Childcare is an essential service for many Australian families. It allows parents to work, study, or volunteer while their children are cared for in a safe and nurturing environment. However, childcare can be expensive, and many families struggle to afford it. In this blog, we will discuss different childcare funding sources in Australia, so you can look into the various options and decide which one you can use to give your child/children the best early childhood education possible.

How Much is Childcare in Australia

The cost of childcare in Australia depends on various factors, including, but not limited to, the type of childcare, how many children are in the family and eligibility for government assistance. The average national cost of childcare is $118.36 per day, but with different childcare funding sources in Australia, families may have substantially lesser out-of-pocket expenses.

5 Types of Childcare

Childcare, also referred to as Early Childhood Education, is tailored for children up to five years old but also includes care for primary school-age little ones.

Here are the childcare options available:

Home-based care – a caregiver provides care and supervision for children within a home environment

Centre-based care – childcare services provided in a dedicated facility or centre where trained educators offer care and educational programs for children

Family day care – qualified educators provide care and education for small groups of children in their own homes, regulated by a coordination unit.

Business-related creches – employer-provided childcare facilities or services that are established within or near a workplace to assist employees in caring for their children while they are at work

Childcare Funding Sources in Australia

Government Subsidies

  • Child Care Subsidy (CCS)
    • Families pay up to a certain amount, and the rest of the childcare fees are subsidised by the Government and paid directly to the providers. The most recent federal Budget states that CCS will increase from 85% to 95% starting 10 July 2023.
  • Additional Child Care Subsidy (ACCS)
    • The Government offers ACCS to provide extra help for carers such as grandparents, families whose income is below a certain amount, those experiencing financial hardship or who have children who are at risk of harm, abuse, or neglect or in foster care.
  • Community Child Care Fund (CCCF)
    • CCCF is a government grant designed to provide access to childcare for vulnerable and disadvantaged communities. The aim is to increase the number of children in care.

Employer-Funded Childcare

Some employers in Australia offer employer-funded childcare as part of their benefits package. It can include things like on-site childcare facilities, subsidies towards the cost of childcare, or flexible working arrangements to help parents manage the cost and time demands of childcare. It’s worth checking with your employer to see if any childcare benefits are available to you.

Choose the Childcare Funding Sources in Australia that Work for Your Family

Childcare is an essential part of the lives of many Australian families. Fortunately, the country recognises the importance of childcare or early childhood education and how crucial it is for children to experience a safe, nurturing and stimulating environment during their first years.

As parents and carers of children, we are responsible for exploring childcare funding sources in Australia and using them. Ultimately, find a childcare solution that works for you and your family. By doing so, we can allow our future generations to have an excellent headstart into becoming successful, contributing adults in our society.

If you have any questions about childcare funding, please get in touch with us or click HERE.