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Chances are, if your child is attending childcare this year, you’ll be making use of the Child Care Subsidy (CCS). Starting from July 2023, there are a few changes to the CCS which have been designed to make childcare more accessible and affordable. Here’s what those changes mean for you.

1. You may be eligible for CCS even if your household income was previously too high

If your family earns more than $356,756 per year, you are not currently eligible for any subsidy. However, from July onwards, this threshold will be increased significantly to $530,000 per year, making the subsidy available to many more households. The exact percentage subsidy you receive will depend on your specific income.

2. If your family earns $80,000 or less, you will be eligible for the maximum subsidy

Currently, the threshold for receiving the maximum childcare subsidy is $72,466. From July onwards, the threshold will increase to $80,000 per year, meaning more families will be eligible for the maximum subsidy. The maximum subsidy will also increase from 85% to 90%, which will make child care even more affordable for lower-income families.

3. Aboriginal and Torres Strait Islander children will receive more subsidised care

From July, all Aboriginal and Torres Strait Islander children will receive at least 36 hours of subsidised care, regardless of the number of hours their parents spend engaging in work or study. Some families may be entitled to more hours of subsidised care depending on their circumstances.

The government has also announced changes to Paid Parental Leave and Dad and Partner Pay which may be relevant to you if you’re expecting a new arrival on or after July 2023.

Why is Early Childhood Education so important? 

These funding changes are designed to make Early Childhood Education more accessible to all Australian families. The reason for this is that research has shown that children who attend a good quality Early Childhood Education setting in their preschool years are more likely to start school with the social, cognitive, and emotional skills they need to thrive. It’s even been shown that these benefits continue throughout the child’s life, extending all the way into higher education, employment, and social skills in adulthood.

Calculating your Child Care Subsidy

While Child Care Subsidy (CCS) payments may vary based on personal circumstances, calculators such as our Heritage House Child Care Subsidy Calculator can provide an estimate of what Child Care Subsidy payments will offset your daily fees. Our calculator will provide an estimate based on current Child Care Subsidy (CCS) rules and will be updated to reflect the above changes once they come into effect in July 2023.

Choosing a high-quality childcare centre for your child

Of course, your child will only receive the maximum benefit from their Early Childhood Education if they attend a high-quality centre. At Heritage House, we pride ourselves on providing quality care and education to children from infancy up to 6 years. Not only do our centres provide the highest educational standards, but we also offer a number of extras, like in-house chefs who cook up nutritionally balanced meals that kids love, and extra-curricular classes like foreign language learning, yoga, sports and dance classes.

Book a tour today to visit one of our centres, or contact us to learn more about our educational programs and offerings.