What is the hourly rate cap for CCS in 2026-27?

For centre-based day care in 2026–27, the hourly rate cap is $15.19 per child per hour for a child below school age. CCS only subsidises fees up to the cap — anything above the cap comes out of your pocket.

Does the 3 Day Guarantee change my subsidy rate?

No. The 3 Day Guarantee changes how many hours of care are subsidised, not your subsidy percentage. Your CCS percentage is still worked out from your family income, the type of care and the hourly rate cap.

How much will I pay out of pocket for childcare?

Your gap fee is the difference between the service’s fee and the CCS amount. At the maximum 90% rate, the gap is 10% of the daily fee. Most families still pay a gap, even at the maximum rate.

Can I get CCS and NSW Start Strong at the same time?

Yes — they are separate programs (federal and state), and a child can be eligible for both. Start Strong applies to one program or enrolment per child per year, so it is not stacked across multiple services for the same child.

Child Care Subsidy explained for NSW families in 2026: how much will you actually pay?

Q: How much Child Care Subsidy will I get in 2026-27?

Up to 90% of your childcare fees if your family income is $88,520 or less. Above that, the rate tapers by 1% for every $5,000 of family income, down to 0% at $538,520. The exact rate depends on your income, the type of care and your child’s age.

The Child Care Subsidy (CCS) is a federal payment that can cut your childcare fees by up to 90% in 2026–27. It depends on your family income (the maximum applies to families earning up to $88,520 a year), the type of care you use, and an hourly rate cap of $15.19 for centre-based day care. Since 5 January 2026, the 3 Day Guarantee gives every CCS-eligible family at least 72 hours a fortnight of subsidised care for each child, regardless of work or study.

What is the Child Care Subsidy (CCS)?

The Child Care Subsidy is the Australian Government’s main payment to help families with the cost of approved childcare. In 2026–27 it can cover up to 90% of your childcare fees for each child, depending on your family income, the type of care you use, and your child’s age. It is paid directly to your childcare service, which then charges you the gap fee.

You do not choose a CCS rate — Services Australia works it out from your family income estimate, the hourly rate cap for your child’s care type, and whether more than one of your children is aged 5 or younger and in care. The Services Australia Payment Finder and the Child Care Subsidy calculator give you a personalised estimate.

How much CCS can I get in 2026-27?

For 2026–27, the maximum standard rate of CCS is 90% for families with an annual income of $88,520 or less. Above that, the rate tapers by 1% for every $5,000 of family income, down to 0% at $538,520.

Annual family income	Standard CCS rate (2026-27)
Up to $88,520	90% (maximum)
More than $88,520 to below $538,520	Between 90% and 0% — down 1% for every $5,000 of income above $88,520
$538,520 or more	0%

These are the standard rates for the eldest child in care. If you have more than one child aged 5 or younger in care, a second and younger child may be entitled to a higher rate, on a separate income scale, up to a combined family income of $370,727. The full higher-rate schedule is on the Department of Education CCS page.

What is the hourly rate cap, and why does it matter?

CCS only subsidises fees up to a set dollar amount per hour — the hourly rate cap. For 2026–27 the cap for centre-based day care is $15.19 per child per hour, for a child below school age. The subsidy covers the lower of your actual hourly fee and this cap. If a service charges more than the cap, you pay the gap on the whole hourly fee, not just the part above the cap.

At Jolly Frog, both centres charge well below the cap on a per-hour basis, so the full daily fee attracts the subsidy rather than being clipped. Our fees and subsidy page sets out the daily fees and shows the hourly figure.

What is the 3 Day Guarantee?

The 3 Day Guarantee started on 5 January 2026 and replaced the CCS activity test. Since then, every family eligible for CCS gets at least 72 hours a fortnight of subsidised care for each child (about 3 days a week), regardless of how many hours they work, study or volunteer. Some families get 100 hours a fortnight. Your subsidy percentage is worked out the same way as before.

At Jolly Frog Westmead, a day of long day care is a 10-hour session (8am – 6pm), so 72 hours a fortnight subsidised hours cover up to 7 days a fortnight. At Northmead, a preschool day is a 9-hour session (8am – 5pm), so 72 hours a fortnight hours cover up to 8 days a fortnight. Care beyond your subsidised hours is not covered by CCS. Read more in our 3 Day Guarantee explainer.

How is the gap fee worked out?

Your gap fee is the difference between what your service charges and the CCS amount. If your daily fee is $150 and your CCS rate is 90%, the subsidy covers $135 and you pay $15 — the 10% gap. Most families still pay a gap fee, even at the maximum rate, because the subsidy rarely covers the whole fee.

Daily fee	Maximum CCS (90%)	Your gap fee (10%)
$100	$90	$10
$125	$112.50	$12.50
$150	$135	$15
$170	$153	$17

The same maths applies to our actual daily fees. At Jolly Frog Westmead, long day care is $150 a day for children aged 0–2 and $85 a day for children aged 2–5. A family on the maximum 90% rate pays $15.00 for a 0–2 day and $8.50 for a 2–5 day, before any NSW Start Strong fee relief (see below).

How does NSW Start Strong change what I pay at Northmead?

NSW Start Strong is a separate state program that reduces preschool fees for 3–5 year-olds. Jolly Frog is funded at the maximum Start Strong rate, so eligible families can receive up to $2,563 a year for a 4 or 5 year-old and up to $769 a year for a 3 year-old, applied directly to fees at our Northmead preschool.

Start Strong is a NSW program, not the federal CCS, and the amount is paid to your service once a year. It is applied to one program or enrolment per child per year, so it is not stacked across multiple services. Full eligibility and figures are on the NSW Department of Education Start Strong for families page.

A worked example: a Westmead family and a Northmead family

Both families are on the maximum standard CCS rate of 90% and use Jolly Frog full time. The numbers come from our current fee schedule, the 2026-27 CCS rate, and the 2026 Start Strong maximum. They are worked examples only — your own entitlement depends on your income, the care you use and your child’s age.

Item	Westmead LDC (2-year-old, full week)	Northmead preschool (4-year-old, full week)
Daily fee	$85	$125
Session length	10 hours (8am – 6pm)	9 hours (8am – 5pm)
CCS rate (90%)	$76.50 per day	$112.50 per day
Gap fee per day (10%)	$8.50	$12.50
Annual Start Strong	— (not applied to 0–2 long day care)	Up to $2,563 for a 4 or 5 year-old at maximum rate
Days covered by 3 Day Guarantee	Up to 7 days a fortnight (72 hours)	Up to 8 days a fortnight (72 hours)

How do I claim CCS?

You claim CCS through myGov, linked to your Centrelink account, before your child starts care. You give your service your Customer Reference Number (CRN) and your child’s CRN, and confirm the enrolment. Services Australia back-dates the subsidy up to 28 days, so claim as soon as you know you are starting.

To avoid an overpayment, keep your income estimate and family circumstances up to date in myGov, and confirm your child is enrolled at the service you intend to use. Services Australia reconciles your estimated and actual income at the end of each financial year.

What will I actually pay at Jolly Frog?

Our current daily fees and the maximum-rate gap fee are on our fees and subsidy page. For a quick estimate: a Westmead 2–5 year-old on the maximum 90% CCS rate pays $8.50 a day out of pocket; a Northmead 3–5 year-old on the same rate pays $12.50 a day, before Start Strong is applied.