Child Care Subsidy

How to understand your assessment

Information to help you understand your Child Care Subsidy assessment notice.

Getting your assessment notice

When we’ve finalised your claim, we’ll send you a notice to let you know the outcome. If you get your letters online, we’ll send it to your myGov Inbox.

We’ll tell you:

  • if you’re eligible
  • the child care fee assistance you’ll get
  • the annual cap that applies to you
  • the withholding amount

Understanding your assessment notice

Your assessment notice will have a Child Care Subsidy summary table on it. The table tells you about the child care fee assistance you’re able to get. The table will have the following headings:

  • child name
  • subsidy type
  • subsidy percentage
  • subsidised hours per fortnight
  • annual cap
  • withholdings

Child name

This will list any children you’ve made a claim for.

Subsidy type

This tells you what you’re eligible for.

If you’re eligible for Child Care Subsidy, you may also be eligible for Additional Child Care Subsidy.

Subsidy percentage

This is your Child Care Subsidy percentage. We work it out based on your family income estimate.

Your Child Care Subsidy percentage will apply to the lowest of either the:

  • hourly fee you’re charged by your child care service
  • hourly rate cap

If your subsidy percentage is zero, it means your family income estimate was $351,248 or more. But it’s important you still submit a claim for this subsidy. Just in case your income changes when we balance your payments after the end of the financial year. If your actual family income ends up being less than $351,248, we’ll pay you the additional subsidy you’re entitled to.

If you’re eligible, but your percentage is zero, you may still be eligible for Additional Child Care Subsidy.

Read more about how your family income affects your Child Care Subsidy percentage.

Annual cap

This tells you if we’ll cap your Child Care Subsidy. This depends on your family income estimate. There’s no annual cap on your subsidy if your family income estimate was $186,958 or less.

If your estimate was more than $186,958 and under $351,248, your annual cap is $10,190. This cap applies to each child in care for each financial year.

Subsidised hours per fortnight

This is the number of hours of child care we’ll subsidise. We work this out based on your hours of activity per fortnight. If you have a partner, we use the lower of your 2 activity levels.

If your subsidised hours is zero, it’s because you or your partner do less than 8 hours of activity.

You need to do at least 8 hours of activity per fortnight. Recognised activities include working, training, studying and volunteering. For example, 4 hours a week of any recognised activity will give you 18 hours of subsidised care a week.

Read more about how your activity level affects Child Care Subsidy.

Withholdings

We withhold 5% of your Child Care Subsidy each fortnight to reduce the likelihood of an overpayment. An overpayment could result in a debt after the end of financial year when we balance your payments.

You’re able to vary this amount to suit your circumstances. You can do this up to twice a year using your Centrelink online account through myGov. If you’d like to change it more than this, you’ll need to contact us.

Updating your details

It’s important to make sure your details are correct so we pay the right amount of subsidy.

You need to tell us if:

  • your circumstances change
  • any details you gave us in your assessment change
  • any details you gave us in your claim change

The easiest way to update your details is with your Centrelink online account through myGov.

We’ll reassess you if you give us new information.

Read more about when to report a change in circumstances.

Page last updated: 5 October 2018