'With child' rate of benefit for non-principal carers with shared care 007-02050020

The 'with child' rate of benefit is available to single customers in receipt of a social security benefit. Youth Allowance (YA) and Austudy also have a 'partnered with child' rate. The following payments have a higher rate of basic benefit available where a customer has a dependent child, including shared care of a dependent child:

• Austudy
• JobSeeker Payment (JSP)
• Special Benefit (SpB)
• Youth Allowance (YA)
• Farm Household Allowance (FHA)

Each person caring for the child is advised in writing of the shared care assessment, whether or not they are receiving a social security payment.

The shared care arrangements need to be recorded separately for social security payments and family assistance.

Once the shared care assessment has been made, a letter will be sent to each carer confirming the details of the shared care assessment whether or not carers are claiming or receiving a social security payment

For Parenting Payment (PP) customers, see Assessment of dependent children, additional income free area and child income under social security law.

If the dependent child definition is met, the 'with child' rate may be paid to the customer. This means that one of the following would need to be met:

• the customer has legal responsibility for the child, or
• the child is not a dependent child of another person with legal responsibility and the child is wholly or substantially in the customer's care

Austudy customers do not have a percentage applied regarding shared care but rely on the definition of dependent child. The requirements that must be satisfied in relation to care arrangements are contained in section 5(2) of the Social Security Act 1991; this does not require a specific level or percentage of care, although the claimant must provide at least some care if they are legally responsible for the child, whole or substantial care if they are not.

For SpB the customer needs to have at least 30% care of a child to be paid the 'with child' rate.

Customers can also claim family assistance for child/ren in their care. If the customer is not in receipt of FTB, issue a Q888 inviting the customer to claim Family Tax Benefit (FTB). See Resources page for standard text. Customers caring for a child from a previous relationship may need to take action to obtain child support to receive more than the base rate of FTB Part A for a child. Customers may claim Child Care Subsidy (CCS) to help with the costs of child care if they are eligible.

There are two ways in which a customer can be paid the 'with child' rate even though the dependent child definition is not met. These are described below.

Single customers receiving JSP (over 18) may be paid the 'with child' rate if they are caring for a young person aged 16-17 who would be considered a dependent child of the customer except that the young person receives a social security benefit (or the child receives Disability Support Pension for JSP customers).

Single customers receiving JSP or YA (job seeker) may be paid the 'with child' (higher) rate if they have at least 14% care of a child under 16, even though the dependent child definition is not met due to the level of care. Other dependent child requirements must be met.

The customer must have either legal responsibility (alone or jointly with another person) for the day to day care, welfare and development of a child or a family law order or parenting plan which states the child is to supposed to live with the customer.

The customer needs to demonstrate that:

• they have at least 14% care of the child in the current instalment period (one night per week during the fortnight), or
• a pattern of care shows they have at least 14% care of the child over either a 14 or 28 day period. This may include a past or future period but should include at least part of the current instalment period

For YA (jobseeker) customers to qualify for the 'with child' rate, they cannot be undertaking full-time study and must be assessed as being independent and not living in the parental home.