 per year. The maximum fortnightly rates are approximately: $188 per fortnight for the youngest child aged 0-4, and $131 per fortnight for the youngest child aged 5-13 (or 14-18 in secondary study).

For couple families, FTB Part B is income-tested on the lower earner's income — the payment reduces by 20 cents per dollar for the lower earner's income above approximately $6,497 per year. This means if the secondary earner works more than a few hours per week, FTB Part B quickly reduces to zero. For single parents, there's no income test on FTB Part B up to a family income of approximately $117,194.

The FTB Part B Supplement of approximately $448 per family per year is paid after tax return lodgement and reconciliation.

Claim FTB through your myGov account linked to Centrelink. You will need your Tax File Number and your partner's TFN (if partnered), birth certificates or proof of birth for your children, income estimates for the current financial year, and bank account details.

So what does this actually mean? You must lodge your tax return each year (and your partner must lodge theirs) for FTB reconciliation — this is where the ATO compares your estimated income (used to calculate fortnightly payments) with your actual income. If your actual income was higher than estimated, you may have been overpaid and will owe money back. If your income was lower, you may receive a top-up.

Common mistakes include: not updating your income estimate when you get a pay rise or start a new job (leading to overpayment and debt), not reporting changes in circumstances (new partner, child leaving care), and not lodging your tax return by the deadline (resulting in FTB supplement being withheld).

In addition to FTB, families may be eligible for other government payments. The Parental Leave Pay scheme provides up to 20 weeks of paid leave at the national minimum wage (approximately $915 per week before tax) for eligible parents of newborns or newly adopted children.

Dad and Partner Pay provides two weeks of pay at the minimum wage. The Child Care Subsidy (CCS) covers 50% to 90% of childcare fees depending on family income, with families earning below $80,000 receiving the maximum 90% subsidy. The Newborn Supplement of approximately $620 for the first child (or $310 for subsequent children) is available for families not claiming Parental Leave Pay.

Immunisation Allowance payments may also be available. These payments can be combined with FTB to provide significant government support for families — a family earning $80,000 with two children in childcare could receive over $20,000 per year in combined government family support.