Saturday, May 19, 2018

Watch out for a spike in prem babies

I wrote in my last column for NZCPR that the baby bonus came in on April 1, 2018. It did not. It kicks in on July 1, 2018. Apologies.

Too late for the PM but every other family will receive an extra $60 a week regardless of their family income.

What is a Best Start tax credit?
Best Start tax credit is a weekly payment of $60 (up to $3,120 per year) per child for a baby born on or after 1 July 2018.
For the first year of the baby's life the family's income is not taken into account. For families earning less than $79,000, Best Start will continue at $60 per week until the child turns 3. If the family income is above $79,000, payments will reduce or stop depending on your income.
This is going to get very messy though.

My baby is due after 1 July 2018, what happens if it comes early?
If your baby's expected due date is on or after 1 July 2018 and is born before this date you're still eligible for Best Start. Depending on your circumstances, you may be eligible for the parental tax credit and you may choose to receive this instead of Best Start.
Parental tax credit is a weekly payment of up to $220 (total of $2,200) paid for the first 10 weeks after your baby was born. It is only available for babies born before 1 July 2018 whose due date was on or after 1 July 2018.

 There are going to be a lot of calculators out.

The difference between $9,360 (3 years of $60 a week) and $2,200 is large.

Who decides what the official expected date is anyway? Many women can't remember the details required to calculate a specific date. Some do not discover they are pregnant until well into the gestation period. Or has some sort of science emerged since I was a expectant mum whereby an exact official date is declared and written in stone? Neither of mine was born on the predicted date. The first was very early and the second quite late.

Prediction: the number of 'premature' babies is going to rise significantly next month.

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