Recognised Activity Per Fortnight

Less than 8 hrs

8-16 hrs

16-48 hrs

More than 48 hrs

New Childcare Subsidy System

Family Income

We have already alerted you to some pitfalls in the new Child Care Subsidy (CCS) System that replaces the existing Child Care Benefit (CCB) and Child Care Rebate (CCR) on 2 July 2018.

The Government has replaced the CCR and CCR with a requirement that everyone does some kind of recognised activity (the Activity Test) to access subsidised childcare. The more activity, the more subsidy you get.

There is a second part to the CCS based on your family income that is more like the old CCB system where your income determines the percentage of subsidy you got.

Thankfully, this part is a bit simpler than the Activity Test. What’s more is that it pays a percentage of the actual Centre fees to a $ cap. At the moment the CCB percentage is of an hourly Centrelink figure which is less than the Centre’s fees.

This will benefit some people; particularly on lower incomes.

This table shows the new income thresholds:

​Winners? People under $66,958. Losers? People over $251,247. The rest? It’s impossible to say as we don’t know your family income.

So please, get onto myGov as soon as possible and use their online calculator.

The other big difference is the old Child Care Rebate (CCR). At the moment your CCR is capped at $7500/ child / year.

Now if you earn under $ 186,958 there is no cap. This is good news for those people as you won’t suffer the current situation where your CCR runs out before 30 June and you have to pay full fees.

For anyone else, between $186,959 and $351,248 family income, the new cap is $10,190/ child/year – up 35% from the current cap. Sounds great, but it only really catches up the old $7500 cap which wasn’t increased for 6 years.

Again, we urge you to:

- Carefully consider the new Activity Test and do everything you can to bring yourself under the nominated activities to see how many hours per fortnight you get. Remember, if 2 parents, Centrelink bases your hours on the lesser partner’s hours – trap!   People who previously got 24 hr/ week (48 hrs/ fortnight), NOW have to pass the Activity Test where they don’t at the moment.

- Look at your family income and see what CCS percentage you may get and compare it to the present CCB and CCR system. Remember, the new CCS covers both the current Centrelink payments. See also if you are subject to a cap or not. The big difference with the percentage under the new system is that it is a percentage of the Centre’s actual fees – which it wasn’t under the current CCB system.

Most Importantly, go on to your Centrelink online account through myGov NOW! Don’t wait. There is already lengthy processing times and they will get longer by the end of June.

Subsidised Hours Of Childcare Per Fortnight

0 hrs

36 hours

72 hrs

100 hrs

Important Reminder About The Child Care Subsidy Package (CCS)

Childcare subsidy from the Federal government is now based on an Activity Test.

What counts towards the Activity Test?

  • Paid work, including self-employed
  • Paid or unpaid leave, including paid or unpaid parental leave
  • Doing an approved course of education or study
  • Doing training to improve work skills or employment prospects
  • Unpaid work in a family business
  • Actively looking for work
  • Volunteering
  • Unpaid work experience
  • Actively setting up a business
  • Other activities on a case by case basis

*NB. Centrelink will only recognise some of these activities for a certain amount of time, eg: periods of unpaid leave for up to 6 months.
*Please Note:  Time taken to travel from the activity to the childcare centre can be added to boost these activity hours - so can your unpaid lunch break at work.

The amount of activity determines the amount of subsidised hours: -

​*Remember- the government now quotes everything in fortnights not weeks.


If you work full – time you won’t have any difficulties.

If there are 2 parents, they take the lesser of the activity hours. So, if one parent achieves 100 hours of activity and the other 36 hours, the family only gets the 36 hours.

If there are 2 parents and one satisfies the Activity Test and the other fails it- then both parents fail it and, in most cases, you get no subsidised hours of childcare. This is a trap!

Again, please look carefully at your personal circumstances and try your best to fit under at least one of the recognised activities listed earlier.

Multiple activities can be added together (eg: you may volunteer and also study) – so add together the hours for each activity.

There are a few exemptions to satisfying the Activity Test:

  • If you earn less than $66,958 / yr you can still get 24 hours / fortnight subsidised childcare hours
  • If your child is in a recognised Kindy Program like ours, you can access up to 36 hours / fortnight for that child.  (Essentially this is for 4 and 5 year olds)
  • If you receive:

                                1. Newstart allowance
                                2. Youth allowance
                                3. Parenting payment, or
                                4. Special benefit.

You can access 36 hours / fortnight. But see Centrelink about eligibility.

So please, go to myGov and review your activity hours and check that you are getting as many hours as you are permitted. ​

3 Meals a Day : Morning Tea, Lunch, Afternoon Tea

Nappies, Wipes, Sunscreens

Qld Government Approved Kindy Program

Chinese Language Program

Fantastic 60m playground for the kids

Modern, climate-controlled rooms

Caring and Professional Staff, with next to nil turnover

Childcare Fees

So once you have decided you would like to enrol your child in day care, the next thing you want to know is how much will it cost?

 You will be charged a daily fee by the centre, however almost everyone will receive a government reduction in fees called the Child Care Subsidy ( CCS ) which is based on your personal circumstances.

It’s a bit like the way medicare works, in the sense that you only need to cover the fee ‘gap’, yet its way more complicated unfortunately.

Here we attempt to explain how it all works………..

The Government sends the Centre your CCS to reduce your fees. Remember, the Government also withholds 5% of your CCS in case you end up owing them money. For most people, this 5% will be returned to them when they do their tax at the end of the Financial Year. Occasionally, Centelink will send us the incorrect CCS. Basically, they will reimburse you personally for any error and the shortfall to the centre must be made up by you. The Centre has no control over how much is sent on your behalf, so any shortfall is made up by you.

By Attending Toowoomba Central Childcare & Preschool you could save up to  $2976.00, as well as up to 70.2 hours of your personal time each year

Introducing the Toowoomba Central Childcare & Preschool Free Parent / Care Providers Breakfast Station & Free Children’s Fruit Basket.

Here at Toowoomba Central Childcare & Preschool we understand how expensive the cost of living is becoming each day. To show our appreciation to our centre families we have introduced a free Breakfast Station for our centre Parents and Care Providers. Please help yourself to a free coffee and a breakfast snack. We have a strong and mild coffee pods for you to choose from and also have hot chocolate. Will also have a variety of breakfast snacks and these will vary each week.

We realise how much coffee and breakfast snacks cost each day, its’ roughly between $9 - $10. By using our free breakfast station you can potentially save up to $50 per week x 48 weeks per year that your child attends our service. Example if you spend $10 a day on your coffee etc, then by attending Toowoomba Central Childcare & Preschool, you could be saving up to $2400 by accessing our Free Breakfast Station and not having to purchase coffee and a breakfast snack elsewhere. We also realise how time poor and hectic life can be, by using our Free Breakfast Station you could be saving up to 55.2 hours of your personal time because you don’t have to wait to go through a drive through. Example 15 mins per day x 5 days a week = 1hr 15 mins a week x 48 weeks a year = roughly 55.2 hours in time saved.

To also assist our families we have set up a Children’s Fruit Basket. Your child can also help themselves to a free piece of fruit on the way home as they are leaving our service to go home each day. By utilizing the Free Children’s Fruit Basket, you won’t have to stop to go through a takeaway drive though etc on the way home. You will also be providing your child with a healthy food option  and the benefits of healthy eating.

The benefit of accessing our Free Children’s Fruit Basket. Even if you only go through a takeaway drive through twice a week you could be saving roughly $12 a week. $12 x 48 weeks a year equals a saving of $576 per year. Also think of the time you save by not having to go through the drive through. Example: 30 mins per week x 48 weeks a year = roughly 15 hours a year that you could be saving in time.

So when you think about it, just by the utilizing the Free Breakfast Station and the Children’s Fruit Basket our families can potentially save up to $2976.00 a year and you can also potentially save a minimum of 70.2 hours in time.

Subsidy Rate Of Centre’s Total Fee


Gradually reducing to 50 %


Gradually reducing to 20%



Combined Family Income (2018/2019 )

$0 to $66,958

$66,959 to $171,957

$171,958 to $251,247

$251,248 to $341,247

$341,248 to 351,247

$351,248 and over

Toowoomba Central