Centrelink Backpay for Grandparent Carers

How Backpay Works for Grandparent and Kinship Carers

One of the most common financial mistakes grandparent carers make is waiting weeks or months before contacting Centrelink. By the time they call, the child has been living with them for three months, the costs have been mounting, and they assume the payment will cover the period from when the child arrived. It usually does not.

The backdating rules are strict, and understanding them early can mean the difference between losing several fortnights of payments and capturing everything you are owed.

Family Tax Benefit Backdating

If you contact Services Australia after a child comes into your care, an FTB claim cannot be backdated to before your first contact. Keep a record of that contact and ask how it affects the effective date of your claim:

1. You call the Grandparent, Foster and Kinship Carer Adviser Line on 1800 245 965 and tell them a child is now in your care.
2. Ask the adviser whether the contact is recorded for your claim and what date will apply.
3. Ask what documents you need and the deadline for lodging the formal claim.
4. Services Australia assesses the effective claim date from the contact and claim information.
5. If you miss the deadline, contact Services Australia to confirm which date applies; do not assume the first-contact date will still apply.

The practical upshot: contact Services Australia promptly. Even if you have no documents ready, ask the adviser what to gather and how to protect the relevant claim date. The adviser can help you understand the next steps.

What If You Have Already Been Caring for Months?

If the child has been with you for several months and you have not contacted Centrelink, contact 1800 245 965 and explain the timeline. Do not assume FTB can be backdated to the date the child moved in; ask what date and evidence apply to your claim. If you disagree with the decision, you can request a formal review by an Explanation or Formal Review Officer within Centrelink, and if that fails, appeal to the Administrative Review Tribunal (ART).

The Welfare Rights Centre NSW ((02) 9211 5300) provides specialist advice on Centrelink appeals. Ask whether it can assist with ART representation or refer you to a service that can.

DCJ Allowance Backdating

If the child was placed with you by DCJ (through a Children's Court order or formal DCJ arrangement), ask your caseworker or accredited provider to confirm the allowance start date in writing. The placement date is relevant to the record, but do not assume it sets the payment date without confirmation.

If there is a gap between the placement date and the first payment, contact your caseworker and ask whether any arrears are owed.

For carers transitioning from a temporary placement to a Section 79 Guardianship Order, ask DCJ to confirm the Guardianship Allowance start date and any rate adjustment in writing.

Competing Claims and Transferred Care

Backpay complications arise when the child's parent was already receiving FTB for the child. Centrelink will not pay two people FTB for the same child over the same period. When you lodge your claim, Services Australia assesses who had actual care of the child and on what dates.

If the parent was receiving FTB while the child was actually living with you, Services Australia assesses the competing claims using evidence of who had actual care and when. It may adjust the payment records after that assessment. This can require:

• A statutory declaration from you confirming the dates of care.
• School records showing the child enrolled from your address.
• Medical records showing you as the person bringing the child to appointments.

You do not need to confront the parent or negotiate the transfer yourself. Centrelink handles the reassessment. But you do need to provide clear evidence of your care dates.

Protecting Your Backdate

Three rules protect your financial position:

1. Call on day one — the moment a child comes into your care, call 1800 245 965. Even if the arrangement feels temporary.
2. Document everything — keep a written record of when the child arrived, the circumstances, and any conversations with family, schools, or agencies.
3. Lodge promptly — once you have the supporting documents, lodge the formal claim within the window the adviser gives you.

The NSW Kinship Carer Support guide includes a claim timeline tracker and preparation worksheet for the 1800 245 965 call — designed to ensure you capture every eligible payment from day one.

See more New South Wales guides →