CCS hourly rate caps 2025–26
The CCS hourly rate cap is the maximum fee per hour that the Australian Government will subsidise. If your centre charges more than the cap, you pay the entire difference at full price. Understanding the cap is essential for budgeting your actual childcare gap fee.
2025–26 hourly rate caps — all care types
| Care type | Child age | Hourly cap | Effective from |
|---|---|---|---|
| Long Day Care (CBDC) | Pre-school (below school age, approx. under 5) | $14.63/hr | 7 Jul 2025 |
| Long Day Care (CBDC) / Outside School Hours Care (OSHC) | School age (from first day of school attendance) | $12.81/hr | 7 Jul 2025 |
| Family Day Care (FDC) | All ages | $13.56/hr | 7 Jul 2025 |
| In Home Care (IHC) | All ages — charged per family, not per child | $39.80/hr | 7 Jul 2025 |
Source: Department of Education — Family eligibility and entitlement 2025–26. Caps are indexed to CPI and updated each financial year, typically from the first Monday in July.
What the hourly cap means for your gap fee
Your CCS subsidy is calculated as a percentage of the lower of two amounts: your centre's actual hourly fee, or the hourly rate cap. If your fee is above the cap, the government only pays based on the cap — the excess is entirely your cost.
Example: fee below the cap
CCS rate 80% applies to $13.00 = $10.40/hr subsidised. Your cost: $2.60/hr.
Example: fee above the cap
CCS rate 80% applies to $14.63 only = $11.70/hr subsidised.
Your cost: $2.93/hr (20% of cap) plus the full $1.37 cap gap = $4.30/hr out-of-pocket.
That cap gap costs you an extra $82/fortnight for every 60 hours of care.
This is why the cap matters so much when comparing centres. A centre charging $15/hr may look only marginally more expensive than one charging $14/hr — but nearly all of that extra dollar falls on you with no subsidy.
Use the calculator's centre comparison feature to see the exact weekly cost difference between two centres after your subsidy is applied.
School age vs pre-school — why the cap differs
CBDC and OSHC share the same two cap rates, but which applies depends on whether your child attends school — not their age alone. A child is considered school age from their first day of scheduled physical attendance, which varies by state and territory.
In practice, most children below age 5 are pre-school age ($14.63/hr cap) and most children aged 5 and above are school age ($12.81/hr cap). However, if your child started school early or late, the actual school attendance date — not age — determines which cap applies.
State-by-state school starting ages (approximate)
| State / Territory | Typical school starting age |
|---|---|
| New South Wales | 5 years old by 31 July |
| Victoria | 5 years old by 30 April |
| Queensland | 5 years old by 30 June |
| Western Australia | 5 years old by 30 June |
| South Australia | 5 years old by 1 May |
| Tasmania | 5 years old by 1 January |
| ACT | 4 years 5 months by 30 April |
| Northern Territory | 4 years 9 months by 1 June |
Starting ages are approximate and subject to change. Always confirm with your state education department.
ACCS and the hourly cap
For most ACCS types (Temporary Financial Hardship, Grandparent, Child Wellbeing), the subsidy can cover fees up to 120% of the hourly rate cap — not just 100%. This means families on these ACCS types receive some subsidy even for fees above the standard cap.
For ACCS Transition to Work, the standard cap applies (not the 120% extension).
How caps change each year
CCS hourly rate caps are indexed to CPI (Consumer Price Index) and adjusted at the start of each financial year, typically from the first Monday in July. The 2025–26 caps took effect on 7 July 2025.
The figures on this page and in the calculator will be accurate until July 2026. After that date, check the Department of Education's rates page for updated figures.