2026–27 Income, not salary
Family Tax Benefit Income Cut-Offs
The income at which Family Tax Benefit actually stops — Part A for each common family size, and Part B for the lower earner. Tested on family adjusted taxable income, which is not the same as a salary.
Part A — the income where it runs out
Family adjusted taxable income for the whole family, before any reduction. Between $69,131 and $123,078 the maximum rate reduces by 20 cents per dollar; above that it tapers at 30 cents per dollar.
| Family | Part A ends at | A fortnight |
|---|---|---|
| 1 child under 13 | $129,648 | $4,973 |
| 2 children under 13 | $136,218 | $5,225 |
| 3 children under 13 | $148,506 | $5,696 |
| 1 child 13 to 15 | $129,648 | $4,973 |
| 2 children, one 13 to 15 | $136,218 | $5,225 |
The fortnight column is the same annual figure expressed as the fortnightly income that would produce it — that is how Services Australia converts between the two.
Part B — the lower earner's cut-off
Part B looks at the lower earner. The primary earner has to be under $124,327, and the lower earner gets a free area of $7,154 before the 20 cent taper applies.
| Family | Part B ends at | A fortnight |
|---|---|---|
| Couple, youngest child under 5 | $35,661 | $1,368 |
| Couple, youngest child 5 to 13 | $27,777 | $1,065 |
| Single parent, youngest child 5 to 18 | $27,777 | $1,065 |
What "income" means here
Adjusted taxable income is not your salary. It is your taxable income plus reportable fringe benefits, reportable super contributions, net investment losses and certain foreign income — and for a couple it is both incomes added together. That is why a family can be over a cut-off on paper while both partners feel like they are on ordinary wages.
Two numbers in this area do the same job as a cut-off but are often confused with it: the $80,000 supplement limit (above it you lose the supplement, not the fortnightly payment) and the Part A base rate of $1,971 per child, which keeps a small payment going well past the first taper.
Frequently asked questions
At what income does Family Tax Benefit Part A stop?
It depends on how many children and their ages. With one child under 13 the payment runs out at about $129,648 of family adjusted taxable income; with three children under 13 it is about $148,506, because the maximum rate is higher. The table above works through the common combinations.
And Part B?
Part B is tested on the lower earner. The primary earner must be under $124,327, and the lower earner can earn up to $7,154 before the payment starts to reduce — after that it tapers at 20 cents per dollar until it stops at the figures in the second table.
What is the higher income free area?
$123,078. Up to $69,131 there is no reduction at all; between the two figures the maximum rate is reduced by 20 cents per dollar; above $123,078 the rate is compared with the base rate and you receive whichever is higher.
Why is there a base rate at all?
Because Part A is worked out two ways once income passes $123,078: the maximum rate less both tapers, or the base rate less the second taper. The family is paid the higher of the two, which is why payments do not simply fall to nothing at the first cut-off. The base rate is $1,971 per child.
Is the supplement part of this?
No. The $971 per child supplement is only paid if family income is at or below $80,000, and it arrives after you lodge your tax return. It is not included in these cut-off figures.
Rates and free areas from the Department of Social Services — Family Assistance Guide, checked 12 October 2026. General information only — your own rate is assessed by Services Australia.