Family FAQ

How does Child Benefit get clawed back?

Through the High Income Child Benefit Charge, which uses the higher earner’s adjusted net income rather than total household income.

The short answer

If the higher earner in a couple has adjusted net income above £60,000, the High Income Child Benefit Charge starts to claw back Child Benefit. By £80,000, the charge can wipe out the full annual Child Benefit amount.

Why the charge surprises people

Best next pages

Use Child Benefit and HICBC Calculator for the actual charge and Adjusted Net Income Calculator if you need to understand the threshold number first.

Official source: GOV.UK Child Benefit tax calculator guidance.