If you're new to the whole child care game this year or even if you aren't, we've seen a lot of changes over the last couple of years in child care, in terms of the child care benefit, rebate, and paid parental leave and it can all be a bit confusing.
So we thought it would be useful to put together an up-to-date checklist of what, how much and when you can and can't claim the child care benefit, rebate, paid parental leave and Baby Bonus
So here we go for the basics, just so everyone's on the same page:
Child Care Benefit - full details
- Child care benefit is means tested. Eligible families can be earning no more than $150,000.
- Child care benefit is only for "registered" approved child care* (which currently excludes nannies, babysitters and au pairs) and is payable for up to 50 hours child care per week.
- Parents can claim it either as a lump sum or as reduced fees through their child care service.
Proposals are being discussed to include nannies in the registered/approved child care category, allowing parents to claim rebate for nanny fees.
* Approved child care can include outside school-hours care, family day care, vacation care, long day care, in-home care, and some occasional-care services. Grandparent carers may also apply to be "registered" carers.
Child Care Rebate - full details
- Not means tested although you have to be eligible in terms of residency and work/study requirements to register for child care benefit (even if you won't get it due to income) and to be using approved child care.
- Rebate amounts to 50% of child care expenses (fees) up to $7,500 per child per year and can be paid weekly, monthly, quarterly or annually and can be paid direct to you or via your child care service.
Paid Parental Leave/Baby Bonus - full details
- Means tested under $150,000 family income.
- Parents must also meet the work/study test requirements (have worked at least 10 of the 13 months prior to having the baby and have worked 330 hours of those 10 months with no more than an 8 week gap).
- Eligible working parents may receive Parental Leave Pay for a maximum of 18 weeks at minimum wage. If it is not paid by your employer, the Dept. of Human Services will pay it directly to you.
- Parental leave payments may affect other benefits.
- Parents may not claim baby bonus AND Paid Parental Leave. You must choose between the two.
- Parents of stillborn children may also be eligible.
Baby Bonus - full details
- Means Tested under $75,000 taxable family income.
- Parents must be eligible in terms of residency.
- Parents may not claim Paid Parental leave as well as Baby Bonus.
- Parents must apply within 6 months of the birth of the child.
- Parents of stillborn babies may also be eligible.
For in-depth information and eligibility questions go to Department of Human Services.
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