2026–27 rates In force from 6 July 2026
Child Care Subsidy Calculator (2026–27)
Work out your CCS percentage, your subsidised hourly rate and the gap fee you actually pay each fortnight. The figures come from the government’s own 2026–27 tables, and the page shows the arithmetic so you can check every line.
1 Enter your family income and your child care2 See your subsidy and gap fee
Step 2 · your result
Estimated subsidy
$0
per fortnight, for 1 child
- Your CCS percentage
- —
- Subsidised hours a fortnight
- —
- Hourly rate cap applied
- —
- You pay out of pocket
- $0
- Paid to your provider
- $0
- Over a year
- $0
Rates, thresholds and caps from Department of Social Services — Family Assistance Guide, checked 12 October 2026. General estimate only — not financial advice.
Your CCS percentage
The subsidy percentage is worked out on your family’s combined income. This is the rate for your first or eldest child aged 5 or under:
| Combined family income | Subsidy percentage |
|---|---|
| Up to $88,520 | 90% |
| More than $88,520 and below $538,520 | Falls by 1 percentage point for every $5,000 of family income |
| $538,520 or more | 0% |
percentage = 90 − [(income − $88,520) ÷ 5,000]
Worked to two decimal places. At $200,000 that is 90 − 111,480 ÷ 5,000 = 67.7%.
What that percentage is worth per hour
Your percentage is applied to the lower of your fee and the hourly rate cap — $15.19 for centre based day care. So for a family on a typical fee:
| Combined family income | CCS percentage | You get per hour (centre based day care) |
|---|---|---|
| $100,000 | 87.7% | $13.32 |
| $150,000 | 77.7% | $11.80 |
| $200,000 | 67.7% | $10.28 |
| $300,000 | 47.7% | $7.25 |
| $450,000 | 17.7% | $2.69 |
| $538,520 | 0% | $0.00 |
Two families paying the same fee can get very different help. At $100,000 a family gets 87.7% of the hourly cap; at $300,000 it is down to 47.7%. The fee never changes the percentage — only your income does.
Second and younger children get more
If you have more than one child aged 5 or under in care, the second and younger children are subsidised under a separate, more generous income test. Your eldest child in care stays on the standard rate.
| Combined family income | Subsidy for the second and younger children |
|---|---|
| Up to $146,437 | 95% |
| More than $146,437 to below $191,437 | Falls to 80% by 1 point for each $3,000 of family income |
| $191,437 to below $270,727 | 80% |
| $270,727 to below $360,727 | Falls to 50% by 1 point for each $3,000 of family income |
| $360,727 to below $370,727 | 50% |
| $370,727 or more | Higher rates no longer apply — every child gets the standard rate |
percentage on $146,437 to $191,437 = 115 − [(income − 86,437) ÷ 3,000]
The formula is written exactly as the Guide publishes it, which is why it starts at a number higher than 95 — it only drops below 95% once income passes $146,437.
In home care is the exception. It is subsidised per family rather than per child, so the higher rate for younger children does not apply to it.
The hourly rate caps for 2026–27
You are subsidised on the lower of your provider’s fee and this cap. Anything above the cap is a gap fee you pay in full.
| Type of care | Child below school age | School aged child |
|---|---|---|
| Centre based day care (long day care) | $15.19 | $13.30 |
| Outside school hours care | $15.19 | $13.30 |
| Family day care | $14.08 | $14.08 |
| In home care | $41.31 | Capped per family |
The caps are indexed by CPI every 1 July. A child counts as school aged from the first day they are due to attend, and also once they turn 6 — even during school holidays.
How the subsidy is actually worked out
- Work out your subsidised hours. 72 hours a fortnight for every eligible family; 100 hours if you and your partner each do more than 48 hours of recognised participation.
- Take the lower of the fee and the cap. If your centre charges $16.50 an hour and the cap is $15.19, the maths uses $15.19.
- Apply your percentage. 83.7% of $15.19 is about $12.71 an hour.
- Multiply by the hours actually used, up to your subsidised hours. Hours beyond that are full price.
- Centrelink withholds 5% of the total before paying your provider, against a possible debt at the end of the year.
Frequently asked questions
What is the Child Care Subsidy?
A payment from the Australian Government that covers part of the cost of approved child care. It is paid straight to your child care provider, and you pay the difference — the gap fee — out of your own pocket.
What percentage of my child care will be subsidised?
It depends on your family’s combined annual adjusted taxable income. The maximum is 90% for families earning $88,520 or less, and it falls by 1 percentage point for every $5,000 above that until it reaches 0% at $538,520.
Is the subsidy calculated on my fee or on the rate cap?
On whichever is lower. If your provider charges less than the hourly rate cap, you get your percentage of the actual fee. If it charges more than the cap, you only get your percentage of the cap — you pay the rest of the fee yourself.
How many hours of subsidised care do I get?
Every CCS eligible family gets 72 hours per fortnight per child — the three day guarantee — no matter how much you work or study. If you and your partner each do more than 48 hours of recognised participation a fortnight, it rises to 100 hours.
Do second and younger children get a higher subsidy?
Yes, if you have more than one child aged 5 or under in care. The second and younger children are subsidised at a higher rate — up to 95% — on a separate income test, while your eldest in care stays on the standard rate. The higher rate stops applying altogether once family income reaches $370,727.
What is the 5% withholding?
Centrelink keeps back 5% of your CCS by default rather than paying it to your provider. It is not lost — it is held in case you are overpaid and owe a debt at the end of the year. You can change it (0% to 100%) through myGov, up to twice a year.
Does the subsidy cover the whole fee?
No. Even at 90%, you pay at least 10% of the fee, plus anything the provider charges above the hourly rate cap. Sessions beyond your subsidised hours are also full price.
How up to date are these figures?
They are the 2026–27 figures, in force from Monday 6 July 2026. The amounts are indexed by CPI every 1 July, so check back after each 1 July. The source is the Department of Social Services’ Family Assistance Guide, linked below.
Keep reading
- Child care subsidy income thresholds — every income band and the exact formula
- Child care subsidy hourly rate caps — what the cap is for each type of care
- Family Tax Benefit calculator — Part A and Part B, worked out together
- Income tax calculator — including the 2% Medicare levy