Follow Us On: Prepare for Australia on Facebook Prepare for Australia on Twitter
Share this page:

Family financial aid

child-care-welfareChildcare is the responsibility of the parents. If both you and your partner work and you don’t have family or friends to watch your children in your absence, you’ll have to find – and pay for – suitable childcare. With child care in Australia costing an average of $70 per day, the Australian Government has certain welfare payments in place to offset the costs to families.


Child Care Benefit

The Australian Government provides the Child Care Benefit to all families in the country with children in registered care. Migrant families are eligible if they are permanent residents, New Zealand citizens, or hold a temporary visa in subclass 070, 309, 310, 447, 451, 695, 785, 786, 787, 820 or 826. Parents can choose to receive the Child Care Benefit as reduced child care fees or as a lump sum.

Further information on the Child Care Benefit and an online estimator for entitlements is available on the Australian Government’s Department of Human Services website (http://www.humanservices.gov.au/customer/services/centrelink/child-care-benefit) or call 13 6150.

Multilingual services are available online (http://www.familyassist.gov.au/multilingual/) or call 13 1202. You can also call the Family Assistance Office free-of-charge from your home country before you arrive in Australia. International phone numbers are listed on the office’s website (http://www.familyassist.gov.au/contact-us.php).


Child Care Rebate

The Child Care Rebate is paid to families in Australia in addition to the Child Care Benefit. It covers 50 per cent of out-of-pocket child care expenses per child. The maximum amount of the rebate depends upon the family’s income.

To receive the Child Care Rebate you must first be assessed as being eligible for the Child Care Benefit. If you are eligible you will be paid the rebate automatically.

Further information on the Child Care Rebate is also available on the Department of Human Services website (http://www.humanservices.gov.au/customer/services/centrelink/child-care-rebate).


Types of Childcare in Australia

The three main types of childcare in Australia are centre-based care, home-based care and private nannies/babysitters.

The first option requires you to take your child to a public day care centre where he/she will be placed among other children. For an individual to work with children, he/she must pass a criminal check and have appropriate early childhood training. Teaching children social skills, how to make friends and how to share are said to some of the advantages of this type of childcare.

The second option is home-based family daycare. This is likely to be a cheaper alternative to centre-based care, as it’s typically a stay-at-home mother who opens her home to other children to earn an income while raising her own children. However, the carer might not have any formal training.

It is becoming common to find these two types of childcare operating in Australia in languages other than English. Some non-English speaking parents think it is important for their children to attend English language daycare so they can learn the language of their new country as soon as possible. Others feel that learning the language of their country of origin is of equal importance and their children will naturally pick up English in the course of everyday life. For listings or details of child care services in your language, browse through local ethnic newspapers or contact your immigrant settlement agency.

A third child care option is hiring a nanny or babysitter to watch the child in your own home, eliminating any stress the child may face in leaving the home environment. The downside is that the child has limited interaction with other children. Costs for this type of care may be high if the nanny works full-time, as you’re her sole employer. And it is your responsibility to runs checks on qualifications and criminal history.


Paid Parental Leave Scheme

Working parents of a newborn child who earn less than $150,000 per year may be eligible for 18 weekly payments at the rate of the National Minimum Wage of $589.40 before tax. The parent who is child’s primary carer (usually the mother) will receive the payment.

Eligibility for migrants is the same as for the Child Care Benefit and Child Care Rebate above. Further information on the Paid Parental Leave scheme is available on the Department of Human Services website (http://www.humanservices.gov.au/customer/services/Centrelink/parental-leave-pay).


Baby Bonus

The Baby Bonus is a series of government payments to families of newborn children. To be eligible you must have a taxable income of $75,000 or less. Eligible families are paid a first instalment of $879.77 followed by 12 fortnightly payments of $379.77.

As with the Paid Parental Leave Scheme, eligibility for migrants is the same as for the Child Care Benefit and Child Care Rebate. Further information on the Baby Bonus is available on the Department of Human Services website (http://www.humanservices.gov.au/customer/services/centrelink/baby-bonus ).


Paid Parental Leave Comparison Estimator

As families cannot receive Paid Parental Leave AND the Baby Bonus you must determine which option is best for you. The Centrelink website has a Paid Parental Leave Comparison Estimator (http://www.centrelink.gov.au/internet/internet.nsf/individuals/ppl_working_parents_estimator.htm) to assist with the calculation.

Family Tax Benefit Part A and Part B

You may be eligible to receive Family Tax Benefit Part A if you have a dependent child 20 years of age or younger. You might also receive payments if you have a child aged 21-24 that is living with you and is in full-time study. Migrant families are eligible if they are permanent residents, New Zealand citizens, or hold a temporary visa in subclass 070, 309, 310, 447, 451, 695, 785, 786, 787, 820 or 826. The amount you are paid will depend on your income, your child’s income, and whether they are receiving other government benefits.

Family Tax Benefit Part B is designed to assist sole parent families and those with just one main income earner. The payment is available to families with dependent children under 16 years of age, or children in full-time study aged 16 to 18 who do not receive a Youth Allowance  (http://www.centrelink.gov.au/internet/internet.nsf/payments/youth_allow.htm). Eligibility requirements for migrants are the same as for Family Tax Benefit Part A. The amount you are paid will depend on the income of the main earner in the family.

Low income families may also receive the Family Tax Benefit Part B Supplement as a lump sum at the end of each financial year (June 30), if their taxable income is below a certain level. The supplement is paid automatically after you lodge your tax return.

For further information on Family Tax Benefits, consult the Department of Human Services website (http://www.humanservices.gov.au/customer/services/Centrelink/family-tax-benefit-part-a-part-b), visit your local Family Assistance Office, or call 13 6150 between 8:00am and 8:00pm Monday to Friday.


Large Family Supplement

The Large Family Supplement is available to families who claim the Family Tax Benefit Part A for three or more children. Payments can be made every two weeks or as a lump sum at the end of financial year.