Direct Gap Fee Collection Resources

Resources and support to help you get ready for the new CCS gap fee requirements

From January 1, 2026, all family day care providers will be required under Family Assistance Law (FAL) to collect Child Care Subsidy (CCS) gap fee payments directly from families. This is known as Direct Gap Fee Collection (DGFC), however some in the sector may currently use the term “centralised model” to describe the same process.

The transition to a sector-wide Direct Gap Fee Collection (centralised) model is being introduced by the Australian Government to support the sustainability of the family day care sector by increasing payment integrity. This measure aims to improve CCS administration, enhance transparency and strengthen compliance with FAL obligations as well as reduce administration burden on educators, freeing them up to focus on their core role of providing education and care.  

Almost two thirds of all family day care services currently collect gap fees directly from families using a centralised model. For those that have not yet transitioned to Direct Gap Fee Collection, FDCA is partnering with the Australian Government Department of Education to develop a range of resources and provide tailored practical support to assist you.

These resources and supports will also benefit services who have already adopted a direct gap fee model by assisting them to critically reflect and refine their current systems, practices, policies and procedures.

To support services, FDCA will provide a suite of resources including:

• A range of awareness and information resources tailored for services, educators and families.
• Good practice guidance resources on efficient business practices for your service to implement the changes effectively, including record keeping, use of relevant IT systems, as well as guidance on governance frameworks and relevant policies and procedures.
• Expert debt collection guidance through best practice models and policies, tips and tools.
• Ongoing direct support through FDCA’s sector support team to respond to questions, resolve concerns and address challenges as they arise.

All resources will be developed in consultation with the sector and will be free and available to both FDCA members and non-members. As resources become available, they will be uploaded below:

• Information sheet for families
• Information sheet for educators
• Good practice guidance resources
• Expert debt collection guidance resources
• Tip sheets

Additional resources may be added as sector needs are identified.

Need more information?

If you have any questions about the change to direct gap fee payments, please visit our FAQ page in the first instance as you will find answers to many common questions there.

In addition, FDCA is providing ongoing dedicated support throughout the lifespan of the project and beyond 1 January 2026. Our direct support service includes phone and email support through FDCA’s sector support team to respond to your questions, help resolve concerns and address challenges as they arise. Tailored advice will also be available following the consultation and initial resource development phase to help services update contracts, policies and fee structures. You can contact FDCA’s sector support team on 1800 658 699 or enquiries@fdca.com.au.