What is the Child Care Subsidy (CCS)?
The Child Care Subsidy is a government payment that reduces families out-of-pocket costs for childcare, including: Centre Based Day Care, Family Day Care or Outside School Hours Care.
Each family’s Child Care Subsidy covers a percentage of the childcare centre’s daily fees. This subsidy percentage is paid directly to childcare providers and then passed on to families as a fee reduction on their invoice. Families pay the gap fee between the daily fees charges and the subsided amount.
All Montessori Academy childcare centres are registered for the Child Care Subsidy (CCS). If you’re new to childcare, we recommend that you apply for the claim as soon as possible, so that you understand your eligibility and can confidently enrol at a childcare centre. For more information, you can visit Services Australia.
Factors Affecting Child Care Subsidy Eligibility
- Combined Household Income
- The activity level of your family (e.g. hours of paid work, volunteering, studying, self-employed work, actively job seeking)
- The type of childcare service you are enrolled in (All Montessori Academy childcare centres are registered for the Child care Subsidy)
- The fees you pay for childcare (hourly rate caps apply for each type of service)
Families Who Previously Received the Child Care Subsidy
If you have previously received CCS for the child you are enrolling and wish to receive the Child Care Subsidy (CCS) from Centrelink, please advise us of the following information on your Enrolment Application.
- Child’s CRN number
- Child’s Date of Birth
- Claiming parent’s CRN number
- Claiming parent’s Date of Birth
- Letter of approved subsidy
Please note that if details are not correctly supplied, this will impact your subsidy payments.
Minimising Disruption to your Child Care Subsidy
We recommend families complete the following steps to minimise disruptions to CCS entitlements:
- Give Centrelink your family income estimate to receive the correct CCS percentage and avoid an overpayment.
- Check your activity hours to receive the correct amount of hours of CCS per fortnight*.
- Make sure your child meets immunisation requirements.
- Check your child’s enrolment details are current with your child care service and re-enrol if you need to.
Once the details above have been provided to us, we will submit your enrolment details to Centerlink. We will also send you an email outlining further steps to be completed on your MyGov account and guide you through until the enrolment shows a ‘Confirmed’ status. Once your enrolment is confirmed CCS will be applied to your fees.
Once Your Enrolment is Submitted to Centrelink
If you are able to view your child’s enrolment details on your Centerlink account, please note the following:
- The enrolment start date displayed on your myGov account is the date the enrolment was submitted to Centerlink and is not reflective of your child’s actual start date. This is done to ensure that families receive their Child Care Subsidy from the child’s actual start date and eliminates any further delays with subsidy payments.
- If your child is currently attending another childcare centre, please note that confirming the enrolment with Montessori Academy via myGov will not effect any subsidies with the current centre. Child Care Subsidy for Montessori Academy will only be received from the child’s first attending day at Montessori Academy.
- Please note that the Child Care Subsidy application process needs to be completed by the parent/guardians through Centerlink. Our Family Care Team are here to assist you.
Combined Household Income
The Child Care Subsidy percentage your family is entitled to depends on your family’s combined household income.
|Your Family's Combined Household Income||Child Care Subsidy Percentage|
|$0 to $69,390||85%|
|$174,390 to below $253,680||50%|
|$253,680 to below $343,680||Between 50% and 20%
The percentage goes down by 1% for every $3,000 of income your family earns
|$343,680 to below $353,680||20%|
|$353,680 or more||0%|
|More than $69,390 to below $174,390||Between 85% and 50%
The percentage goes down by 1% for every $3,000 of income your family earns
Annual Subsidy Cap
If your family earns $189,390 or less, you won’t have an annual cap on your subsidy. If your family earns between $189,390 and $353,680 there will be an annual cap of $10,560 per child each financial year.
Centrelink withholds 5% of your Child Care Subsidy payments to accommodate for any changes to your expected and combined household income. This helps to reduce the likelihood of you getting an overpayment.
The Child Care Subsidy percentage your family is entitled to also depends on your family’s activity levels.
Recognised activities include:
- Paid work including being self employed
- Paid or unpaid leave, including paid or unpaid parental or maternity leave
- Unpaid work in a family business
- Unpaid work experience or unpaid internship
- Actively setting up a business
They can also include any of these:
- Doing an approved course of education or study
- Doing training to improve work skills or employment prospects
- Actively looking for work
- Other activities on a case by case basis
|Activity Level Each Fortnight||Hours of Subsidised Childcare Each Fortnight|
|Less than 8 hours||0 hours if you earn above $69,390
24 hours if you earn $69,390 or below
|More than 48 hours||100 hours|
|More than 8 to 16 hours||36 hours|
|More than 16 to 48 hours||72 hours|
Hourly Fee Cap
The amount of Child Care Subsidy you can get depends on the type of approved childcare you use. It also depends on the age of your child. All Montessori Academy childcare centres are eligible for the Centre Based Day Care Fee Cap which is an allowance of $12.20 per hour.
|Type of Child Care||Hourly Rate Cap|
|In Home Care||$33.17, per family|
|Centre Based Day Care i.e. Montessori Academy Childcare Centres||$12.20|
|Family Day Care||$11.30|
|Outside School Hours Care – before, after and vacation care||$10.67|
Absences and the Child Care Subsidy
Initial Allowable Absence Days
The Child Care Subsidy provides 42 allowable absence days per financial year. Absence days can be used for the days your child would normally attend care and receive CCS. Reasons may include: public holidays, family vacation, sick days. For the initial 42 absence days, evidence does not need to pe provided.
Additional Absence Days
If the initial 42 allowable absence day limit has been reached, families may be eligible to receive additional absence days. Additional Absence days require supporting document to be submitted by the family (i.e. medical certificates) and will need to be submitted to Centerlink by the service.
Absences on First and Last Day of Enrolment
Please note that your child must be physically attending the centre on their first and last day of enrolment to be eligible to receive the Child Care Subsidy.
- In the case they are absent on their first day of attendance followed by subsequent absent days, families can receive the Child Care Subsidy (for up to 7 days before the child’s first physical attendance) provided that supporting documentation has been submitted to the centre.
- In the case they are absent on their last day of attendance with preceding absent days, families can receive the Child Care Subsidy (for up to 7 days after the child’s last physical attendance) provided that supporting documentation has been submitted to the centre.
If you have plans to take time off from childcare for longer than 14 weeks, CCS will not pay your subsidy for all concurrent absent days if your child is not present on the last day of the 14 week period.