Entitlement for Child Care Subsidy (CCS) 007-17103113

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Department of Education - Cheaper Child Care

CCS percentages based on family income

Standard CCS rates from 7 July 2025

Table 1

Combined family income^	Standard Child Care Subsidy percentage
$0 to $85,279	90%
More than $85,279 to below $535,279	CCS percentage reduces by 1% for each $5000 of family income
$535,279 or more	0%

Higher CCS rates from 7 July 2025

Table 2

Combined family income	Child Care Subsidy percentage
$0 to $143,273	95%
More than $143,273 to below $188,273	Between 95% and 80% The percentage goes down by 1% for every $3,000 of income your family earns
$188,273 to below $267,563	80%
$267,563 to below $357,563	Between 80% and 50% The percentage goes down by 1% for every $3,000 of income your family earns
$357,563 to below $367,563	50%
$367,563 or more	Families with income equal to or above $367,563 are not eligible for a higher rate for second and younger children. Their CCS rate for all children will be calculated using the standard income test.

From 10 July 2023, CCS and higher CCS are calculated using two separate income tests.

For further information regarding CCS and HCCS thresholds (LIT/HIT), see Rates and thresholds.

Information for previous years is available on the Child Care Subsidy - income thresholds, annual subsidy cap and hour rate page.

Scenarios - Higher rate of CCS (Multiple Child Subsidy)

Table 3: this table shows examples of how the higher rate of CCS (Multiple Child Subsidy) applies. CCS percentages are correct for 2023/2024 CCS year and are provided as a guide.

Item	Description
1	CCS eligible family with two children attending care, income below the HCCS LIT Carmel and Ali have two children aged 5 or under, Mauve and Xena, both attending centre based day care. Carmel and Ali have a combined family income estimate of $70,000 a year. Mauve is 5 years old, and is considered a standard rate child. Xena is 2 years old, and is considered a higher rate child and eligible for a higher rate of CCS. Based on their income, Carmel and Ali will get a subsidy of 90% for Mauve as their family income is below the CCS Lower Income Threshold (CCS LIT). For Xena, they will get a higher CCS rate of 95% as their family income is below the Higher CCS Lower Income Threshold (HCCS LIT).
2	CCS eligible family with two children attending different child care centres Luca has 2 children, Joseph and Gianni, who attend different child care centres. Luca and Luca’s partner have a combined family income of $254,305 a year. Joseph is 5 years old and considered the standard rate child because Joseph is the eldest child aged 5 or under. Gianni is 1 year old and is considered the higher rate child because Gianni is the youngest child. Based on family income, Luca will get 55.80% subsidy for Joseph as the income is: above the CCS Low Income Threshold (CCS LIT) and below the CCS High Income Threshold (CCS HIT) For Gianni, who is the higher rate child, Luca will get a higher subsidy rate of 80% as income is within the 2nd Higher CCS Threshold It doesn’t matter that Joseph and Gianni attend different child care centres. They meet all of the other criteria for higher subsidy. Therefore, Luca is eligible for a higher rate for Luca’s second eligible child.
3	Combined family Rani and Tavish are in a combined family where they each have children from past relationships. They are both current for CCS and between them they have 3 children aged 5 and under. Rani has 2 children, Lila and Nathan. Tavish has one child, Kiara. Rani and Tavish have a combined income of $120,000 a year. Lila is 5 years old and is considered the standard rate child because Lila is the eldest child aged 5 or under in the family. Nathan and Kiara are both 3 years old and are considered the higher rate children because they are younger than Lila. Services Australia automatically assess Rani and Tavish as a combined family.
4	Family with three CCS eligible children, one child aged 7 and two children aged under 5 with a combined income of $400,000 Tony and Viv have three children, Gabi, Adam and Joel. Gabi aged 7 who attends after school care, Adam aged 4 and Joel aged 2 who both attend centre based day care. They have a combined family income of $400,000 a year which is above the higher CCS higher income threshold (HCCS HIT) Tony and Viv have two children aged 5 or under, however as their income is above the HCCS HIT, they are not entitled to a higher rate for Joel. Based on their combined family income, Tony and Viv will get a standard CCS percentage of 26.66% for Gabi, Adam and Joel.

Hours of subsidised child care

From 5 January 2026 - Recognised participation

Table 4: this table shows the hours of subsidised child care a customer can get based on their family circumstances and recognised participation.

Family circumstances

Hours of subsidised child care per fortnight

48 hours or less of recognised participation per fortnight.

72 hours

More than 48 hours of recognised participation per fortnight.

Valid exemptions

Aboriginal and Torres Strait Islander children

100 hours

Note: for partnered customers, the hours of subsidised child care is based on the member of the couple with the lowest hours of recognised participation, even where an exemption applies or exceptional circumstance applies.

Before 5 January 2026 - CCS activity test

Table 5: this table shows the maximum number of subsidised hours of child care a customer is entitled to receive in a CCS fortnight, based on their hours of activity.

Note: the table does not take into account any automatic Activity Test results or Activity Test exemptions that may apply.

Hours of recognised activity per fortnight	Maximum number of hours of subsidised child care per CCS fortnight
Less than 8 hours	0 hours if the customer earns above the Low-income threshold 24 hours if the customer earns below the low -income threshold 36 hours - Aboriginal and Torres Strait Islander children
8 hours to 16 hours	36 hours
More than 16 hours to 48 hours	72 hours
More than 48 hours	100 hours

Note: for partnered customers, the hours of subsidised child care is based on the member of the couple with the lowest hours Activity Test result, even where an exemption applies or exceptional circumstance applies.

Calendar

Use the Centrelink Calendar to identify the start and end of a CCS fortnight throughout the year.

OS035B - Centrelink Calendar 2022-2025

OS035A - Centrelink Calendar 2026-2029

Operational Information