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 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 collect gap fees directly from families using a centralised model. For those who have not yet transitioned to the direct gap fee model, 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 centralised model by assisting them to critically reflect and refine their current systems, practices, policies and procedures.

These resources will include:

• 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.
• 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 are being 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

This factsheet informs families about the changes to CCS gap fee payments from 1 January and how this change may affect them. Services and educators are encouraged to share this factsheet within their networks so they are aware of the upcoming changes.

• Information sheet for educators

This factsheet outlines what upcoming changes to CCS gap fee collection means for FDC educators, explaining how responsibilities will shift and how you can support families and your service during the transition.

• Good practice guidance resources
• 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.