Death of a child
When a dependent child dies, the child should be excluded from a couple's benefit from the start of the pay period following the date of the child's death.
When a dependent child dies they should be excluded from a sole parent's benefit 28 days following the date of death.
Payment of the benefit may continue at the existing rate for 28 days following the date the child died.
This provides a transition period for the client to adjust to their change in circumstances.
Note during the 28-day continuation of payment, if the client has other changes of circumstances e.g. a change in income, the rate of any benefit will need to be reassessed using the sole parent threshold rates.
Mandatory Reviews
Clients must still respond to a Mandatory Review for Emergency Benefit during the 28-day continuation of payment. They may be able to get an extension or an exemption.
Child turns 18
Generally, clients getting a discretionary benefit such as Emergency Benefit must respond to their notice before the child's 18th birthday or the child will be excluded from their payments. The client must also complete a review of circumstances to determine if they continue to qualify for Emergency Benefit and the rate payable, or their payments will suspend.
If Emergency Benefit and any extra help is continuing at the existing rate for up to 28 days because a sole parent's child has died, and the child that died was due to turn 18 during that period, the client is not required to complete a review of circumstances.
However, if Emergency Benefit and any extra help is continuing at the existing rate for up to 28 days because a sole parent's child has died and a different child in their care turns 18, the client must still complete the review of circumstances or their payments will suspend.
Childcare assistance
Childcare assistance paid for the child must be stopped on the day after the child died.
Family tax credit
Family tax credits should be stopped from the start of the pay period following the date the child died, to avoid an overpayment with Inland Revenue for the client.
Best Start tax credit
Best Start tax credit is continued for 28 days following the child's date of death. If the child's third birthday occurs in the 28-day period the Best Start tax credit stops from the date of the child's third birthday.
Cost of funeral
The person responsible for the cost of the child's funeral may be able to get a Funeral Grant.
For more information see:
- Effect on benefit
- Childcare assistance Death of client or child
- Child dies
- Core policy Child turns 18
- Core policy Review of discretionary benefit when child turns 18
Legislation
- Funeral grant: general eligibility and definitions section 90 Social Security Act 2018
- Funeral grant: eligibility if deceased person is child section 93 Social Security Act 2018
- exception (definition) section 103A Social Security Act 2018
- Discretionary review of entitlement to, or rate of, benefit granted subpart 3 part 6, Social Security Act 2018
- Other specified provisions not limited section 310M Social Security Act 2018
- Benefits payable to sole parent who stops caring for dependent child due to sudden and uncontrollable circumstances section 327 Social Security Act 2018
- Funeral grants subpart 9 part 2, Social Security Regulations 2018
