New Child Care Subsidy

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Child Care Subsidy From 2 July 2018, one new Child Care Subsidy will replace the two current child care payments.

This transition cannot happen automatically.

To transition, you will need to complete an online Child Care Subsidy assessment using your Centrelink online account through myGov. You should do this as soon as possible.

 

You will be asked to provide some new information and confirm your current details, including:

  • Combined family income
  • Activity level of parents
  • Type of child care service

If families do not complete their assessment before 2 July 2018, they may not receive any child care fee assistance.

Child Care Subsidy

The Package includes a new Child Care Subsidy, which replaces the current Child Care Benefit and Child Care Rebate. The Child Care Subsidy will be paid directly to services.

There are also changes to the annual cap which will make child care more affordable for most families.

Three things will determine a family’s level of Child Care Subsidy:

  • A family’s annual adjusted taxable income will determine the percentage of subsidy they are eligible for
  • An activity test will determine how many hours of subsidised care families can access, up to a maximum of 100 per fortnight, and
  • The type of child care service will determine the hourly rate cap.

More information about individual subsidy rates and annual cap changes is available in the New Child Care Package brochure.

Some basic requirements must be satisfied for an individual to be eligible to receive Child Care Subsidy for a child. These include:

  • the age of the child (must be 13 or under and not attending secondary school)
  • the child meeting immunisation requirements
  • the individual, or their partner, meeting the residency requirements.

For further information head to the Department of Educations website of which this information has been taken from.

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