I've gone back to work recently and we have now lost of Family Assistance payment and our childcare % has dropped significantly so I'm now wondering if I'm going to lose the 50% refund for out of pocket expenses.
Does this 50% refund, which is refunded quarterly, get income tested?? I know it is limited to $7,700 each child per year but I'm hoping and praying we don't lose the 50% out of pocket refund.
CCR is not means tested. As long as you meet the work, study guidelines you will recieve the 50% rebate each quarter. This last quarter being the 4th quarter is not paid until you do your tax return in case you have been overpaid during the year.
You won't lose it as such.
What will happen though is they will work out what your CCB should have been for the full financial year compared to what you actually recieved, and you will have to repay the difference. In the first instance this will be deducted from your final quarter CCR payment. If you still have an overpayment, which will be my situation, I don't know if you have to pay it upfront or if it becomes a continual adjustment of your CCB % next financial year
when your annual amount is worked out, they will take back any CCR from the final quarter CCR, then from CCB if you get a top up. not sure if it would then come out of FTB (as it is all interwoven) or whether it would raised as a stand alone debt
given that your CCB has dropped, you have technically been over paid CCB and UNDERPAID CCR for those first months of the year. in this case, you may OWE $50 for CCB you've been overpaid, but BE OWED $25 for CCR. the $25 difference will be deducted from your final quarter CCR (does that make sense)
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CC refund 50% out of pocket costs
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