The new Child Care Subsidy
There are also changes to the annual cap which will make child care more affordable for most families.
Three things determine a family’s level of Child Care Subsidy:
- A family’s annual adjusted taxable income determines the percentage of subsidy they are eligible for
- An activity test determines how many hours of subsidised care families can access, up to a maximum of 100 per fortnight, and
- The type of child care service determines the hourly rate cap.
More information about individual subsidy rates and annual cap changes is available in the New Child Care Package brochure.
Some basic requirements must be satisfied for an individual to be eligible to receive Child Care Subsidy for a child. These include:
- the age of the child (must be 13 or under and not attending secondary school)
- the child meeting immunisation requirements
- the individual, or their partner, meeting the residency requirements.
What you need to do
- Sign into your Centrelink online account through myGov
- Select Complete your Child Care Subsidy assessment task.
- Work through the steps to provide new information and confirm your current details.
Apply for the new Child Care Subsidy
If you were receiving child care fee assistance before 2 July 2018 and haven’t transitioned to the Child Care Subsidy yet, you can still complete an online Child Care Subsidy assessment up to 23 September 2018, using your Centrelink online account through myGov.
Your previous child care fee assistance information did not automatically rollover to the Child Care Subsidy and you may now be paying full fees for your child care because you haven’t completed your Child Care Subsidy assessment or because you need to go online via your Centrelink account through myGov to confirm your child’s enrolment.
If you complete your transition online assessment by 23 September 2018 your subsidy will be paid in arrears back to 2 July 2018, subject to availability.
From 24 September 2018 you will need to submit a new Child Care Subsidy claim if you wish to receive child care fee assistance.
You will also need to submit a new claim for Child Care Subsidy if you have only recently started using child care or if you claimed child care fee assistance as a lump sum in 2017-18 and wish to receive the new Child Care Subsidy in 2018-19.
You can submit a new Child Care Subsidy claim using your Centrelink online account through myGov. You should complete a claim as soon as possible as Centrelink can only backdate claims for the new subsidy for up to 28 days.
To apply for the Child Care Subsidy, you will need to provide details, including:
Login now to complete your online form now through myGov.Payment and Services Finder.
Lump sum payments
2017-18 was the last year you could claim child care payments as a lump sum. If you have claimed this way previously, you will need to complete a new Child Care Subsidy claim using your Centrelink online account through myGov. You should claim as soon as possible as Centrelink can only backdate claims for the new subsidy for up to 28 days.
Step 2. Link myGov to Centrelink. You can do this under Services.
Step 3. Select Centrelink and complete the Child Care Subsidy Assessment.
The Child Care Safety Net
The Package includes a $1.2 billion Safety Net to give the most vulnerable and disadvantaged children, as well as those from regional and remote communities, a strong start through access to quality early learning and child care.
Estimate what your new Child Care Subsidy might be, go to the Payment and Services Finder.
More information about child care can be found on the Department of Education and Training website.