Death of a child
When a dependent child dies, the child should be excluded from Sole Parent Support 28 days following the date of the child's death.
Payment of the benefit should 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.
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 will continue 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 payment will stop from the date of the third birthday.
Cost of funeral
The person responsible for the cost of the child's funeral may be able to get a Funeral Grant.
Child turns 18
Generally, clients getting Sole Parent Support must respond to their notice before the child's 18th birthday or the child will be excluded from their payments.
If Sole Parent Support and any extra help is continuing at the existing rate for up to 28 days because a child has died, and that child turns 18 during that period, the child will not be excluded, and the client is not required to respond to the notice during the continuation of payment period.
However, if Sole Parent Support and any extra help is continuing at the existing rate for up to 28 days because the client's child has died and a different child in their care turns 18, the client must respond to the notice or the 18-year-old will be excluded from their payments.
For more information see:
- Effect on benefit
- Childcare Subsidy Death of client or child
- Core policy 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
- Funeral grants subpart 9 part 2, Social Security Regulations 2018
- Benefits payable to sole parent who stops caring for dependent child due to sudden and uncontrollable circumstances section 327 Social Security Act 2018
- Review of entitlement to, or rate of, benefit granted subpart 3 part 6, Social Security Act 2018
- Best Start tax credit section MG 2(3) Income Tax Act 2007
- exception (definition) section 103A Social Security Act 2018
