The Government Child Care Subsidy makes early learning more affordable for many Australians.
What’s Changed? As of Monday 3rd July 2023, the Child Care Subsidy (CCS) increased, which means most families using early childhood education and care will receive more financial support. Additionally, some families who were previously not eligible for CCS will now be able to benefit from it.
Here are the key changes:
- Higher Income Limit: The family income limit to qualify for CCS is increasing to $530,000.
- Increased Subsidy Amount: The maximum amount of CCS is increasing from 85% to 90%.
- Enhanced Subsidy for Lower Income Families: Families earning $80,000 or less will now receive a 90% subsidy.
- Gradual Subsidy Reduction: Families earning over $80,000 and under $530,000 will receive a subsidy that gradually decreases from 90%, depending on their income. The subsidy will reduce by 1% for each $5,000 earned.
- Higher Rate for Multiple Children: Families earning below $362,408 with more than one child aged 5 or under in care can still receive a higher rate for their second and younger children.