CCS is available to eligible families. This scheme is funded by the Federal Government and ensures that all families have equal access to child care. You need to follow these steps to find out whether you are eligible:

To be eligible for Childcare Subsidy the following requirements must be met:

The child must:

  • be a ‘Family Tax Benefit child’ or ‘regular care child’ and
  • be 13 or under and not attending secondary school and
  • meet immunisation requirements

the person claiming the Child Care Subsidy, or their partner, must:

  • meet residency requirements and
  • be liable to pay for care provided under a Complying Written Arrangement (their written agreement) with their child care provider

the child care must be provided by an approved provider in Australia and not be part of a compulsory education program, for example school. Note that there are exemptions for individuals who genuinely cannot meet some eligibility requirements.

The level of a subisdy a family receives depends on 3 factors:

  • Income – a family’s (both partners) combined income
  • Activity test – what activities the individual and their partner undertake or exemptions that might apply and
  • Service type – the type of approved child care service used, for example Centre Based Day Care

Combined family income

The table below outlines combined family income and relevant rate of Child Care Subsidy to which families will be entitled. Details accurate as at the time of publishing. Refer to xxxx for the most up to date information.

Comined family income Childcare Subsidy Percentage
Up to $69,390 85%
More than $ $69,390 to below $174,390 Decreasing to 50%  (The % goes down by 1% for every $3,000 of income your family earns)
$174,390 to below $253,680 Between 50% and 20%  (The % goes down by 1% for every $3,000 of income your family earns)
$253,680 to below $343,680 Decreasing to 20%
$343,680 to below $353,680 20%
$353,680 or more Nil

Your level of activity

The amount of contribution to the Australian economy through activity (both paid and unpaid) influences your CCS. This activity is calculated using the parent with the lowest number of hours of activity per fortnight.

Activity level per fortnight Hours of subsidised care per fortnight
Less than 8 hours 0 hours if you earn above $68,163

24 hours if you earn $68,163 or below

More than 8 to 16 hours 36 hours
More than 16 to 48 hours 72 hours
More than 48 hours 100 hours

What counts as Activity?

  • Paid work (this includes the time between dropping your children off at the centre and picking them up, your commute time and lunch breaks etc)
  • All types of work across all jobs / employers
  • Authorised leave (such as maternity, long service or annual leave)
  • Up to 6 months unpaid leave
  • Unpaid work in a family business
  • Study and training (this includes additional study outside scheduled hours, non-class and holiday periods)
  • Time spent volunteering
  • Time spent looking for work

Exemptions to the Activity Test

  1. Universal access: if, in the year that is 2 years before Grade 1 of school (i.e preschool or a kindergarten program) a child attends an early educational program at a childcare centre they are entitled to up to 36 hours per fortnight, irrespective of the parent’s activity.
  2. Low-income families: If, with no activity, the family earns less than $65,710 per annum, they are entitled to up to 24 hours per fortnight.
  3. Individuals on income Support: automatically qualify for 36 hours of activity per fortnight plus any other recognised activity (studying, volunteering etc).
  4. Individuals receiving a Carer’s Allowance automatically qualify for either 72 hours per fortnight, or, the actual time spent caring plus any other form or recognised activity (whichever is the higher).

The childcare provider hourly rate

The last factor considered when calculating your CCS is the hourly rate charged for childcare. CCS is calculated according the the lowest of:

  1. The centre’s hourly fee (daily fee divided by the hours of operation)
  2. The hourly rate cap of $12.20 per hour.