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CCS Eligibility CCS News CCS Rates

CCS Family eligibility and entitlement from 10 July 2023

From 10 July 2023, CCS is changing. This page outlines what’s changing for providers and services that administer CCS. Families can use the CCS Calculator at www.childcaresubsidycalculator.com.au to find out what their future rates may be.

Who can get CCS?

Families must meet eligibility criteria to get CCS.

Parents must:

  • care for their child at least 2 nights per fortnight or have 14% share of care
  • be liable for child care fees at an approved child care service
  • meet residency requirements.

Their child must:

  • meet immunisation requirements
  • not be attending secondary school (unless an exemption applies)
  • be 13 or under (except in certain circumstances).

If a child doesn’t attend a session of care at least once in 26 consecutive weeks, they will stop being eligible for CCS. If a child starts to attend care again, a family can make a new claim for CCS.

How much CCS can a family get?

The amount of CCS a family can get depends on their circumstances.

The family income limit to get CCS is increasing to $530,000. The maximum amount of CCS is increasing from 85% to 90%.

CCS rates from 10 July 2023

Family incomeSubsidy rate
$0 to $80,00090%
More than $80,000 to below $530,000Decreasing from 90% The percentage decreases by 1% for every $5,000 of income a family earns 
$530,000 or more0%

Number of children in care 

Families with more than one child aged 5 or under in care can get a higher subsidy for their second child and younger children.  

From 10 July 2023, the rates for each child are worked out using two separate income tests.

The ‘standard rate child’ is usually the eldest CCS eligible child aged 5 or under. From 10 July 2023, the standard rate child will get the standard CCS rates.

The ‘higher rate child’ is the second and any younger children aged 5 or under. The higher rate for second and younger children is calculated using the for second and younger children.

The higher subsidy for second and younger children will end when a family earns $362,408 or more.

Rates for second and younger children from 10 July 2023

Family income  Second and younger children subsidy rate
$0 to $138,11895%
More than $138,118 to below $183,118Decreasing from 95%The percentage decreases by 1% for every $3,000 of income a family earns 
$183,118 to below $262,40880%
$262,408 to below $352,408Decreasing from 80%The percentage decreases by 1% for every $3,000 of income a family earns
$352,408 to below $362,40850%
$362,408 or moreHigher CCS rates no longer apply, all children in the family will receive the standard CCS rate

2023–24 hourly rate caps

Care typeHourly rate cap
for children below school age
Hourly rate cap
for school-age children
Centre Based Day Care$13.73$12.02
Outside School Hours Care$13.73$12.02
Family Day Care$12.72$12.72
In Home Care (per family)$37.34$37.34
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CCS Eligibility CCS News

New CCS eligibility rule is starting from 11 July 2022: 26-week rule

A new CCS eligibility rule is starting soon.

From 11 July, a child who hasn’t used care at least once in the previous 26 weeks will no longer be eligible for CCS.

If a child has not attended care since 10 January 2022, their CCS will cancel from 11 July. The rule will apply on an ongoing basis from this date. Families will need to submit a new CCS claim if the child re-commences care.

Services Australia will notify impacted families. Child care centres do not need to take action.

Services Australia will not raise CCS debts when applying the 26-week rule. Any changes to CCS entitlement will only apply from the date of cancellation.

Will the rule impact a family’s higher CCS?

Families with more than one child aged 5 or under in care can get a higher CCS for their second child and younger children.

The 26-week rule may affect a family’s entitlement to the higher CCS.

If a standard rate child’s CCS eligibility ends, Services Australia will reassess all other children in the family to determine:

  • the new standard rate child
  • new subsidy rates.

If a child starts to attend care again, after their CCS was cancelled, the family can lodge a new claim for CCS.

The 26-week rule will not affect any backpay made to combined families for any higher subsidy they were eligible for between 7 March and 30 June 2022.

If families have questions, please contact Services Australia.

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CCS News

Clarification on eligibility for the higher child care subsidy rate

If Services Australia believes there is no intention for a child to use child care, they will end a child’s CCS eligibility. Generally speaking in order to get the higher CCS, the eldest CCS-eligible child aged 5 in the family needs to use care.

However between 7 March and 10 July 2022, families can get the higher subsidy even if their eldest CCS-eligible child aged 5 or under is not using care. This transition period will help families plan their child care arrangements.

From 11 July 2022 onwards, children who haven’t used care in 26 consecutive weeks will no longer be eligible for CCS. This rule will first be applied to children who haven’t used care for the 26-week period from 10 January to 11 July 2022.

This may affect a family’s entitlement to the higher subsidy.

If a standard rate child’s CCS eligibility ends, Services Australia will reassess all other children in the family to determine:

  • the new standard rate child
  • new subsidy rates.

Services Australia will not reassess CCS payments for the 26-week period, for example between 7 March and 10 July 2022. The family must remain eligible during this period.

If a child starts to attend care again, a family can lodge a new claim for CCS.

You can visit Services Australia website for more information about the higher CCS.