Child Care Subsidy

The Child Care Subsidy is the main way the Government assists families with their child care fees.

There are three factors that determine a family’s level of Child Care Subsidy.

These are:

• Combined annual family income – how much families earn
• Activity test – the activity level of both parents – how much families work, train, study or volunteer
• The fees charged by the child care service

The Child Care Subsidy is generally paid directly to service providers to be passed on to families as a fee reduction. Families make a co-contribution to their child care fees and pay to the provider the difference between the fee charged and the subsidy amount.

Click here to use our child care subsidy estimator.

All this information and more can be found on the Child Care Subsidy – Department of Education, Australian Government.
Please see the matrix below outlining the CCS rates for 2025/26.