Child care subsidy changes

Commencing July 2, The Federal Government will implement its new Child Care Package. 

The Child Care Subsidy (CCS) will replace the existing child care payments.

The following Horsham Aquatic Centre programs qualify for the new subsidy:

These changes can seem overwhelming so we are hosting a CCS Information Session at our Horsham Aquatic Centre on Thursday 31 May at 7.00pm.

Click here to register for this FREE information session.

Transitioning to the new Child Care Subsidy 

To receive the CCS, you will need to give Centrelink extra information using your Centrelink online account through myGov
If you don’t have a myGov account, you can create one and link your Centrelink online account to it.

If you’re currently using child care payment: 
If you already receive child care fee assistance for approved care before March 2018, Centrelink will write to you in April 2018 to let you know what you need to do. 

If you intend to begin child care payments in the near future: 
If you don’t need assistance with child care fees until after 2 July 2018, you’ll be able to claim CCS from April 2018.

Check out our FAQ  section for more information.


Frequently Asked Questions:

What is the new Child Care Package? 
What can I, as a parent, do now?

How is the CCS calculated? 
What is an Activity Test?
What classifies as an Activity?

What documents do I need to provide Centrelink?
Additional Child Care Subsidy
Why is there a 5% withholding on my payments?



What is the new Child Care Package?

The New Child Care Package is called the Child Care Subsidy, and it is a simplified rebate system. 

The current system is made up of two separate rebate systems, the Child Care Benefit (CCB) and Child Care Rebate (CCR). 

The new package, Child Care Subsidy is a combination of CCB and CCR and will be applied (paid) directly to the approved service of choice.

 

What can I, as a parent, do now?

1. Estimate your entitlements using the CCS Estimator

2. Create a MyGov account and update any information. If you don’t have a myGov account, you can create one and link your Centrelink online account to it.

3. Visit here for information from the government

 

How is the CCS calculated?

The CCS is calculated by a number of factors such as:

  • activity level (see graph 1)
  • combined family income (see graph 2)
  • service type and hourly rates.

To estimate your subsidy, check out this CCS calculator: CCS Estimator.

Graph 1: Hours of Activity 

 CCS Transition Activity Subsidy Graph 18.05.18

Graph 2: Combined Family Income

CCS Transition Income Subsidy Graph  18.05.18 

What is an Activity Test?

To calculate the number of subsidy hours per fortnight a guardian is entitled to, there will be an activity test requirement for guardians to complete, and the test will be based on the guardian who has the lowest activity rate.

 

What classifies as an Activity?

This may include paid work, self-employed work, unpaid work in family business, training, education, volunteering, looking for work and travel to and from work.

 

What documents will I need to provide Centrelink?

If you currently receive Child Care Benefit (CCB) or Child Care Rebate (CCR) fortnightly or quarterly, Centrelink will write to you in April 2018 to ask you for extra information. Centrelink will then use this information to assess you for CCS.

You may also need to supply:

  • an estimate of your family income for 2018-19
  • your and your partner’s activity level
  • school status of your child
  • confirmation of your child’s enrolment details
  • you and your partner’s Tax File Number (TFN)
  • evidence to support your claim


Additional Child Care Subsidy

Additional Child Care Subsidy replaces Child Care Benefit (CCB), Grandparents Child Care (GCC), Benefit and Jobs, Education and Training Child Care Fee Assistance.

 

Why is there a 5% withholding on my payments?

 Some families are unable to estimate their income accurately ahead of time, so Centrelink withhold 5% of will be withheld. This is a revised rate from the previous 10% withholding of payments.

This means if you overestimated your family income and didn’t receive enough CCS, the outstanding amount will be paid directly to you. This will include the 5% payment withheld over the year.

If you underestimated your annual family income you may have a debt which you’ll need to pay back. The 5% amount withheld will be used to reduce the debt.


If you are currently receiving a child care payment, check out this Department of Human Services page for more information. 

CCS Info Night

These changes can seem overwhelming so we are hosting a CCS Information Session at our Horsham Aquatic Centre on Thursday 31 May at 7.00pm. This is the perfect opportunity to ask any questions you may have about CCS.

Please complete the registration form below. We hope to see you there!

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