Childcare Subsidy

Effective July 2, 2018 the new child care subsidy (CCS) provides financial assistance to most working parents who rely on child care to:

Do you qualify for childcare subsidy?

It depends on three factors: Activity, income & type of  care.

Combined family income

Your family’s combined income will define the CCS percentage you’re entitled to. Remember, you will need to contact Centrelink when your combined income increases or decreases.

These tax brackets will be adjusted as per CPI every financial year.

Family Income
CCS %
$66,958
85%
$66,958 – $171, 958
Subsidy reduces 1% for every $3,000 over $66,958
$171,958 – $251,248
50%
$251,248 – $341,248
Subsidy reduces 1% for every $3,000 over $251,248
$341,248 – $351,248
20%
$351,248+
Nil

Level of activity

CCS is linked to how much a family contributes to the Australian economy through activity. This activity level is calculated from the parent with the lowest number of hours of activity.

Hours of activity (per fortnight)
Maximum number of hours of subsidy (per fortnight)
8 hours to 16 hours
36 Hours
16 hours to 48 hours
72 Hours
More than 48 hours
100 Hours

You will only be able to access the Child Care Subsidy if you are doing suitable activity and the amount of activity will then determine how many hours of Childcare Subsidy you are eligible for.

Once you have been assessed, the outcome will be available in your Centrelink online account through myGov.

Note: the government will be holding back 5% of CCS paid to families until reconciliation at the end of every financial year. This balance will be paid back to families in their tax return if they are eligible.

Questions or Concerns?

Please contact our Centre Nominated Supervisors who will be able to assist you with any questions or concerns you may have.

or

Visit the government’s website on the new system here. (https://www.education.gov.au/early-childhood-and-child-care-0)

Other links of interest:

Forms for your Centrelink Customer Reference Number (CRN): www.centrelink.gov.au

Information for your Childcare Benefit and subsidy: www.humanservices.gov.au