Child Care Subsidy · calculator
Child Care Subsidy calculator
What the government pays towards your child care fees, child by child, and what is left for you to pay.
Checked by Radif Partners · Editorial policy · How we calculate
Child Care Subsidy pays up to 90% of your child care fee in 2026-27, up to an hourly rate cap of $15.19 for centre-based day care, and the percentage falls by one point for each $5,000 of combined family income above $88,520, reaching zero at $538,520. Every family gets at least 72 subsidised hours a fortnight whatever its work or study pattern, and 100 hours with more than 48 hours of activity. A second or younger child aged 5 or under can attract a higher percentage while family income is under $370,727. For a family earning $140,000 with children aged 1 and 3 in day care three days a week at $150 a day, the subsidy comes to about $1,488 a fortnight after the 5% withholding, leaving a gap of $312. The calculator below works out each child separately.
Child Care Subsidy per fortnight
$1,488
Fees $1,800 · your gap $312 a fortnight · 100 subsidised hours
- Child 1 (79%)$675
$11.85 an hour on 60 of 60 hours; cap $15.19
- Child 2 (95%, higher rate)$812
$14.25 an hour on 60 of 60 hours; cap $15.19
| Withheld (paid back at reconciliation if not needed) | $78 |
| Subsidy before withholding | $1,566 |
Standard rate 79%, higher rate 95% for the younger child aged 5 or under; 5% withheld until reconciliation. How this is worked out.
Four things decide the subsidy
Your percentage comes from combined family income: at $100,000 it is 87%, at $200,000 it is 67%. The percentage is applied to the hourly fee or the hourly cap, whichever is lower, so a service charging more than the cap leaves you paying the whole difference. The number of subsidised hours sets how much of your booking is covered. And for a second child aged 5 or under, a separate, higher percentage can apply: at $200,000 the younger child attracts 80% instead of 67%.
Services charge by session, often 10 or 12 hours, even when a child attends for fewer. The subsidy is calculated on the hours charged, so enter the session length the centre bills rather than the time your child is actually there.
What the result shows
For each child, the calculator gives the percentage used, the subsidy per hour, the hours covered against the hours booked, and the subsidy paid to the service after withholding. Below the total, the gap fee is your share of the bill each fortnight. The withheld amount is not lost: it is kept as a buffer against a reconciliation debt and paid back once your income for the year is confirmed. See how withholding works.
Day care, family day care and outside school hours
The caps differ by type of care: $15.19 an hour for centre-based day care below school age and $13.30 for school-age children, $14.08 for family day care at any age, and the school-age cap of $13.30 for before and after school care. A child counts as school age from the first day of scheduled attendance at school, or from age 6. Only approved services can pass the subsidy on; Starting Blocks lists them and shows their fees.
Child Care Subsidy with other payments
The subsidy does not depend on whether you receive Family Tax Benefit, JobSeeker or Parenting Payment, and it does not reduce them. It is paid directly to the service and appears as a reduction on your statement. The household calculator adds it next to your other payments so that you can see the whole budget, and the two-income family with child care shows a worked example.