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HMRC has issued a warning to parents claiming Child Benefit who have recently seen their pay boosted over a certain level. Child Benefit is a form of tax-free financial support from the Government for parents or guardians of a child under 16 or under 20 if they stay in approved education or training.

And while only one person can get Child Benefit for a child, there's no limit on how many children you can claim for. Claiming it comes with a number of benefits, including:

• an allowance paid to you for each child - you'll usually get it every four weeks
• National Insurance credits which count towards your State Pension
• a National Insurance number for your child without them having to apply for one - they'll usually get the number shortly before they turn 16 years old

But while the benefit isn't means tested, it is subject to a High Income Child Benefit Charge if either the claimant or a partner they're living with receives Child Benefit, and at least one of you earns more than the threshold.

HMRC flagged the rule in a post on X, writing: "Attention parents! Recently had a pay rise? If you're now earning over £60k and you get Child Benefit you may need to pay some of it back.

"You can use the new High Income Child Benefit Charge service if you don't already complete Self Assessment."

In these cases money is clawed back by HM Revenue and Customs (HMRC) via a tax return. It's paid back by the person in the relationship earning over the threshold, which is currently £60,000.

The charge may also apply if someone else who doesn't live there, like an ex-partner or grandparent, gets Child Benefit for a child living with you, and they contribute at least an equal amount towards the costs of looking after the child. If the guardian living with the child exceeds the threshold, they would pay back the child benefit the other party is receiving.

It does not matter if the child living with you is not your own child, the UK Goverment website explains.

An individual income is over the threshold if it is:

• in excess of £60,000 for tax years starting from 2024 to 2025
• over £50,000 for tax years up to and including the tax year 2023 to 2024

You'll have to pay 1% of your Child Benefit for every £200 you earn over the £60k threshold.

The example the Government provides is if your adjusted net income is £67,600 in tax year 2024 to 2025, it would be £7,600 over the threshold.

7,600 divided by 200 is 38, meaning the Government will claw back 38% of your Child Benefit.

However, if you or your partner earn £80,000 or more the whole of the benefit will need to be paid back. You can find out more about the High Income Child Benefit Charge on the UK Government website.