The Child Care Subsidy (CCS) hourly rate caps and family income thresholds will go up from 6 July 2026.
The hourly rate caps and income thresholds are adjusted annually based on the Consumer Price Index (CPI).
The maximum hourly rate we subsidise is based on the type of care you provide. The 2026–27 hourly rate caps for each care type are outlined below.
| Care type | Hourly rate cap for children below school age | Hourly rate cap for school-age children |
|---|---|---|
| Centre Based Day Care | $15.19 | $13.30 |
| Outside School Hours Care | $15.19 | $13.30 |
| Family Day Care | $14.08 | $14.08 |
| In Home Care (per family) | $41.31 | $41.31 |
Learn more about hourly rate caps and see the rates for second and younger children on the Child Care Subsidy page.
The family income thresholds have also changed according to the CPI, as outlined below:
| Family income | Subsidy rate |
|---|---|
| Up to $88,520 | 90% |
| More than $88,520 to below $538,520 | Between 90% and 0% The percentage decreases by 1% for every $5,000 of income a family earns |
| $538,520 or more | 0% |
A family’s CCS subsidy rate is the percentage of the hourly rate the government will subsidise.
Read more about how much CCS a family can get on our website.