Aussie Pay Calc

Childcare Subsidy Calculator

Estimate your Child Care Subsidy (CCS) based on your family income. See how much the government will contribute and what your out-of-pocket childcare costs will be.

Eligibility Criteria

  • You care for your child at least 2 nights per fortnight, or 14% care
  • A child for whom an approved child care service is provided
  • The child must be 13 or younger and not attending secondary school
  • The child must attend a registered or approved child care service
  • Child must meet immunisation requirements

Income Estimate

Provide an estimate of how much you and your partner earn in the current financial year. Include regular salary and other income such as bonuses, rental income, and investment returns.

$
%

Activity Criteria

Select how many hours you work per fortnight, or select a recognised activity type. If you have a partner, choose the rate for the parent with the lower activity level.

Max subsidised hours: 100 hours/fortnight

Number of Children

If you have more than one child aged 5 or younger in care, you may get a higher Child Care Subsidy. This may apply for one or more of your children.

Child 1

$

Cost After Subsidy

$125

per week

Subsidy Amount

$375

per week

Utilisation

60%

of subsidised hours

Hourly fee: $17Hourly cap: $15Subsidy/hr: $13Hourly rate exceeds cap — subsidy based on capped rate

Your Subsidy Estimate

CCS Rate

90%

Government Pays

$375

per week

You Pay

$125

per week

Total Fee

$500

per week

Govt
PeriodSubsidyAfter WithholdingOut of PocketTotal Cost
Weekly$395$375$125$500
Fortnightly$790$751$249$1,000
Annual$20,541$19,513$6,487$26,000

CCS Rate by Family Income

90%45%0%
$0$150k$300k$450k$600k

Dashed line shows your current family income

How it works

  • CCS covers up to 90% of fees, capped at the hourly rate set by the government for your care type
  • The subsidy is paid directly to your childcare provider, reducing your gap fee
  • Maximum subsidised hours depend on the activity test (100 hours/fortnight based on your activity level)
  • 5% is withheld from your subsidy to reduce the chance of an overpayment at year-end

Frequently Asked Questions

How is the Child Care Subsidy (CCS) calculated?
The CCS is calculated based on three factors: your combined family income (determines the subsidy percentage from 0% to 90%), the type of childcare (determines the hourly rate cap), and the activity test (determines the maximum subsidised hours per fortnight). The subsidy is applied to the lower of the actual fee or the hourly cap.
What are the CCS income thresholds for 2025-26?
Families earning up to $85,279 receive the maximum 90% subsidy. The rate decreases by 1% for every $5,000 of income above this threshold. Families earning above $535,280 receive no subsidy. These thresholds are indexed each year.
What is the hourly rate cap?
The government sets maximum hourly rates it will subsidise. For 2025-26, centre-based day care and OSHC are capped at $14.63/hour, and family day care at $13.56/hour. If your provider charges more than the cap, you pay the difference in full plus your gap fee.
What is the activity test?
The activity test determines how many hours of subsidised care you can access per fortnight. Activities include paid work, study, training, volunteering, or looking for work. From January 2026, all families receive a minimum 72 subsidised hours per fortnight (equivalent to 3 days per week) regardless of activity, known as the 3-day guarantee.
How is the CCS paid?
The CCS is paid directly to your childcare provider, reducing the amount you need to pay. You pay the gap fee — the difference between the total fee and the subsidy. At the end of the financial year, your subsidy is reconciled based on your actual family income from your tax return.
Do I need to be working to get the CCS?
From January 2026, all families with children aged 0-5 in approved care receive a minimum 72 hours per fortnight (3-day guarantee), regardless of their activity level. For additional hours beyond 72, at least one parent needs to meet the activity test. Families with school-age children (6-13) still need to meet the activity test for all subsidised hours.

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