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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 News CCS Rates

Changes to CCS from July 2023

Child Care Subsidy (CCS) is changing.

From July 2023 most families using child care will get more CCS. Here’s what you need to know:

  • The maximum amount of CCS is increasing from 85% to 90%.
  • Families earning $80,000 or less will get 90% subsidy.
  • Families earning over $80,000 and under $530,000 will get a subsidy that tapers down from 90%, depending on their income. The subsidy will go down by 1% for each $5,000 earned.
  • Families earning below $362,408 with more than one child aged 5 or under in care can still get a higher rate for their second and younger children when the changes occur on 10 July 2023. The higher rate for second and younger children will end when a family earns $362,408 or more. All children will then receive the standard CCS rate. (Updated on 01/03/2023)
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CCS News CCS Rates

The first Child Care Subsidy (CCS) fortnight of the 2022–23 financial year began on Monday 11th July 2022

CCS rates have increased in line with the Consumer Price Index.

Child Care Subsidy (CCS) rates are adjusted each July based on the Consumer Price Index (CPI) for the previous December.

The following rates will take effect the first day of the CCS fortnight, which is 11 July 2022: 

Combined annual income

The amount of CCS a family can get depends on their combined annual income. 

New CCS family income thresholds Subsidy % 
Up to $72,466 85% 
More than $72,466 to below $177,466 Decreasing to 50%Subsidy gradually decreases by 1% for each $3000 of family income. 
$177,466 to below $256,756 50% 
$256,756 to below $346,756 Decreasing to 20% Subsidy gradually decreases by 1% for each $3000 of family income.
$346,756 to below $356,756 20% 
$356,756 or more 0% 

Hourly rate cap

The maximum hourly rate we subsidise is based on the type of service.

Service type New hourly rate cap
(children below school age) 
New hourly rate cap
(school-aged children) 
Centre Based Day Care $12.74 $11.15 
Outside School Hours Care $12.74 $11.15 
Family Day Care $11.80 $11.80 
In Home Care (per family) $34.64 $34.64 

The 26-week rule

The 26-week rule has started. Children who haven’t used care at least once in the previous 26 weeks will no longer be eligible for CCS. Families can submit a new claim if their child recommences care.

Allowable absences

Allowable absences have reset. Children have 52 absences for the 2022–23 financial year.

Higher CCS for combined families

Combined families can now get the higher CCS.

The higher CCS recognises diverse family circumstances, including combined families. A combined family is where each parent or carer gets CCS for different children in their family.

The Child Care Subsidy System is being enhanced to recognise combined families from July 2022.

Services Australia will backpay the higher subsidy amount to affected families for the period March to July.

Some combined families may notice a higher rate from March 2022. This will occur if one member of the couple is CCS-eligible for more than one child age 5 or under in care. Services Australia will reassess the family’s eligibility as a whole from July 2022 and backpay any higher subsidy due for the period between March and July.

Combined families who want to get the higher subsidy before July 2022 can choose one member of the couple to claim CCS for all children. That individual will need to make a new CCS claim. Families should do this as soon as possible because claims can only be backdated for a maximum of 28 days.

If a family takes up this option, you must update the family’s enrolments. Enrolments must reflect the individual who is now claiming CCS for all children. 

Combined families do not have to take up this option. They can simply wait until July 2022 to get the higher subsidy rate. These families will be back paid their full higher subsidy entitlement for the period March to July.