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Additional Child Care Subsidy (grandparent)

Additional Child Care Subsidy (grandparent) provides ongoing increased child care fee assistance to grandparents on income support who are the principal carers of their grandchildren.

A grandparent or a great-grandparent includes a natural, adoptive or step grandparent (or great-grandparent) of the grandchild, or the grandparent's (or great-grandparent's) current or former partner.

Eligible grandparents will receive a subsidy equal to the actual fee charged by the child care service, up to 120 per cent of the Child Care Subsidy hourly rate cap for up to 100 hours per fortnight. These grandparents will not have to meet activity test requirements.

Information for families

Grandparent carers need to apply directly to Centrelink for Additional Child Care Subsidy (grandparent).

Providers are not directly involved in the application process but may wish to encourage families whose circumstances may make them eligible for Additional Child Care Subsidy (grandparent) to enquire with Centrelink.

Providers will be notified if the Additional Child Care Subsidy (grandparent) payment is approved for a child enrolled in their service.

To be eligible for Additional Child Care Subsidy (grandparent), an individual must:

  • meet the eligibility requirements for Child Care Subsidy
  • be the grandparent or great-grandparent of the child or children
  • be the principal carer of their grandchild or grandchildren, providing all or at least 65 per cent of ongoing daily care and have substantial autonomy for day-to-day decisions about the child's care, welfare and development (the grandparent does not have to have formal guardianship of the child)
  • receive a social security pension from the Department of Human Services or a service pension or income support supplement from the Department of Veterans' Affairs (DVA), including any of the following:
    • Age Pension
    • Austudy
    • Bereavement Allowance
    • Carer Payment
    • Disability Support Pension
    • Disability Support Pension (blind)
    • DVA Income Support Supplement or Service Pension
    • Mature Age Allowance
    • Mature Age Partner Allowance
    • Newstart Allowance
    • Parenting Payment
    • Partner Allowance
    • Sickness Allowance
    • Special Benefit
    • Special Needs Pension
    • Widow Allowance
    • Widow B Pension
    • Wife Pension, or
    • Youth Allowance.

Grandparents will be required to provide evidence of their grandparent relationship and principal care arrangements, such as:

  • a child protection order made under the state/territory care and protection laws
  • a parenting order or consent order made under the Family Law Act 1975
  • birth and marriage certificates to prove relationship
  • third-party evidence such as a letter from child's school, general practitioner or other third-party (who has regular interactions with the family and can independently verify the circumstances) that supports the principal care arrangements
  • a statutory declaration confirming the relationship or principal care arrangements, where they cannot obtain third party evidence.

Grandparent carers may be eligible for Child Care Subsidy if they are either:

  • principal carers not on income support, or
  • not principal carers of their grandchildren but have regular or shared care of the child (that is, they care for them between 14 and 64 per cent of the time).

For more information, see Grandparent carers.