FTB for Grandparent Carers: Complete Guide to Kinship Care Benefits

Across Australia, thousands of grandparents and other relatives have stepped in to raise grandchildren when parents are unable to do so. Whether due to illness, substance abuse, incarceration, or other circumstances, these kinship carers provide vital stability for vulnerable children. Understanding the Family Tax Benefit entitlements available can help ease the financial burden of this important role.

Eligibility for Grandparent Carers

Grandparents and other relatives caring for children can access Family Tax Benefit in the same way as biological parents, provided they meet the standard eligibility criteria. The key requirement is that you must have the child in your care for at least 35% of the time. This doesn't require formal legal custody—the arrangement can be informal, though having documentation helps support your claim.

To claim FTB as a grandparent carer, you need to be an Australian resident, have the child living with you for at least 35% of the time, and meet the immunisation requirements. You don't necessarily need formal guardianship or custody orders, though these can simplify the claiming process. Services Australia assesses each situation individually based on the actual care arrangements in place.

If the child's parents are still receiving FTB for the same child, you'll need to resolve the care arrangements before both households can receive appropriate payments. Shared care is possible, with each carer receiving FTB proportional to their care percentage.

FTB Part A and Part B for Kinship Carers

As a grandparent carer, you're eligible for the standard FTB Part A payments based on the child's age. For the 2026-27 financial year, maximum fortnightly rates range from $187.08 for children aged 0-4 to $285.42 for children aged 16-19 in full-time secondary study. These rates are subject to the income test, which reduces payments by 20 cents for every dollar of family income above $56,898.

FTB Part B provides additional support for single-income families and single carers. Grandparent carers who are single are treated the same as single parents, receiving the higher FTB Part B rate of $167.74 per fortnight for children under 5, or $116.80 for children 5-18. If you're a grandparent couple, FTB Part B is still available but may be affected by the lower earner's income.

An important benefit for grandparent carers is that your partner's age pension income is not counted for FTB income test purposes. This is significant for many grandparent carers who are of retirement age and receiving the pension. However, any income from employment or investments is still counted.

Grandparent Child Care Benefit

Grandparent carers may also be eligible for additional childcare assistance beyond the standard Child Care Subsidy. If you're receiving an income support payment (such as the Age Pension, Disability Support Pension, or Carer Payment), you may qualify for Additional Child Care Subsidy (Grandparent), which provides up to 100% subsidy on childcare fees.

This additional support recognises that many grandparents taking on full-time care responsibilities are themselves on fixed incomes and may struggle with the cost of childcare. The subsidy applies to approved childcare services and can make a significant difference for grandparents who need care while attending medical appointments or getting respite.

Health Care and Other Concessions

Children in the care of grandparents receiving FTB may be eligible for a Health Care Card in their own right. The FTB Part A Health Care Card covers children for whom you receive FTB Part A at a rate above the base rate. This card provides access to cheaper prescription medicines under the Pharmaceutical Benefits Scheme and may offer concessions on utilities, transport, and other services depending on your state or territory.

Additionally, if you're a grandparent on the Age Pension or another income support payment, the child may be included on your concession card. Some states also offer specific kinship carer support payments that complement federal FTB payments—it's worth checking what's available in your jurisdiction.

Documentation and Proof of Care

When applying for FTB as a grandparent carer, you may be asked to provide evidence of your care arrangements. Useful documentation includes school enrolment records showing your address, Medicare records, letters from the child's doctor or health care providers, any court orders or parenting plans, and statutory declarations from third parties who can verify the care arrangement.

If the care arrangement arose suddenly due to a crisis, Services Australia can often fast-track your claim and may accept verbal confirmation initially while you gather documentation. Social workers at Centrelink can assist you through this process and may be able to advocate on your behalf if you're experiencing difficulties.

Support Services for Grandparent Carers

Beyond financial assistance, grandparent carers can access various support services. These include counselling and emotional support, legal advice services, respite care, support groups with other grandparent carers, and advocacy services. Organisations like Kinship Carers Australia and state-based grandparent support groups offer invaluable peer support and practical assistance.

Many grandparents taking on care responsibilities experience complex emotions and challenges. You may be dealing with grief about your adult child's situation while simultaneously adjusting to parenting again later in life. Don't hesitate to seek support—caring for grandchildren is a remarkable gift, but it's not one you need to provide alone.

Key Takeaways

• Grandparent carers are eligible for FTB with the same requirements as parents
• Formal custody orders are not required—actual care arrangements determine eligibility
• Age Pension income is excluded from the FTB income test
• Additional Child Care Subsidy may provide 100% childcare fee coverage
• Documentation of care arrangements strengthens your FTB claim
• Support services are available to help with emotional and practical challenges

Stepping in to raise grandchildren is one of the most loving and selfless acts a grandparent can perform. While the financial and emotional challenges can be significant, understanding your FTB entitlements ensures you have access to the support you're entitled to. If you're newly caring for grandchildren, reach out to Services Australia and local support services—help is available.