Posted July 2023

The Child Care Subsidy (CCS) is the main way the Australian Government helps families with child care fees, and from 10 July 2023, CCS is changing.

Most families using child care will get more subsidy and some families previously not eligible for CCS will now get it. This is positive news as it means early childhood education and care will become more affordable and accessible for Australian families.

The main changes to CCS are:

  • The maximum amount of CCS is increasing from 85% to 90%.
  • Families earning $80,000 or less will get a CCS rate of 90%.
  • Families earning over $80,000 get a CCS rate that decreases by 1% for each $5,000 of family income. This rate reaches 0% for families earning $530,000.
  • 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.
  • Families with an Aboriginal and/or Torres Strait Islander child in their care can get at least 36 hours of subsidised care per fortnight.

Families can visit to find out what the CCS changes mean for them and there are a range of resources available including:

  • Factsheets and posters
  • Videos
  • Translated materials

Families can also use the CCS Calculator on the Starting Blocks website to find out what their future CCS rates may be and more information can be found on the Services Australia website.

These changes to the CCS will impact families at the following KU services in NSW and VIC.

The service shown in the Australian Government’s July 2023 Child Care Subsidy TV commercial above was proudly filmed at a KU service in May this year.