In 2025, the Family Tax Benefit (FTB) continues to provide crucial support for Australian families and assist parents and guardians with children. The absence of changes in the rules and payments, as well as important Centrelink dates and changes, allows families to plan confidently and avoid entitlements.
Who is Eligible in 2025
Eligibility for the FTB continues as in prior years, with minor changes. Parents or guardians qualify to receive the FTB for a dependent child under 19 if they meet the Australian residency rules and provide at least 35% of the ongoing care. The child must meet the immunization standard and, for ages 16 -19, must meet the study requirements, which entail full-time secondary school attendance or an approved alternative. FTB Part A is income tested to a threshold, and payments are reduced when income exceeds approximately $86,852 for one child and will fully phase out around $118,771. FTB Part B is primarily for single-income families and is available for single parents with an income below $120,007 a year.
New Payment Rates for 2025–2026
There will be slight increases on the FTB payment amounts for the new financial year. For FTB Part A, which is paid for each child on a fortnightly basis, is $227.36 for children under 12, and $295.82 for those 13 to 19 years (still in school). For Part B FTB, which assists single income families, is paid per family and the maximum fortnightly rate is $193.34 if the youngest child is under 5, or $134.96 if the youngest child is aged between 5 and 18. These amounts are based on income and percentage of care (which means many families will receive much less than the amounts stated based on earnings and personal circumstances).
| FTB Part | Age Category | Max Fortnightly Payment |
|---|---|---|
| Part A | 0–12 years | $227.36 |
| Part A | 13–19 years at school | $295.82 |
| Part B | Youngest child < 5 | $193.34 |
| Part B | Youngest child 5–18 | $134.96 |
Centrelink Payment Dates & Processes
Centrelink will start the next round of FTB payments on August 2025, and that will be continued on a fortnightly basis. After the financial year, families can choose a lump-sum payment, though most prefer regular payments to aid in daily expenses. The balance and reconciliation of payments take place in July, which means any supplements, top-ups, or catch-up payments will flow from early to mid-July after the previous year’s claims are closed. The primary place for any updates and management continues to be MyGov.
Tips for Managing Payments and Eligibility
To prevent interruptions, recipients need to keep their Centrelink and myGov updated, including income, bank accounts, changes in the provision of care, and contact details. It is recommended to do this quickly after changes occur. Families need to be aware of changes to eligibility, as being unaware may lead to overpayments, which families will have to pay back.
Recent Changes and What Families Need to Know
From January 2026, the newly expanded child care subsidies and the addition of features like the ‘3-Day Guarantee’ will be in addition to the FTB for working families. Nevertheless, FTB maintains the same eligibility criteria and substantive rules around payments. This means families with children will continue to receive monthly payments based on their income and care arrangements, and the payments will be in support of the care arrangements to continue to provide support to the family.
FAQs
Q1: Can both Parts A and B be claimed together?
Yes, if eligibility is met for both sides, families can claim and receive payments for each.
Q2: Does FTB payments impact tax return?
Payments are not taxable; however, income will need to be reported and tax will need to be paid.
Q3: What happens if a family receives more than entitled?
Centrelink will recover the money back which may include adjusting future payments and repayments.
