Tips for keeping your family income estimate up to date
10 December 2019
To ensure your family payments are as accurate as possible, make sure you check your family income estimate regularly.
We base your Family Tax Benefit (FTB) and Child Care Subsidy (CCS) through the year on your family’s income estimate. If your family's income changes, you need to update your estimate. This helps reduce the chance of getting an overpayment outcome when we balance your FTB and CCS.
Here are 4 tips for checking and estimating your family income.
Tip 1: Review your estimate regularly
Checking and if necessary updating your estimate several times in the year is the best way to keep it accurate. How you do this depends on your situation. Some approaches you could take are:
- set a regular reminder to check it, for example once a month
- remember to check it when changes happen.
Read more about how to update your income estimate.
Tip 2: Know what you need to include
We use your and your partner’s adjusted taxable income to work out how much FTB and CCS you get. This is different to your taxable income. It includes your taxable income but also foreign income, investment losses, fringe benefits and more.
Make sure you know what to include in your estimate.
Tip 3: Don’t overestimate your income
You may think doing this will help you avoid an overpayment at the end of the year. While it may help a little, you can miss out on other things such as a Health Care Card. You should always estimate as accurately as possible. If your income is hard to estimate, these are options to help reduce the risk of an overpayment:
Tip 4: Don’t underestimate your income
It may be tempting to underestimate, but remember we balance payments at the end of the year. When we balance, we compare your income estimate with your actual income. If you underestimate, you’re likely to have an overpayment that you need to pay back. It’s best to estimate as accurately as possible.
Read more news for families.
If you get family assistance payments, we need your child’s immunisation status or your payments may reduce or stop.
If you’re studying and working, or thinking about working, you should know about Income Bank.
Page last updated: 10 December 2019