The child care subsidy

The Child Care Subsidy (CCS) is a Federal Government program to help families with the cost of early education and care. It was introduced in July 2018 and has made access easier and more affordable for Australian families, meaning more children benefit from the opportunities that early learning presents.

The CCS is means-tested and paid directly to providers, who then pass that fee reduction on to families. At Young Academics we want every child to benefit from having access to our signature quality early learning programs. As a registered childcare provider, families enrolled with us are eligible for CCS benefits.

As of the 10th December 2021, the annual cap for all families has been removed, giving more families choice about work and care. For families with more than 1 child aged 5 and under in care will get a higher subsidy for their second child and younger children.

Eligible higher rate children will receive a 30% higher subsidy, up to a maximum 95%.

Families will continue to receive their income tested CCS rate for all children. Children eligible for the higher rate will have the increase automatically included in their CCS percentage reported to services.

 

Am I eligible to receive CCS?

To receive the subsidy, some basic requirements must be satisfied. These include:

  • AGE – Your child must be aged 13 or under and must not attend secondary school (certain exemptions apply, e.g. disability, medical condition).
  • IMMUNISATION – The child must meet immunisation requirements as outlined by the Australian Government.
  • RESIDENCY – The individual (parent or guardian) applying must live in Australia and meet the residency requirement as outlined in legislation.
  • CHILDCARE PROVIDER – The childcare provider must be approved and delivered in Australia; the service type is also taken into consideration.
  • FAMILY INCOME – The amount of subsidy granted depends on the total taxable income of the individual parent/couple per financial year.
  • ACTIVITY LEVELS – The individual parent/couple with the lowest entitlement determines the hours of subsidised care the child.
Calculating the CCS
There are three factors that determine the level of the subsidy that
can be granted to your family:
Family income
Financial income refers to you, and your partner’s, combined taxable income for the entire financial year.
Hours of activity
The least active family member, in terms of ‘recognised’ activity, will determine the calculation of your CCS hours.
Hourly rate cap
This is determined by the type of approved service you use and the age of your child
Estimating your
CCS percentage
Your CCS percentage is based on combined family income. Here
is a breakdown of the subsidy percentages according to annual
income:
Your family income Child Care Subsidy percentage
$0 to $70,015 85%
$70,015 to $175,015 Between 85% and 50% The percentage goes down by 1% for every $3,000 of income your family earns
$175,015 to $254,305 50%
$254,305 to $344,305 Between 50% and 20% The percentage goes down by 1% for every $3,000 of income your family earns
$344,305 to $354,305 20%
$354,305 or more 0
What counts as “activity”?

The hours of CCS entitlement for each family are based on recognised activity. In two parent families, the hours of care entitled is determined by the person with the lowest number of hours of activity per fortnight. Recognised activity can count as:

  • Paid work including being self-employed
  • Paid or unpaid leave, including paid or unpaid parental or maternity leave (up to six months)
  • Participating in an approved course of education or study
  • Training to improve work skills and/or employment prospects
  • Unpaid work in a family business by an immediate family member
  • Unpaid voluntary work, work experience or internships
  • Actively looking for work
  • Actively setting up a new business that has not yet began operation (up to six months)
  • Recipients of JobSeeker, Parenting Payment or Special Benefit, with a compulsory mutual obligation requirement will have access to 36 hours of subsidised care per fortnight
  • Recipients of Carer Allowance will have access to 72 hours of subsidised care per fortnight
  • Other types of activity as assessed by Centrelink as maintaining or improving work skills
New hourly rate caps
per family income
The hours of subsidised care you can access per fortnight applies
to each child. There are four activity levels:
Activity level each fortnight Hours of subsidised care each fortnight
Fewer than 8 hours 0 hours if you earn above $70,015 24 hours if you earn $70,015 or below
More than 8 to 16 hours 36 hours
More than 16 to 48 hours 72 hours
More than 48 hours 100 hours
How to apply for CCS
per family income
Some other helpful resources:
1
Set up
Ensure your MyGov account is set up and ready to access
2
Claim
Sign in to your MyGov, go to Centrelink and select Payment and Claims, click Make a Claim Under Families, click Get Started, answer all questions and follow the prompts, then Submit your claim NOTE - Each child will require a separate claim
3
Supply documents
Supporting documents must be submitted
4
Tracking
Your claim can be tracked via your MyGov account – keep hold of your receipt details
Programs at
young academics

Young Academics promises stimulating, quality instruction and
child care programs which spark curiosity in your child.

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Evolution Program
Our signature approach to early learning education programs promotes the development of learning dispositions such as wonder, curiosity and imagination.
3-5
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Transition to School Program
Our Transition to School Program is designed to develop foundational skills, providing fluid transition into Early Stage One of the Australian School Curriculum.
Family
resources
Our family-focused approach is reflected in all aspects of our care. We are here to
nurture and grow with all in our network.
Orientation at YA
Orientation gives you a glimpse into life at Young Academics, including our early learning programs and facilities.
First day at YA
It’s a big day for both you and your child, so to ease the pressure here’s what to expect on their first day.