14 June 2023

Child Care Subsidy Rates Increasing from 10 July

Child Care Subsidy (CCS) rates are increasing from 10 July 2023.

CCS rates are adjusted each July based on the Consumer Price Index (CPI) for the previous December, resulting in an increase of the CCS family income thresholds and hourly rate caps.

The new rates take effect from 10 July 2023, which is the start of the first CCS fortnight in the new financial year.

The new hourly rate cap for family day care is $12.72 for below school age and school age children.

The full CCS rate changes are available to view here on the Department of Education website.

The inequitable disparity in the CCS hourly rate cap remains a significant advocacy point for FDCA as evidenced by our recent submission to the Productivity Commission Inquiry into Early Childhood Education and Care, which can be accessed here. This is the mechanism by which key policy decisions relating to CCS will be made over the coming year.

FDCA has been invited to meet with Commissioners Lisa Gropp, Martin Stokie and Deborah Brennan, who are leading the Inquiry, early next week in Sydney where we will continue to push for recognition and equity through the fee cap, alongside our other key advocacy points to promote viability and growth within the family day care sector.

Changes to CCS Gap Fee Payments and Collection are Coming Soon! Are you getting ready?

From 1 July 2023, families must pay the CCS gap fee using electronic means.

Make sure you, your educators and your families are ready for this change by accessing the suite of EFT Transition Resources that Family Day Care Australia (FDCA) has developed, available free on our website.

Latest releases include:

  • A Myth Busters Fact Sheet which addresses some misconceptions circulating in some parts of the sector surrounding the collection of CCS gap fees via Electronic Funds Transfer (EFT) from 1 July 2023.
  • An Online Self-Assessment Tool for Services that will assist services to evaluate their readiness for the upcoming changes and identify areas for action to ensure compliance. It’s quick and easy to complete and once you have submitted your answers to the questions, a report will be generated with relevant guidance.
  • A Practice Guidance Resource for Approved Services that was developed in collaboration with the Australian Government Department of Education as well as in consultation with service members, through a national survey and in one-to-one interviews. This Guide provides key considerations and invaluable good practice tips and strategies to assist services in the transition to EFT gap fee collection.

The above resources are valuable additions to those already available on our EFT Transitions Resources page:

New additions coming SOON will include:

  • An Audit Process Factsheet, and
  • An Online Self-Assessment Tool for Educators

In addition, the following existing FDCA resources have also been updated in line with legal advice we received about the implications of the new EFT gap fee requirement:

  • Educator agreement templates (available in Word and PDF format)
  • Independent contractor guidance fact sheets

These updated resources are available in the Resources and Factsheets section of your FDCA Member Zone. As part of your service’s review and transition process to the new EFT gap fee collection model, FDCA strongly advises you to review your educator contracts in line with the updated version to protect your service and strengthen the independent contractor model.  

At FDCA, we are committed to delivering resources that support your continuous improvement and in the delivery of compliant, quality practice.

If you have any questions or need more information about the upcoming changes to gap fee payments, please contact us on 1800 658 699 or at

Changes to Gap Fee Collection – Electronic Payments Only from 1 July 2023

As most educators are aware, from 1 July 2023, families using child care must pay their CCS gap fee using Electronic Funds Transfer (EFT).

Family Day Care Australia (FDCA) has created two factsheets, one for families and one for educators, to assist in explaining the changes. These factsheets are available here in a new section of our website dedicated to keeping you informed about the new gap fee requirements. You should have also received a print version in the mail, which you can distribute as needed.

The information sheet for families informs them about the changes to CCS gap fee payments that will take effect from 1 July and how these changes may affect them.

Families are also encouraged to contact their family day care service or educator to find out about changes to the payment processes, as EFT payment methods will vary amongst services.

The information sheet for educators provides guidance on the required changes to the payment and collection of CCS gap fees via EFT, including your obligations when collecting fees on behalf of services and the importance of accurate record keeping practices.

We also encourage educators to contact your family day care service as it is important for educators to understand and comply with the policies and guidelines set out by their service provider, which will generally prescribe the service’s approach to gap fee collection. 

At FDCA, we are committed to supporting the sector in continuous improvement and in the delivery of quality practice. We believe that staying informed is the first step towards achieving this goal. We encourage all services, educators and families to read these factsheets and stay informed about the upcoming changes to the CCS gap fees.

Watch out for updates on our EFT Transition Resource website, as we will have a new additional resource coming out SOON – an Online Self Assessment Tool for Educators.

To learn more about the Child Care Subsidy, click here.

To learn more about gap fees, click here.

To learn more about the changes to gap fee payments, click here.

2023 Excellence in Family Day Care Awards are Now Live!

We are so excited to have kicked off the 2023 Awards Season with a bang. In the week that nominations have been open we have received over 1300 nominations for educators, services and coordinators. We thank everyone who has submitted a nomination or helped to spread the word.

We will be announcing the first round of nominations later this week. In the meantime, if you would like to nominate someone who is doing amazing work in the family day care space, please click here.

Family Day Care Tax Tips Webinar

FDCA members are invited to attend a special end of financial year Family Day Care Tax Tips Webinar that will take place on Thursday 15 June at 6.30pm AEST.

The webinar will feature Ben Mueller, Director and Principal Accountant with FDC Tax. Ben will be discussing a number of changes for the upcoming financial year, along with general tax tips for family day care educators.

The webinar will be available to view via the following links:

FDCA members are invited to submit questions prior to the webinar for Ben to answer on the night. Those viewing the session live will also have the chance to submit questions in real-time via Facebook and YouTube comments.

If you would like to submit a question for Ben in advance, please click here.

Educational Leader Facebook Support Group - Callout for Moderators

As the national peak body of family day care in Australia we recognise the vital role educational leaders play in the family day care space and understand the importance of quality leadership in the sector.

To assist educational leaders in connecting and sharing insights, we are creating a private Facebook support group for FDCA members.

As part of this process, we are calling for expressions of interest from educational leaders who would like to volunteer as group moderators, monitoring discussion within the group and ensuring group rules are upheld.

If you are interested in putting your name forward, please click here.

Grant Guidelines Released for ECEC Workforce Subsidies

The guidelines for the early childhood education and care (ECEC) workforce professional development and practicum subsidies are now available.

For the Professional Development Subsidy stream, the objective of the program is to support up to 22,000 early childhood educators, early childhood teachers and directors (centre managers) to undertake professional development for up to two days. This includes supporting ECEC services to support educators to undertake professional development because those positions must be backfilled to meet legislation and ratio requirements under the National Quality Framework (NQF).

The measures are designed to improve employee retention in the ECEC workforce and build supply and capacity across the sector. Initially, the subsidies will prioritise:

  • Services and staff in regional, remote and very remote locations.
  • First Nations services and educators.

Funding is not designed to cover the exact cost of a staff member’s wages. The Subsidy will be calculated based on a flat daily rate, with three rates for early childhood educators, early childhood teachers and directors. This has been calculated based on current July 2022 award rates, with rates for average early childhood educators and directors taken from the Children’s Services Award (2010) and early childhood teachers rates taken from the Education Services (Teachers) Award (2020), including a 25 per cent casual loading. Family day care coordinators not covered by the Awards outlined above should use the rate closest to their rate of pay per day.

The Department of Education published them before sending grant offers in July so eligible providers can see what is involved. If you think you might be eligible, you should read the guidelines now.

Learn about the professional development subsidy, including eligibility criteria, on the Department’s website.

Have you downloaded the new myFDCA App?

If the answer to the question above is no, what are you waiting for!

Available to all FDCA members on both Apple and Android devices, the myFDCA App is FREE and available to download now via the App Store and the Google Play Store.

The myFDCA App puts your range of exclusive member benefits in the palm of your hand to access anytime, anywhere! This means:

  • You can access your FDCA member benefits via your mobile device anytime, anywhere!
  • You can get realtime Family Day Care Locator notifications, never miss a care enquiry and respond instantly!
  • Your favourite resources such as the FDCA Learning Hub, the Online Engagement Series and JiGSAW magazine will always be in arms reach!

You can also view your membership and insurance information through the app. 

How do I get the myFDCA App?

To get the myFDCA App today, all you need to do is visit the App Store (Apple devices) or the Google Play Store (Android devices) and download the app.

Logging into your myFDCA App

Once you have downloaded the app, all you need to do is log in using the same email address and password that you use to access your FDCA Member Zone.

What if I haven't activated my FDCA Member Zone?

To activate your FDCA Member Zone, all you need to do is follow these simple steps:

  1. Click here to activate your free account
  2. Enter your registered email address (the same email that this email was sent to)
  3. An email will then be sent to your email address; click on the 'create password' button
  4. Create and confirm your password
  5. Use your email address and password to access the myFDCA App

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