Introduction
A dependent child must generally be under the age of 18 to be included in their parent or caregiver's assistance.
When a child turns 18, they are generally no longer considered a dependent child and will be excluded from their parent or caregiver's assistance from the start of the pay period following the child's 18th birthday. This also applies when their parent or caregiver is getting assistance on their behalf, such as Orphan's Benefit, Unsupported Child's Benefit or Child Disability Allowance.
However, if the 18-year-old child is continuing in education and is not financially independent, they may continue to be considered a dependent child and be included in their parent or caregiver's assistance for a limited period. In these situations, the child must be excluded from the start of the pay period following:
- the date they no longer meet these criteria or
- 31 December of the year they turn 18
whichever is earlier.
If a parent or caregiver is getting assistance that is not a benefit when the child turns 18 (for example, Social Housing or a Special Needs Grant), the child may be excluded from a different date.
Note if a parent or caregiver gets a discretionary benefit, they must complete a review of circumstances when a dependent child turns 18, or when the child no longer qualifies to be included in their benefit. If they do not complete the review, their benefit will be suspended.
Notice period
Parents and caregivers are notified at least 20 working days before their child's 18th birthday that the child will be excluded from their assistance if they do not advise MSD that the child is continuing in education and not financially independent.
The notice period allows sufficient time for parents and caregivers to respond to the notice.
Note there may be some situations where MSD cannot give 20 working days' notice. In this case, MSD will notify the parent or caregiver as soon as possible.
Responding to the notice
To respond to the notice, the parent or caregiver must:
- confirm their child is continuing in education and is not financially independent and
- if they are getting a discretionary benefit, complete a review of circumstances
Parents or caregivers must respond to the notice before the child's 18th birthday. An extension cannot be given when a parent or caregiver needs more time to respond.
Generally, the parent or caregiver does not need to respond to the notice if the child is not continuing in education or is financially independent. However, parents or caregivers who are getting a discretionary benefit in this situation must still respond to the notice to complete a review of circumstances.
Does not respond to the notice
When a parent or caregiver does not respond to the notice before the child's 18th birthday, the child will no longer be considered a dependent child and will be excluded from their assistance. The assistance will be reassessed without the child included and will continue at the same rate, a different rate, suspend, or cancel.
If the assistance is suspended, it will cancel after 8 weeks if the parent or caregiver still hasn't responded to the notice.
For more information see:
Legislation
- Effect of child turning 18 years old subpart 18 part 2, Social Security Act 2018
- child (definition) schedule 2 Social Security Act 2018
