Child Care Subsidy Perth Guide — How CCS Works in 2025

The Child Care Subsidy (CCS) is one of the largest household subsidies available to Australian families — yet many Perth parents either don't claim it at all or don't receive the full amount they're entitled to. This guide explains the system in plain English.

What the CCS Is

The Child Care Subsidy is a Federal Government payment that subsidises the cost of approved childcare for families. It covers long day care, family day care, outside school hours care (OSHC), and some in-home care services. The subsidy is paid directly to your childcare provider — you pay the gap between the full fee and the subsidy amount.

How to Claim CCS

CCS is claimed through Centrelink via your myGov account. You'll need to link your Centrelink account to myGov, then submit a CCS claim for your child. The process takes 10–20 minutes for most Perth families. You'll need: your child's date of birth and immunisation status (must be up to date for CCS eligibility), your income details, and information about your childcare provider's approval number. Claims can be made before your child starts care.

The Activity Test

The number of subsidised hours you receive is determined by the activity test — how many hours per fortnight you and your partner spend in recognised activities: paid work, study, training, volunteering, or actively looking for work. Higher activity levels qualify for more hours of subsidised care (up to 100 hours per fortnight). If neither parent meets the minimum activity test threshold, a base entitlement of 24 subsidised hours per fortnight still applies.

The Income Test

Your CCS percentage is determined by your family's combined income. In 2024–25, families earning under approximately $80,000 receive the maximum subsidy (around 90%). The subsidy percentage tapers as income increases, reaching 0% for families earning above approximately $533,000. The income thresholds and taper rates are adjusted annually — check the Services Australia website for current figures.

Annual Subsidy Cap

An annual cap applies to CCS for families earning above approximately $80,000. For 2024–25, this cap is around $10,655 per child per year. Families who reach the annual cap will pay full fees for the remainder of the financial year. If you're approaching the cap, Services Australia will notify you. Second and subsequent children have the annual cap removed under recent policy changes.

What Happens If You Don't Claim

If you fail to submit a CCS claim, you pay the full daily fee without any government contribution. There is no automatic enrolment. Many Perth families — particularly those new to the system or with English as a second language — miss out on substantial entitlements simply because they didn't know to apply. If you suspect you've missed CCS payments, contact Centrelink — back-claims for limited periods are sometimes possible.