Principal carer of a dependent child 001-04030010

A principal carer is a person with the primary care of a dependent child under the age of 16 years. A step parent may qualify as a principal carer if they live as a member of a couple with the parent of the child.

A person is generally the primary carer if they have the greater degree of responsibility for the child's day-to-day care, welfare, and development.

To qualify for Parenting Payment, the customer must be the principal carer of at least one child in their care. Single customers must be the principal carer of a child under 14 and partnered customers must be the principal carer of a child under 6.

Single JSP, YAL (job seeker) and SpB customers who are principal carer may qualify for a higher rate of payment, additional concessions, more generous income test and reduced mutual obligation requirements.

In shared care situations, it is necessary for a shared care assessment to be undertaken to determine which carer is the principal carer of the child.

In shared carer situations generally the person with the greater degree of care and control of the child is considered the principal carer. The customer’s with:

• 55% or more will be the principal carer
• 46%-54% (equal care) a principal carer determination will be required
• 45% or less is not the principal carer

Note: in very rare instances there may be two or more carers in a care arrangement therefore the rules above may not apply.

If 2 or more people have legal responsibility for the day-to-day care, welfare and development of the child then the person with the greater degree of care and control of the child is generally the principal carer of that child. A person may remain as the principal carer of a child during a temporary absence from caring for the child.

If only one person has legal responsibility for the day-to-day care, welfare and development of the child and the child is in the adult's care, that person is the principal carer.

In some cases, grandparents or relatives who have taken on responsibility of caring for the child can be determined to be the principal carer where the person with legal responsibility is unable or unwilling to care for the child.

Equal care is shared care between 46% and 54%. Only one person can be the principal carer of a child and therefore a principal carer determination may be required even if both parties are not claiming or receiving an income support payment.

If shared care arrangements for more than one child are considered equal, it is not appropriate to 'allocate' a child to each carer so they both qualify as a principal carer. Care arrangements for each child should be assessed separately. If care arrangements are considered equal for 2 children, one carer would be the principal carer of both children. See Resources page for examples.

The carer determined to be in the most need of a favourable determination will be deemed to be the principal carer. When completing a principal carer assessment, a number of factors will be taken into account. The Process page has more information.

Changes in care and shared care can impact both family payments and some income support payments. Customers may receive both these payment types or just one. All changes in care and shared care must be actioned by staff taking into consideration both payment types. The incorrect coding or not coding of care screens may result in a customer receiving incorrect entitlements.

Changes in care and shared care of a child may impact a customer’s principal carer status and therefore qualification for payment. A customer’s principal carer status must be checked for all changes of care and shared care.

For PP customers, if the only child they were the principal carer for leaves their care or shared care reduces to 45% or below, in most cases they:

• will no longer qualify for PP, and
• will need to claim an alternative income support payment

For single JSP/YAL (jobseeker) and SpB customers, if the only child they were the principal carer for leaves their care or shared care reduces to 45% or below they will not lose qualification for payment, but may receive a different rate of payment, income test and mutual obligation requirements.

Only one member of a couple can be a principal carer at one time. The customer can transfer principal carer status to their partner at any time due to a change in circumstances. (for example, employment).

Changes were made on 2 March 2024 to apply consistent principal carer coding across income support payments. Prior to this date, PPS, PPP and JSP/YAL(jobseeker)/SpB used different screens to determine principal carer status for a customer.

SSC screen/shared care table, ‘shared care percentage’ and ‘principal carer (PC) indicator’ will now be used with existing screens to determine principal carer status. The following edits apply to the PC indicator on the SSC screen/shared care table to facilitate correct coding:

• Care percentage 55% and above must be coded with Y
• Care percentage 45% and below must be coded with N
• Care percentage 46% to 54% (equal care) can be coded with Y or N

Note: for equal care, staff must ensure:

• a principal carer assessment has been completed, and
• the PC indicator is updated correctly

Note: CHOC screen override codes, Principal Carer No (PCN) and Principal Carer Yes (PCY) may be used in very limited circumstances, for example where there are more than two carers. See Child Override/Claim (CHOC) screen.

Principal carer status for a child can be checked on the:

• Pension Child Summary (PNKDS) screen for PPS customers, and
• Assessment explanation (AX) screen for PPP and JSP/YAL(jobseeker)/SpB customers

Principal carers are subject to part-time mutual obligation requirements.

PPS customers do not have mutual obligation requirements until their youngest child turns 6.

Parenting Payment Partnered (PPP) customers do not have mutual obligation requirements, as their PPP will cancel when their youngest qualifying child turns 6 years of age. However, PPP customers, and PPS customers without mutual obligations may voluntarily participate.

All JSP, YA (job seeker) and SpB principal carers have mutual obligation requirements, regardless of the age of their youngest child. However, principal carers in receipt of SpB who have a youngest dependent child under the age of 6 years can be granted an exemption from their mutual obligation requirements.

These requirements include registration with an Employment Services Provider unless the principal carer is fully meeting their mutual obligation requirements through an approved activity. Principal carers with a job search requirement must look for and accept offers of suitable work.

A temporary exemption from these requirements may be granted due to special family circumstances.

Single JSP and YA (jobseeker) customers who are the principal carer of a dependent child will receive:

• the ‘with child rate of benefit’
• pharmaceutical allowance
• Pension Concession Card and
• reduced mutual obligation requirements

JSP customers will have access to a separate income test.

Single JSP and YAL (jobseeker) customers who are granted a principal carer mutual obligation exemption will receive a higher rate equivalent to the PPS rate of payment and access a more generous income test. A customer may be granted a principal carer mutual obligation exemption for one of the following reasons:

• an active foster carer
• involved in home schooling
• provide distance education for their children
• have a large family, or
• caring for a child when the customer is a relative (other than a parent) as directed by a Parenting Order made through the Family Court

A child may still be considered a principal carer child when they are temporarily absent from the customers care. For income support, a temporary change of care would usually be for up to 8 weeks. However, the child can be regarded as being in the care of the person for 8-12 weeks if they meet specific criteria. A temporary change of care can continue beyond 12 weeks, but advice must be sought from the appropriate Level 2 Helpdesk before making a determination. For further information see Child leaves customer's care/custody.

If a child’s care assessment is disputed it may be possible for a customer to be entitled to FTB for the child and not a principal carer payment such as PPS and vice versa. This is because of differences in Family Assistance and Social Security policy. This means that a principal carer determination and percentage of care recorded for an Income Support payment may be different to that recorded for FTB and Child Support. For more information. See Notification and assessment of shared care arrangements for Family Tax Benefit (FTB).

There are two types of foster care, formal foster care and informal foster care.

Formal foster care is care mediated by a state or territory welfare authority whereas informal foster care occurs where a relative or friend assumes care of a child in a private arrangement.

For a PP, JSP, YA job seeker or SpB customer to be assessed as the principal carer of a foster child, the child must be their dependent child. In determining who is the principal carer of the child it should be first established who has legal responsibility for the child. Other factors also need to be considered, such as:

• the duration of time the child is expected to be in care
• who provides and pays for the child’s daily care, and
• who makes the major decisions regarding the child

It may be possible for a customer to have the majority care of a child but not be considered the principal carer.

For further information see:

• 1.1.P.415 Principal carer - foster care | Social Security Guide (link on the References page), and
• the Resources page for an example