CCS Hourly Rate Caps 2024/2025

CCSS Hourly Rate Caps 2024-2025 F/Y

CCSS have updated their CCSS hourly rate caps for the upcoming 2024-2025 Financial Year.

The Child Care Subsidy (CCS) hourly rate caps will go up from 8th July 2024.

Note: This new hourly rate has been uploaded into the Xap program, to allow correct estimations to be based on the new calculations.

Hourly Rate caps are the upper limit on the amount of CCS that CCSS will provide for sessions of care provided by an approved Child Care Service.
The CCSS hourly rate caps are used in combination with a Families CCS Applicable percentage to calculate the amount of subsidy per hour a family is entitled to receive for all the hours in a session of care.
CCS is calculated as a percentage of the actual fee charged, or the relevant hourly rate cap (whichever is lower)

See: DESE Child Care Subsidy Rates 2024 - 2025 effective 8th July 2024

CCSS Hourly Rates

Care Type	Current Below School Age	New Below School Age Child	Current School Age	New School Age
CBC	$13.73	$14.29	$12.02	$12.51
OSHC	$13.73	$14.29	$12.02	$12.51

Manual CCS GAP Calculation

The Manual Calculation for CCSS is:

Hourly Rate of the Service x CCSS hours x CCSS percentage x 5% withholding = CCSS

Total Fees - CCSS = GAP

Family Information

There are a few changes in relation to CCS eligibility for Families from the 8th July 2024.

Current CCS Rates

Family Income	Subsidy Rate
$0 to $80,000	90%
More than $80,000 to below $530,000	Decreasing from 90%. The percentage decreases by 1% for every $5,000 of income a family earns
$530,000 or more	0%

CCS Rates from 8th July 2024

Family Income	Subsidy Rate
Up to $83,280	90%
More than $83,280 to below $533,280	Decreasing from 90% The percentage decreases by 1% for every $5,000 of income a family earns
$533,280 or more	0%

Rates for second and younger children 2023- 2024

Family Income	Subsidy Rate
Up to $138,118	95%
More than $138,118 to below $183,118	Decreasing from 95% The percentage decreases by 1% for every $3,000 of income a family earns
$183,118 to below $262,408	80%
$262,408 to below $352,408	Decreasing from 80% The percentage decreases by 1% for every $3,000 of income a family earns
$352,408 to below $362,408	50%
$362,408 or more	Higher CCS rates no longer apply, all children in the family will receive the standard CCS rate

Rates for second and younger children 2024- 2025

Family Income	Subsidy Rate
$0 to $141,321	95%
More than $141,321 to below $186,321	Decreasing from 95% The percentage decreases by 1% for every $3,000 of income a family earns
$186,321 to below $265,611	80%
$265,611 to below $355,611	Decreasing from 80% The percentage decreases by 1% for every $3,000 of income a family earns
$355,611 to below $365,611	50%
$365,611 or more	Higher CCS rates no longer apply, all children in the family will receive the standard CCS rate

ACCS Rates from 8th July 2024

In most cases, the ACCS subsidy will cover the full GAP for a Family (dependant on the Hourly fee calculation)

ACCS - 120% includes:

GCCS - Grandparent ACCS
TFH - Temporary Financial Hardship
CWB - Child Wellbeing

Eligible families will get the lower of either:

100% of the fee charged where it’s equal to or below the hourly rate cap
up to 120% of the hourly rate cap where the fee charged is above the hourly rate cap.

Care Type	Children below School Age (under 6yrs)	School-Aged Children (over 6yrs)
CBC	$16.47	$14.42
OSHC	$16.47	$14.42

Number of children in care

Families with more than one child aged 5 or under in care can get a higher subsidy for their second child and younger children. 

They currently get an extra 30% on top of their income tested rate for eligible children, up to a maximum of 95%.

Children who are entitled to both the higher subsidy and Additional Child Care Subsidy (ACCS) will be paid the ACCS rate.

To assist families further with number of children in care queries see: Services Australia website number of children in care

From 10 July 2023, the rates for each child are worked out using two separate income tests. The ‘standard rate child’ is usually the eldest CCS eligible child aged 5 or under. From 10 July 2023, the standard rate child will get the standard CCS rates.The ‘higher rate child’ is the second and any younger children aged 5 or under. The higher rate for second and younger children is calculated using the for second and younger children.The higher subsidy for second and younger children will end when a family earns $362,408 or more.

Updated on: 11/06/2024

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