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    Family Work & Childcare Affordability Calculator

    Make informed decisions about work, childcare, and your family's financial future. Compare scenarios side-by-side to see what works best for you.

    Childcare Subsidy in Australia

    Australia pays a percentage of your fee directly to the provider through the Child Care Subsidy. The percentage falls as family income rises, and it only applies up to an hourly rate cap — anything your centre charges above that cap is fully out of pocket.

    A smooth taper, but the hourly cap bites

    CCS falls by one percentage point for every $5,000 of combined family income, so there is no cliff edge — but there are two catches. First, the subsidy is calculated on the lower of your actual fee and the hourly rate cap, so in expensive centres you pay 100% of the gap. Second, because the taper runs over a very wide income range, a second earner's pay rise quietly erodes the subsidy on every child, every day, all year.

    What you can claim

    Child Care Subsidy (CCS)

    A percentage of your fee paid straight to your provider.

    How much
    Up to 90% for families earning up to $88,520, tapering by 1 percentage point per $5,000 of income and reaching zero at $538,520 (2026–27 figures).
    What changes when you earn more
    Every extra $5,000 of combined family income costs you one percentage point of subsidy on every hour of care you use.

    Source: DSS Family Assistance Guide 1.1.I.70

    Hourly rate cap

    The maximum fee CCS is calculated on.

    How much
    $15.19 an hour for Centre Based Day Care for a child below school age (2026–27).
    What changes when you earn more
    The cap is fixed regardless of income. If your centre charges above it, the excess is entirely yours — and the national average Centre Based Day Care fee has been rising faster than the cap.

    Source: DSS Family Assistance Guide 3.5.3

    Higher CCS for second and younger children

    An extra subsidy when you have more than one child in care.

    How much
    Up to 95% for the second and younger children in care for families earning up to $146,437, phasing out at $370,727.
    What changes when you earn more
    The higher rate tapers separately and ends well before standard CCS does, so the second-child discount disappears first.

    Source: Services Australia — higher Child Care Subsidy

    3 Day Guarantee

    A minimum subsidised entitlement that replaced the activity test.

    How much
    At least 72 hours of subsidised care per fortnight — three days a week — for every CCS-eligible family, from 5 January 2026.
    What changes when you earn more
    The guarantee is not income-tested; the subsidy percentage applied to those hours still is.

    Source: Department of Education — 3 Day Guarantee

    Worth knowing

    • CCS is reconciled against your actual income after the financial year, and Services Australia withholds a portion of payments to reduce the chance of a debt.
    • Estimate your family income high rather than low — an underestimate becomes a bill.

    Figures are quoted from the official sources linked above and can change at each budget. Always confirm your own entitlement with the relevant government service before making a decision.

    Questions Australia parents ask

    What childcare help can I get in Australia?
    Australia pays a percentage of your fee directly to the provider through the Child Care Subsidy. The percentage falls as family income rises, and it only applies up to an hourly rate cap — anything your centre charges above that cap is fully out of pocket. Child Care Subsidy (CCS): Up to 90% for families earning up to $88,520, tapering by 1 percentage point per $5,000 of income and reaching zero at $538,520 (2026–27 figures). Hourly rate cap: $15.19 an hour for Centre Based Day Care for a child below school age (2026–27). Higher CCS for second and younger children: Up to 95% for the second and younger children in care for families earning up to $146,437, phasing out at $370,727. 3 Day Guarantee: At least 72 hours of subsidised care per fortnight — three days a week — for every CCS-eligible family, from 5 January 2026.
    Does childcare support in Australia fall when I earn more?
    A smooth taper, but the hourly cap bites. CCS falls by one percentage point for every $5,000 of combined family income, so there is no cliff edge — but there are two catches. First, the subsidy is calculated on the lower of your actual fee and the hourly rate cap, so in expensive centres you pay 100% of the gap. Second, because the taper runs over a very wide income range, a second earner's pay rise quietly erodes the subsidy on every child, every day, all year.
    How much is Child Care Subsidy (CCS) worth?
    Up to 90% for families earning up to $88,520, tapering by 1 percentage point per $5,000 of income and reaching zero at $538,520 (2026–27 figures). Every extra $5,000 of combined family income costs you one percentage point of subsidy on every hour of care you use. Source: DSS Family Assistance Guide 1.1.I.70.
    Will a pay rise leave me better off after childcare in Australia?
    Not automatically. A pay rise is taxed, and in most systems it also reduces childcare support, so the useful figure is what lands in your account after tax, after childcare and after any lost subsidy. Put both salaries into the calculator and compare the household's take-home in each case rather than the gross pay.

    Run your own numbers

    Support rules are only half the answer. Enter your household's income, childcare bill and commute to see whether the second salary clears the cost of care once tax and lost subsidy are taken off.

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