About the Child Care Subsidy Calculator
This Child Care Subsidy (CCS) calculator works out how much of your childcare fees the Australian Government will pay and what you are left paying. Your CCS percentage depends on your combined family adjusted taxable income: 90% for incomes up to $88,520 in 2026–27, falling by 1 percentage point for each $5,000 above that and reaching 0% at $538,520. Families with more than one child aged 5 or under can get a higher rate of up to 95% for the second and younger children.
The subsidy is paid on the lower of your actual hourly fee and the hourly rate cap ($15.19 for centre-based day care below school age, $13.30 for school-aged children and $14.08 for family day care from 6 July 2026), and only for your subsidised hours. Under the 3 Day Guarantee every eligible family gets 72 subsidised hours per child per fortnight regardless of work or study, and 100 hours if you do more than 48 hours of recognised activity a fortnight or care for an Aboriginal or Torres Strait Islander child.
Enter your daily fee, session length and days per week to see the subsidy, the 5% that Services Australia withholds by default until reconciliation, and your weekly and fortnightly gap. All children are assumed to use the same service and session; Additional Child Care Subsidy (ACCS) is not included.
With the default inputs, the your ccs percentage is 83%. Change any value above to recalculate instantly.
How to use the child care subsidy calculator
- 1Enter your estimated combined family income for 2026–27.
- 2Choose the type of care and whether the children are school-aged.
- 3Enter the daily fee, session length and days of care per week.
- 4Choose 72 or 100 subsidised hours per fortnight.
- 5Read your CCS percentage and weekly out-of-pocket cost.
Formula and method
Your standard CCS percentage is 90% if family adjusted taxable income (ATI) is $88,520 or less, and falls by 1 percentage point for each $5,000 (or part of $5,000) above that, reaching 0% at $538,520 for 2026–27. For the second and younger children aged 5 or under the higher rate is 95% up to $146,437, falling by 1 point per $3,000 to 80% at $191,437, staying at 80% to $270,727, then falling to 50% at $360,727; above $370,727 all children get the standard rate.
For each child the hourly subsidy is the CCS percentage of the lower of the actual hourly fee and the hourly rate cap for the care type. It applies to at most 72 subsidised hours a fortnight (100 hours with more than 48 hours of recognised activity or for First Nations children). Services Australia then withholds 5% (or your chosen percentage) to reduce the risk of a debt at reconciliation.
- ATI
- Combined family adjusted taxable income for the financial year
- cap
- Hourly rate cap for the care type and child age
- ⌈x⌉
- x rounded up to the next whole number
Worked examples
One toddler in day care, $120,000 family income
$120,000 is $31,480 above $88,520 — seven blocks of $5,000 or part — so CCS is 83%. The $15 hourly fee is under the $15.19 cap; 83% × $15 × 60 hours is $747 a fortnight, of which $709.65 is paid after 5% withholding, leaving a $190.35 gap on $900 of fees.
Two children aged under 5, $288,520 income
$288,520 is $200,000 above $88,520, so the eldest child gets 90 − 40 = 50%. The younger child gets the higher rate: $17,793 above $270,727 is six $3,000 steps (or part), so 80 − 6 = 74%. At $10 an hour for the 72 subsidised hours that is $360 + $532.80 = $892.80; after 5% withholding $848.16 is paid, and 28 hours a fortnight per child are unsubsidised.
Family day care, $80,000 income, 100 hours, no withholding
Below $88,520 the CCS rate is 90%. The $13 hourly fee is under the $14.08 family day care cap, so 90% × $13 × 80 hours = $936 is subsidised of $1,040 in fees, leaving $104 a fortnight.
Fee above the cap, $200,000 income
$200,000 gives 90 − 23 = 67%. The $18 hourly fee is above the $15.19 cap, so the subsidy is 67% × $15.19 × 60 hours = $610.64, or $580.11 after withholding — a $499.89 gap on $1,080 of fees.
Frequently asked questions
What is the CCS income limit for 2026–27?+
Families earning $88,520 or less get the maximum 90% Child Care Subsidy. The rate falls by 1% for every $5,000 above that, and families earning $538,520 or more are not eligible for CCS.
What is the 3 Day Guarantee?+
From January 2026 every family eligible for CCS gets at least 72 hours of subsidised care per child per fortnight — about three days a week — regardless of how much they work or study. Families with more than 48 hours of recognised activity a fortnight get 100 hours.
What is the higher CCS rate for second children?+
Families with more than one child aged 5 or under in care, and income below $370,727, can get a higher subsidy of up to 95% for the second and younger children. The eldest child receives the standard rate.
What are the CCS hourly rate caps for 2026–27?+
From 6 July 2026 the caps are $15.19 an hour for centre-based day care and OSHC for children below school age, $13.30 for school-aged children, and $14.08 for family day care. Fees above the cap are not subsidised.
Why is 5% of my CCS withheld?+
Services Australia withholds 5% of your subsidy by default to cover any overpayment if your actual income turns out higher than estimated. The withheld amount is paid to you after reconciliation if you were not overpaid.
How do I find my out-of-pocket childcare cost?+
Subtract the CCS paid to your provider from your total fees. Your gap rises if your fee is above the hourly cap, if you use more hours than your subsidised hours, or if your session is longer than the hours you actually need.
Results are estimates for educational purposes and are not financial advice. Rates, fees and terms vary — confirm with your lender or a licensed advisor before making decisions.