From 2 July 2018, the child care fee subsidy your family receives will change.
This cannot happen automatically. Throughout April Centrelink will be writing to all families currently receiving the Child Care Benefit and Child Care Rebate with instructions on completing your online assessment through myGov.
If you do not complete your assessment before 2 July, you may not receive any child care fee assistance.
You will now be asked by Centrelink to provide new information and confirm your current details to determine your family’s level of Child Care Subsidy, including:
What’s changing from 2 July?
- The Child Care Subsidy will replace the Child Care Benefit and Child Care Rebate (CCR) with a single, means-tested subsidy.
- You will be required to confirm child care enrolments via a myGov account to receive the Subsidy.
- The annual subsidy cap will change;
- Families earning $186,958* or less will have no cap on the amount of Child Care Subsidy they can claim.
- Those earning between $186,958* and $351,248* will benefit from an increase in the current cap of $7,613 to $10,190* per child, per year.
*These amounts are correct for 2018/19 and may be subject to adjustment through indexation in subsequent years.
- 5 per cent of your weekly Child Care Subsidy entitlement will be withheld by the Government.
- Following reconciliation of your tax return at the end of the financial year, any amount owing to you will be paid as a lump sum by the Government.
- The Child Care Subsidy will be paid directly to providers, to be passed on to families.
More information about individual subsidy rates and annual cap changes is available in the New Child Care Package brochure.
Want to know more?
Join one of the following free Government Family Webcast Information Sessions:
- Thursday 19 April 2018: 7.00pm-8.30pm
- Thursday 3 May 2018: 2.30pm-4.00pm
- Tuesday 15 May 2018: 8.00pm-9.30pm
We’ll continue to keep you updated over the coming months on any changes you need to be aware of in the lead up to the new package commencing.
For more information, please visit our website.
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