Blog

Foster Care and Financial Support

By Rebecca Bentley

A very common question we receive revolves around the financial aspect of foster care. It’s a valid, sensible question and something every carer should consider when thinking about caring for a child or young person in out-of-care care.

Below we identify some of the allowances and payments a carer can receive to help with raising a child or young person in out-of-home care. These allowances and payments are not considered as income. You do not need to declare them at tax time and they won’t affect any other benefits you may be receiving.

FOSTER CARE ALLOWANCE
This is a base payment that all carers that provide direct care for a child in out of home care receive. This allowance is received fortnightly and is expected to help meet the day-to-day costs of caring for a child in out of home care

ADDITIONAL CHILDCARE SUBSIDY
Carers with under care arrangements in Queensland who attend childcare are eligible to receive additional financial support through the Additional Child Care Subsidy. This means that carers have no out of pocket expense for daycare.

ESTABLISHMENT ALLOWANCE
This allowance is a one-off payment for children or young people first entering out of home care. It is to assist the carer with the establishment costs for ongoing placements of one month or longer.

FAMILY TAX BENEFIT
A two-part payment that helps with the cost of raising children that parents with children may already be familiar with. Many parents receive this payment already for their current children. Many people don’t realise that Family Tax Benefits also apply to children in out-of-home care.

HIGH SUPPORT NEEDS ALLOWANCE /COMPLEX SUPPORT NEEDS ALLOWANCE
There are allowances that cover our children and young people with high support needs as well as those with complex support needs. Foundations Care Caseworkers will assist carers to ensure the correct support is in place for these types of placements.