Family Payments Training Kimberley Money Management, Broome

1. Family Payments Training Kimberley Money Management, Broome 29th March 2010 - Presented by Siena Balakrishnan

2. Overview The following information will be covered: • Family Assistance Payments Education (FAPE) • How Money Management supports FAPE • Key stakeholders and contacts • Family Payments: types, eligibility, choices, processes • Avoiding overpayment • Extra assistance for families with children • Extended Family Care • Centrepay

3. Our families, our stories You are entering a “Living Library” full of information and inspiration: • Pair up and find a quiet space to yourselves • One person is a ‘book’, the other is a ‘reader’ • The books share information / stories about their families • The reader listens • After 10 minutes all books become readers and you swap to a different pair. • We then have another 10 minutes in the Living Library.

4. The BIG picture

5. Family Assistance Payments Education • Is one part of Money Management Services funded through FaHCSIA • Provides financial assistance to cover the costs associated with bringing up happy, safe and healthy children • Recognises culture and tradition in the way Indigenous communities raise children • Provides financial assistance with support from Money Management so families have choice about their payments.

6. How do you help families?

7. You, the Family Assistance Office & Centrelink

8. Contacts and support Family Assistance Office: 136 150 www.familyassist.gov.au A good resource: Family assistance: The What and How Indigenous Call Centre: 136 380 Run by Centrelink assist with FAP Centrelink: www.centrelink.gov.au Find your nearest office, agent or remote visiting centre

9. Family Assistance Payments What family payments have you, your family or clients ever received?

11. Income estimates Tax return? www.ato.gov.au/individuals/content.asp?doc=/content/00178872.htm Balancing July to October – top-up (supplement) payment or over-payment Payment Choices 1. Fortnightly 2. Some now, some later 3. Lump sum

12. Income estimates • Financial year • Include all income“adjusted taxable income” • Update as often as you like

13. Family Tax Benefit A

14. What is Family Tax Benefit A for? • Who can get it? • Age limits for children = under 21 or • full-time student 21 – 24 years • Encourage clients to test eligibility : • Phone FAO 136150 or Indigenous Call Centre 13 6380 • Visit Centrelink • talk to Centrelink agent or remote servicing team • or trying this link: • https://secure.centrelink.gov.au/RateEstimatorsWeb/publicUserCombinedStart.do?OriginName=FAO

15. How can your clients apply? • The mother usually gets a claim form from the hospital after the birth and gives it to Centrelink • Or the client can visit Centrelink , or talk to the Centrelink agent or remote servicing team • Or online http://www.familyassist.gov.au/OnlineServices/Pages/default.aspx

16. How much do you get? • It is paid per child • The amount depends on: • the age of the child, • number of other children • the family income • if single or partnered carers/parents • The best way to find out exactly is to visit Centrelink , or talk to the Centrelink agent or remote servicing team. You can also phone the Indigenous Call Centre 136380. For an estimate, your client could go online to: • https://secure.centrelink.gov.au/RateEstimatorsWeb/publicUserCombinedStart.do?OriginName=FAO

17. Shared Care FTB A can be shared between people who share the care of a child, but only if they each spend at least 35% of the year with the child (128 nights). If parents are separated, the main carer may need to take steps to get Child Support from the other parent in order to get FTB A. Contact: Child Support Agency 131272 or go to www.csa.gov.au

18. Extra payments with FTB A • Supplement • Advances • Large family supplement • Multiple birth allowance

19. Main messages • FTB A is a payment to help families with the cost of raising children. • It is paid for each child and families have to fill in and lodge a claim form. • The amount a family gets is worked out using their actual annual family income and the number of children in the family. • Families can choose how and when they get their family assistance payments. • The supplement is paid when FTB A is balanced at the end of the financial year • Families need to tell the Family Assistance Office if their income or circumstances change.

20. Family Tax Benefit B

21. What is Family Tax Benefit B? • A payment to single parent families and two-parent families with one main income. • The family must have a dependent child under 16, or a dependent full-time student under 18. • It is based on the age of the youngest child in the family.

22. How do you apply? The same form is used for FTB A and B. When you apply for FTB A you are automatically assessed for FTB B as well.

23. How much do you get? • It depends on the age of the child. • Single parents must have an annual income below a certain limit . They get the full amount . • In couples, the higher income earner needs to earn less that a certain limit. The amount the couple get depends on the income of the lower earner.

24. Balancing and supplement • From July to October, FTB B is balanced along with FTB A. Your actual income (from your tax return) is compared to the income estimate you made. • You may have an underpayment (supplement) or an over payment (debt). • To avoid a debt, keep your income estimate up to date.

25. Main Messages • FTB B is a payment for single parent families and two parent families with only one main income. • To qualify, there is a higher income test for the main income earner in a couple and for single parent families. • If a family qualifies, the amount depends on the income of the lower income earner. • Families must complete and lodge a claim form.

26. More Main Messages… • Families can get FTB B only, or both FTB A and FTB B. • Single parent families get the maximum amount of FTB B (if income is below the limit), payment depends on the age of the child. • Tell Centrelink if not required to lodge a tax return. • Payment can be fortnightly or as a lump sum after the end of the financial year. • A supplement is paid at the end of the financial year. • Tell the FAO if their income or circumstances change.

27. The Baby Bonus

28. The Baby Bonus • Income tested based on income received in the first six months after the birth of the child • Not asset tested (if you own a house, car or boat these do not count to your income) • Paid in instalments • Not paid through the tax system • Not taxable • Only be paid through the Family Assistance Office

29. Who can get the baby bonus? • Families must: • Have a dependant child • Meet Australian residency requirements • Meet the income test • Apply to register the birth of the baby at the ‘Births, Deaths and Marriages Registry’ and provide proof of birth. • Ensure they (and partner) have a TFN • Provide a bank account number • Have care of the child within 26 weeks of birth • Lodge a claim form within 52 weeks of birth

30. Applying for the Baby Bonus You can apply using the following:

31. Payment of the Baby Bonus • It is paid to new mothers after the birth of their child • It is paid to people who have adopted a child • It is paid to new carers who are not parents if they have full time care o f the child. • It is paid to people who have a stillborn child • It is paid in 13 fortnightly instalments • Where there has been a change in care it can be paid in fewer than 13 instalments • If the child has died, a lump sum can be requested • If on Income Management, payment will be 100% income managed.

32. What is the Maternity Immunisation Allowance?

33. How do you apply? • The same application form as the Baby Bonus. • You’ll need to apply before the child’s 2nd birthday for the first payment and before the 5th birthday for the second payment. • Two payments made. • You can apply separately, if you didn’t apply for the baby bonus.

34. Immunisation required • Families should speak to their doctor or clinic about what immunisations are required. • You can also get this allowance if : • you have an approved exemption • your child is stillborn or dies before age 5. • you adopt an older child from overseas • Encourage your clients to test their eligibility.

35. Main Messages • Payment made in two amounts to encourage parents to immunise their children; when the child turns 18 months and before they turn two years of age and when a child turns 4 years old and before they turn 5. • Payment made only after immunisation requirements are met. • Payments for stillbirths or where a child has died. In cases like this the Allowance may be paid earlier. • There are some exemptions from having to immunise your child for the purposes of getting Maternity Immunisation Allowance.

36. Double Orphan Pension

37. Double Orphan Pension • Provides extra assistance to families who raise children who are orphans • It provides financial assistance for children who cannot get support from their parents. • It helps guardians who bring up children who are double orphans.

38. What is a Double Orphan Child? • A double orphan is a child: • Whose parents or adoptive parents have both died • Who has one parent dead and the other is in prison for over 10 years, or in a psychiatric hospital / nursing home for the long-term, or in uncontactable (whereabouts unknown) • Who has been granted refugee status by the Australian Government

39. Eligibility and Payment • The guardian of an orphan is eligible for the Double Orphan Pension. It is not income or asset tested and is additional to Family Tax Benefit • Centrelink pays the Double Orphan Pension each fortnight • Contact the Double Orphan Pension helpdesk on Freecall 1800 118 388

40. Child Care Benefit

41. What are Childcare Benefits? Payments to help with the cost of childcare for families who use ‘approved’ and ‘registered’ childcare?

42. Approved Care • Childcare centres that meet national quality standards • Families can get up to the full rate of Child Care Benefit. • There are income limits and the amount paid depends on the income. • Payments can be made direct to the childcare centre to reduce the fees charged, or as lump sums.

43. Registered Care • Registered care is child care provided by grandparents, relatives and friends who are registered with the FAO. • Parents may get the minimum rate for Child Care Benefit when using registered care. • Talk to the FAO to find out more.

44. Grandparent Child Care Benefits Grandparent Child Care Benefit covers the full cost of approved care for up to 50 hours per child per week. • 50% of out of pocket expenses for approved child care refunded to grandparent. • Paid quarterly once the FAO gets the details for the child care centre. • No income test.

45. JETCCFA – Jobs Education and Training Child Care Fee Assistance • Payments to provide extra help with the cost of approved child care to eligible parents undertaking work, job search, training or study to help them re-enter the workforce. • Encourage clients to find if they may be eligible by contacting Centrelink, FAO or Indigenous Call Centre.

46. Extra assistance for families • Health Care Cards: make health more affordable (Family Tax Benefit, Low Income, Foster Child, Income Support) Tel: 136 150 • Rent Assistance: a payment that helps pay rent Tel: 136 150 • Bereavement Payment: helps when someone dies (emotional and financial support) • Child support: helps separated parents support their children • Medicare: improves health outcomes. Freecall 1800 556955 (ATSI Access Line) or www.medicareaustralia.gov.au

47. Centrepay • A direct billing service that helps people on Centrelink payments and FAP to manage regular bills such as rent and electricity. • It works by transfering money directly from a client’s Centrelink payments to pay the bill. Clients nominate the amount • It is a voluntary and free service. • The minimum deduction is $10 per fortnight

48. What can be paid using Centrepay? Other payments include no-interest loan charges or businesses registered to Centrepay eg. your local shop – to find who these are ask them direct or contact the Indigenous Call Centre

49. Setting up Centrepay Deductions • There is a good checklist to look at (refer to handout). The main thing to ensure is that the individual understands what Centrepay is, and agrees to how much is being deducted. • Complete a Centrepay Deduction Form or via phone. • Lodge the Centrepay Deduction Form with Centrelink – you keep and copy and so does the client. • For more information contact the Indigenous Call Centre or visit www.centrelink.gov.au

50. Questions