Gap Discounts - SA Flying Start Funding
The **Flying Start Kindy program **is a government-funded, play-based preschool initiative for 3-year-olds in South Australia, offering up to 15 hours per week of teacher-led early learning to build confidence, curiosity, and foundational skills.
From 2026, if your child attends 3-year-old preschool at a South Australian centre, they’ll benefit from extra initiatives designed to strengthen the program and support families, such as:
- Preschool Boost – additional funding to help services meet the needs of children and families, which may include access to allied health or specialist support.
- Ongoing Professional Learning – dedicated training and development opportunities for our teachers and educators to keep building their skills and knowledge.
- Quality Uplift – tailored assistance for services that would benefit from extra guidance to enhance teaching practices, environments, and overall program quality.
How fee relief will work with the Child Care Subsidy
The different level of payment per child in long day care services recognises that most families in long day care services are eligible to receive the Australian Government’s Child Care Subsidy (CCS).
Creating the SA Funding Gap Discount
Recommended Actions
- Calculate required Gap discount amounts
- Apply Child Tag's e.g. 3YO Kindy Funding 2026
- Setup Gap Discounts by Amount/Percentage
- Apply the Discount
Step 1: Calculate the SA Gap Discount
Depending on how many hours your Kindy program runs for, this process will assist you with calculating the amount of funding for your Service/Per child.
Items to consider:
- Daily Kindy program hours
- Total session hours e.g. 12hr, 10hr etc.
Example:
- Total session hours = 10
- Total fee charged = $150.00 / 10hrs
- Hourly fee charged = $15.00
- Total Kindy Program hours = 7.5
Total Kindy hours x Hourly Fee = $112.50 Total Weekly 15hr Kindy reduction
Scenario 1
Your Service provides a 10hr session for children, and the Kindy program runs 7.5hr per day.
Session Hours | Fee | Program Hours | Current Gap | Hourly Gap | Program Gap | % Gap Discount | ||
|---|---|---|---|---|---|---|---|---|
Original | Child 1 | 10 | $150 | 7.5 | $50 | $5 | $37.50 | 75% |
Gap decreased | Child 1 | 10 | $150 | 7.5 | $45 | $5 | $33.75 | 75% |
Gap increased | Child 1 | 10 | $150 | 7.5 | $55 | $6 | $41.25 | 75% |
Scenario 2
Your Service provides a 12hr session for children, and the Kindy program runs 7.5hr per day.
Session Hours | Fee | Program Hours | Current Gap | Hourly Gap | Program Gap | % Gap Discount | ||
|---|---|---|---|---|---|---|---|---|
Original | Child 2 | 12 | $150 | 7.5 | $50 | $4 | $31.25 | 62.50% |
Gap decreased | Child 2 | 12 | $150 | 7.5 | $45 | $4 | $28.13 | 62.50% |
Gap increased | Child 2 | 12 | $150 | 7.5 | $55 | $5 | $34.38 | 62.50% |
Step 2: Applying Tag's
Tags are a powerful way to identify specific children and scenarios within Xap. They provide flexibility for organizing information and can be used as filters in reporting.
Additionally, tags can be applied to manage discounts, making them a useful tool for both administration and billing.
Step 1: Applying Tag's
Tags are a powerful way to identify specific children and scenarios within Xap. They provide flexibility for organising information and can be used as filters in reporting.
Additionally, tags can be applied to manage discounts, making them a useful tool for both administration and billing.
To apply Tag's
- From within your Families Screen, select the Children Tab
- Select the Filter icon

- Apply Filters as required, to identify the child/ren, in this example by Age, Room & Bookings from details.
- Select Update Search

- Select the child/ren
- Select Bulk Action
- Select Add Tag

- Select/Create the required Tag
- Select Save

Step 2a: Create the Gap Discounts- Apply Weekly
- Within the Settings screen, select the Discount Setup icon

- Select the Green + Add button

- Select the Centre name if you are in Enterprise mode
- Add the Discount name
- Select Gap Discount
- Select the Discount Category
- Add a Description
- Select Amount/Percentage
- Set Bookings from Date, a Bookings to Date can be added if required.
- Set the Maximum Discount dollar limit
- Tick Staff members can apply a discount up to the set amount/percentage - this allows variable amounts to be applied up to the maximum amount added in step 10
- Select Save

Step 4: Apply the Discount
Search on the child/ren via the Bookings screen by the e.g. SA Tags
- Bulk Action
- Apply Discounts

- Select Gap discount
- Select the required Discount name
- Select the filters for adding the discount eg. Child Tag or child name
- Add in the $ amount to be discounted
- Save

SA Flying Start State Funding on Family Statement
Statement screen

Discount on Statement

Discount view per booking


Updated on: 17/06/2026
Thank you!
