Understanding Family Tax Benefit Part A: A Complete Guide for Australian Families

Family Tax Benefit Part A is the cornerstone of Australia's family assistance payments, designed to help families with the cost of raising children. Whether you're a first-time parent or have multiple children, understanding how FTB Part A works is essential for managing your household finances effectively.

What is Family Tax Benefit Part A?

Family Tax Benefit Part A is a payment made to families to help with the everyday costs of raising children. It's paid per child and the amount depends on several factors including your family income, the age of your children, and how many children you have. Unlike some other government payments, FTB Part A is not a flat rate—it's carefully calculated based on your individual circumstances.

The payment is administered by Services Australia (formerly Centrelink) and is available to families who meet the eligibility criteria. You can receive FTB Part A for each eligible child in your care until they turn 19, provided they meet the study requirements for those aged 16 and over.

Eligibility Requirements for FTB Part A

To qualify for Family Tax Benefit Part A, you must meet several key criteria. First and foremost, you must be caring for a dependent child who is either under 16 years old, or between 16 and 19 years old and in full-time secondary study. The child must be living with you for at least 35% of the time—this is particularly relevant for families with shared care arrangements.

Additionally, you must meet the residency requirements. Generally, this means you need to be an Australian resident living in Australia. There are some exceptions for families temporarily overseas, but the rules can be complex. Your child must also meet immunisation requirements—children must be fully immunised or have an approved exemption to receive the full FTB Part A rate.

How FTB Part A Payment Rates Work

The amount of FTB Part A you receive depends largely on the age of your children. For the 2026-27 financial year, the maximum fortnightly rates are structured across four age groups. Children aged 0-4 years attract a fortnightly payment of $187.08. When your child reaches school age (5-12 years), this increases to $236.93 per fortnight. Teenagers aged 13-15 receive $284.70 per fortnight, while older children aged 16-19 who are in full-time secondary study receive $285.42 per fortnight.

These rates represent the maximum payment amounts. Your actual payment may be lower depending on your family income, as the income test can reduce your entitlement. On top of these regular payments, you may also be eligible for the FTB Part A supplement of $91.90 per child per year, which is paid after the end of the financial year once your income has been confirmed.

Understanding the Income Test

The income test is where FTB Part A becomes more complex. Services Australia uses your adjusted taxable income (ATI) to determine how much you're entitled to receive. For FTB Part A, there's a "free area" threshold of $56,898 per year. If your family's combined ATI is below this amount, you'll generally receive the maximum rate.

Once your income exceeds the free area, your payment is reduced by 20 cents for every dollar above the threshold. This means that for every $1,000 your income exceeds $56,898, your annual FTB Part A payment is reduced by $200. There's also a higher income free area and a minimum rate that applies to families with higher incomes, ensuring that most families with dependent children receive at least some assistance.

Shared Care Arrangements

For separated families who share the care of their children, FTB Part A can be split between both parents based on the percentage of care each provides. If you have your child in your care for at least 35% of the time (approximately 5 nights per fortnight), you may be eligible for a proportion of the payment.

The care percentage is calculated based on the number of nights your child stays with you over a specified period. Both parents can claim FTB Part A for the same child, with each receiving a portion proportional to their care percentage. It's important to notify Services Australia of any changes to your care arrangements, as this can significantly affect your payments.

How to Apply for FTB Part A

Applying for Family Tax Benefit Part A is straightforward if you're prepared with the right information. You can apply online through your myGov account linked to Centrelink, by phone, or in person at a Services Australia service centre. You'll need to provide details about your family composition, income estimates, and your children's immunisation status.

New parents can claim FTB Part A as soon as their baby is born or when they begin caring for a child. It's best to lodge your claim as soon as possible, as backdating is only available in limited circumstances. Remember to provide accurate income estimates to avoid overpayments or debts at the end of the financial year.

Calculate Your FTB Part A Entitlement

Understanding exactly how much FTB Part A you might receive can be challenging given the various factors involved. That's why using a reliable calculator can help you get a quick estimate before you apply. Our free Family Tax Benefit Calculator uses the official 2026-27 rates to give you an instant estimate based on your family income, number of children, and their ages.

Key Takeaways

• FTB Part A is paid per child and varies by age group, with higher payments for older children
• The income test reduces payments by 20 cents for every dollar above $56,898
• Immunisation requirements must be met to receive the full payment rate
• Shared care arrangements allow both parents to receive a portion of the payment
• Apply as soon as possible after your child is born or comes into your care

Family Tax Benefit Part A remains one of the most important support payments available to Australian families. By understanding how it works, you can ensure you're receiving your full entitlement and plan your family budget with confidence. Remember to keep Services Australia updated with any changes to your circumstances to maintain accurate payments throughout the year.