Child Care Subsidy FAQ’s

The Child Care Subsidy (CCS) is the main way the Government assists families with their child care fees. For more details refer to information on the government website at: https://www.servicesaustralia.gov.au/child-care-subsidy

Your Child Care Subsidy percentage will be based on your estimated combined annual family income. Your actual subsidy entitlement will be worked out after you have lodged your tax return.

No, but if you’re not working you will have to be undertaking other approved activities, like education and training or volunteer work, to get the subsidy. In a two-parent family, both parents must meet the activity test and the person with the lower number of hours will determine the relevant step of the activity test. In a sole-parent family, the sole parent must meet the activity test.

If your child is in the year before starting school you will not have to meet the activity test.

There are a range of activities that meet the activity test: paid work (including leave), study and training, unpaid work in a family business, looking for work, volunteering, self-employment, and other activities on a case-by-case basis. You can also include reasonable travel time to and from your place of activity to your child care centre.

If you undertake paid work, and paid or unpaid parental leave is a condition of your employment, then this is considered to be part of your paid work. There is no time limit on the amount of time you can be on unpaid parental leave.

The hourly rate cap is the maximum hourly rate the government will use to calculate your Child Care Subsidy. The hourly rate cap is adjusted annually. If the hourly rate at the centre your child is attending is above the capped rate, your subsidy will be based on the capped rate.

Families are entitled to 42 absence days per child, per financial year, and may be entitled to additional absence days in certain circumstances (including illness of the child, a parent or sibling). This entitlement is subject to variation, so ensure you check with your centre or on the CCS website about current entitlements.

Families in these circumstances may be able to access the Additional Child Care Subsidy, subject to individual circumstances. Our centre staff can support you in your application for Additional Child Care Subsidy.

Yes, unless you have a medical exemption.

You can use the ‘payment finder’ on the Centrelink website to estimate your subsidy. 

From 7 March 2022, families with more than one child aged 5 or younger will get a higher Child Care Subsidy (CCS). For more information, please check the Services Australia website.

To claim online, you need a myGov account linked to Centrelink. We suggest completing your application four weeks before your start date.

Once you have received notification from Services Australia that your CCS is approved and in order for your CCS payments to start coming through, you will need to confirm enrolment in MyGov.

To confirm enrolment in MyGov you will have to log onto your MyGov account and click on the Centrelink tab. In the drop-down menu on your left, select Chid Care Subsidy then click enrolment. Your child’s name should come up with enrolment details which you can then confirm.

To estimate your out-of-pocket expenses you can use https://startingblocks.gov.au/child-care-subsidy-calculator