What you need to know from July 10
Starting July 10, 2023, there will be notable changes to the Child Care Subsidy (CCS) as recognised by the Commonwealth Government. Their objective is to enhance the affordability of high-quality early education and care for families. This significant transition aims to lower out-of-pocket child care expenses for over 96% of families.
In most cases, you don’t need to do anything to get the increased rate. If you get CCS now, we’ll apply the changes to your CCS automatically from 10 July 2023.
Here are the main changes in summary:
- From 10 July 2023, the maximum amount of CCS is increasing from 85% to 90% for families earning up to $80,000.
- The income limit for CCS is also increasing from $356,756 to $530,000.
- If you earn over $80,000, you may get a subsidy starting from 90%. This will go down by 1% for each $5,000 of income your family earns. The CCS percentage you’re entitled to depends on your family’s income.
- If you have more than one child aged 5 or under, you can still get a higher rate for one or more of your children.
- First Nations children will be eligible for at least 36 hours of subsidised care per fortnight. These families may be eligible for more subsidised hours based on individual circumstances.
What do the CCS changes mean for your family?
- Reduced out-of-pocket expenses: The CCS changes are designed to lower the out-of-pocket costs that families incur for child care services. As a result, you may see a decrease in the amount you need to pay for child care, making it more affordable for your family.
- Increased access to quality child care: By reducing the financial burden, the government intends to improve families’ access to high-quality child care. This means that you may have more options available to you when choosing child care providers or programs that meet your family’s needs.
- Enhanced flexibility: Affordable child care can provide greater flexibility for families, enabling parents to participate in the workforce, pursue education or training, or engage in other activities. The CCS changes may enable you to have more options and flexibility when it comes to balancing work and family responsibilities.
To fully understand how these changes specifically affect your family, it is recommended to consult Services Australia administering the Child Care Subsidy. They will be able to provide you with personalised information based on your circumstances and help you navigate the revised subsidy system effectively.
You can also book an appointment with our Family Engagement Specialist, Jackie, to discuss how the change will impact you. To book a timeslot, click on the following link: Maximise your use of CCS (office365.com).