3.5.2.80 CCB Adjustment Percentage Example  4 Children, Income above Upper Threshold
Summary
This topic shows the calculation of the approved care CCB adjustment percentage (1.1.A.40) for an individual with 4 nonschool children (1.1.S.15) in LDC for 40 hours per week. The family's ATI (1.1.A.20) is $120,000 per year. The adjustment percentage is determined by calculating the:
Act reference: FAAct Schedule 2 clause 2 Adjustment percentage
Policy reference: FA Guide 3.5.2.10 CCB Overall Rate Calculation  Approved Care, 3.5.2.20 Calculating the Approved Care Adjustment Percentage
Calculating the MWB
The following table shows the 5 steps in calculating the individual's MWB.
Step  Action  $ 

1  ATI of $120,000 is above the upper income threshold (1.1.I.70) of $105,263 p.a.   
2  The family does not receive income support (1.1.I.50) nor is it in an employment income nil rate period.  
3  Determine the weekly income excess:

105,263.00 14,737.00
283.40 
4  Determine the weekly taper amount:

283.40 99.19 
5  Determine the MWB:

1,156.71 173.51 934.85 173.51 761.34 
Calculating the adjustment percentage
The following table shows the 6 steps in calculating the individual's adjustment percentage.
Step  Action  % 

1  Determine the taxable income percentage:

13.03
86.97 
2  Determine the multiple child percentage:

88.5 
3  Determine the CCB percentage:

88.5 86.97 76.96 
4  Determine the parttime percentage (1.1.P.50):

100 
5  Determine the schooling percentage (1.1.S.20):

100 
6  Determine the adjustment percentage:

100 100 76.96 76.96 
The individual may choose to round down their CCB percentage from 76.96% to 76%. This option was introduced in January 2003.