Childcare Subsidy Calculator
What is the Child Care Subsidy?
The Child Care Subsidy (CCS) is an Australian Government initiative designed to help eligible families reduce the cost of early learning and childcare.
CCS helps make quality early education more affordable by paying a subsidy directly to your approved childcare provider, reducing the amount you pay in out-of-pocket fees.
The amount of Child Care Subsidy your family may receive is based on several factors, including:
- your family’s combined annual income
- the type of approved childcare service your child attends
- your child’s age and circumstances
- the number of hours of recognised activity completed by you and your partner (such as work, study, training, volunteering or looking for work)
- any additional circumstances that may affect your eligibility.
To claim CCS, you’ll need to apply through your Centrelink online account linked to myGov.
Kids Club recommends applying for Child Care Subsidy at least three months before your child’s intended start date to help ensure your subsidy is in place before care begins.
How Does the Child Care Subsidy Work?
The Child Care Subsidy (CCS) helps reduce your childcare fees by paying a subsidy directly to your approved childcare provider. The subsidy is applied to your fees, so you only pay the remaining out-of-pocket amount. The amount you receive depends on your family’s circumstances, including income and recognised activity hours.
How to Calculate Your Childcare Subsidy
Every family’s circumstances are different, so the amount of Child Care Subsidy (CCS) you may receive will vary. Our Child Care Subsidy Calculator provides an estimate of your out-of-pocket childcare costs based on your family’s individual circumstances.
To calculate your estimated subsidy, you’ll need:
- Your combined annual family income
- Your recognised activity hours (and your partner’s, if applicable)
- The type of approved childcare service your child will attend
- Your child’s age and expected days of attendance
The calculator provides an estimate only. Your actual Child Care Subsidy entitlement will be determined by Services Australia based on your individual circumstances.
What is included in your fees?
At Kids Club Early Childhood Learning Centres, our fees are all-inclusive, giving your family exceptional value with no hidden costs or unexpected extras.
Your child’s daily fee includes a wide range of premium services and experiences, including:
- Nutritious meals prepared fresh daily by our in-house chefs
- Nappies, wipes and sunscreen
- A Kids Club backpack, hat, shirt, jacket and water bottle
- A play-based educational program aligned with the Early Years Learning Framework (EYLF)
- School Readiness and Preschool Programs
- Regular incursions and excursions
- Access to purpose-built indoor learning environments and outdoor playscapes
- Experienced, qualified Educators and Early Childhood Teachers
- Daily updates and communication through the OWNA Family App
At Kids Club, we believe in providing everything your child needs to learn, grow and thrive in one simple daily fee, so you can enjoy complete peace of mind.
CCS Rates & Savings Per Income Band
| Family Income (per year) | CCS Rates 2026-27 |
|---|---|
| $88,520 | 90% |
| $138,520 | 80% |
| $188,520 | 70% |
| $238,520 | 60% |
| $288,520 | 50% |
| $338,520 | 40% |
| $388,520 | 30% |
| $438,520 | 20% |
| $488,520 | 10% |
| $538,520 | 0% |
Examples of Child Care Subsidy
Different circumstances lead to different subsidy rates. We know that every family is unique. To help you understand how to determine the Child Care Subsidy (CCS), we’ve provided some examples that reflect a variety of family situations:
Standard rate of CCS example
Bryan and Anna, parents to energetic Henry, juggle an annual household income of $210,000. Their child Henry is enrolled in a long day care service. Therefore, it is estimated that they will receive 64% of CCS.
Higher rate of CCS example
Emily and Sam have two young children, three-year-old Leo and one-year-old Sara, both enrolled in a local daycare centre. They qualify for higher CCS rates with a combined annual income of $82,000 because both children are under five, and their income is below the higher rate threshold. Leo receives a standard CCS rate of 90%, while Sara, being younger, receives a higher rate of 95%.
When considering the costs associated with childcare, a useful tool in this process is the childcare subsidy calculator, which helps estimate the amount of government support available to offset childcare costs. By entering some basic information about your family’s income and childcare expenses, this calculator can provide an estimate of your potential rebate, making it easier to plan your financial commitments each month.
Child Care Subsidy Frequently Asked Questions
How do I claim Child Care Subsidy?
You can apply for the Child Care Subsidy (CCS) through your Centrelink online account via myGov. Before you apply, make sure your Centrelink online account is linked to your myGov account.
Once your CCS claim has been approved, you’ll also need to confirm your child’s enrolment details through Centrelink before your subsidy can be applied.
Please be aware that it can take a few weeks for your CCS claim to be processed.
What is the CCS Activity Test?
The Child Care Subsidy (CCS) Activity Test helps determine how many hours of subsidised childcare your family can access each fortnight. It looks at the recognised activities completed by both parents (or a single parent), such as:
- Paid work (including self-employment)
- Paid or unpaid leave
- Studying or training
- Looking for work
- Volunteering
The number of subsidised hours you receive is based on the parent with the lower level of recognised activity. Your family’s combined income is then used separately to calculate the percentage of Child Care Subsidy you’re entitled to receive.
From 5 January 2026, many families are also eligible for the Three Day Guarantee, which provides at least 72 hours of subsidised care per fortnight (equivalent to three days per week) for children who meet the eligibility requirements, even if they don’t meet the traditional Activity Test.
To check your family’s eligibility, recognised activities and estimated subsidy, visit Services Australia or use our Child Care Subsidy Calculator to estimate your out-of-pocket childcare costs.
What information do I need to provide to Kids Club?
To have your Child Care Subsidy (CCS) applied to your childcare fees, you’ll first need to submit a CCS claim through Centrelink and receive your eligibility assessment.
Please provide Kids Club with:
- The claiming parent or guardian’s Customer Reference Number (CRN)
- Each enrolled child’s Customer Reference Number (CRN) (each child requires an individual CCS assessment)
Once we have these details, we’ll submit your child’s enrolment to Centrelink. You’ll then need to confirm the enrolment through your myGov account (or the Express Plus Centrelink app) before your CCS can be applied to your fees.
If you need any assistance throughout the process, our Enrolments Team is here to help.
Why is my CCS less than I expected?
There are several reasons why your Child Care Subsidy (CCS) may be lower than you expected.
Your subsidy is based on your combined family income, recognised activity hours, and the hourly rate cap set by the Australian Government. If your childcare service charges more than the hourly rate cap, you’ll need to pay the difference, as CCS only applies to the lower of your service’s hourly fee or the government cap. From 6 July 2026, the Centre Based Day Care hourly rate cap is $15.19 per hour for children below school age.
You may also choose to have up to 5% of your CCS withheld throughout the financial year to help reduce the likelihood of an overpayment or debt when your entitlement is balanced by Services Australia.
If you’re unsure why your subsidy has changed, you can update your family income estimate and activity details with Services Australia or use our Child Care Subsidy Calculator to estimate your out-of-pocket childcare fees.
How do hourly rate caps work?
The Australian Government sets an hourly rate cap, which is the maximum hourly fee used to calculate your Child Care Subsidy (CCS). Your CCS percentage is applied to the lower of:
- Your childcare service’s hourly fee, or
- The government’s hourly rate cap.
To work out the hourly fee, the daily session fee is divided by the number of hours in the session.
For example:
Riley attends a Kids Club centre that charges $170.00 for an 11-hour session.
- Daily fee: $170.00
- Session length: 11 hours
- Hourly fee: $15.45 per hour
Because the hourly fee is higher than the current Centre Based Day Care hourly rate cap of $15.19 per hour (from 6 July 2026), Riley’s CCS percentage is applied to $15.19 per hour, not the full hourly fee. Riley’s family pays the remaining difference as part of their out-of-pocket childcare costs.
