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March 29th, 2016


Are you eligible for the Grandparent Childcare Benefit?

If you’re a grandparent taking care of a grandchild on a daily basis, you may be eligible for the Grandparent Childcare Benefit.

In response to the growing number of grandparents taking on the role of sole caregiver, the Government has introduced a scheme to help ease the pressure by making childcare more accessible.

And it’s worth checking to see if you qualify – you may be eligible for cover of 50 hours of childcare per week, or more.

Under the scheme, approved childcare can include at home care, long day care, family day care and vacation care, among others. In exceptional circumstances, some grandparents may even be eligible for more than 50 hours per week.

To qualify for the benefit, you’ll need to be the primary caregiver of a grandchild related to you by blood, marriage or from an ex-partner. To qualify as the primary caregiver, you’ll need to prove you’re the sole or major provider of care and that you have the power to make decisions relating to the child’s welfare, care and development.

Sound like you? If so, you’ll also need to show that you receive another welfare benefit (such as Newstart, Age Pension or Carer Payment). Eligible grandparents are able to waive the Work, Training, Study test and have the benefit paid directly to the child care provider.

If you are employed or a self-funded retiree, you may have to pass an income test before you receive the benefit.

While the benefit would be a welcome addition to many grandparents, it’s important to remember you won’t be able to receive the sum as a lump payment – the money will go straight to your care provider.

If you are a grandparent caring for a grandchild, it’s worth heading to the Department of Education website or the Grandparents’ Advisors website for more information. You can also visit a Family Assistance Centre at your nearest Centrelink office or call the Family Assistance Office on 13 61 50.

First Super commissioned The New Daily to research and write this article. The views expressed are of The New Daily.

This publication was issued by First Super Pty Ltd (ABN 42 053 498 472, AFSL 223988), as Trustee of the First Super superannuation fund (ABN 56 286 625 181). It does not consider your personal circumstances and may not be relied on as financial advice. Content was accurate at the date of issue, but may subsequently change.