COVID-19: Updated information on help with child care costs

Updated: 12 July 2020

Key Points

  • The special COVID-19 arrangements for child care that provide free child care for most Australians have now finished
  • From 13 July 2020 eligible parents will receive the Child Care Subsidy and Additional Child Care Subsidy again
  • There will be transitional arrangements in place between 13 July and 4 October 2020 under which parents that aren’t able to satisfy the activity test will be entitled to 100 hours of subsidised child care per fortnight per child for up to 12 weeks. There will also be additional payments made to child care centres
  • From July 13 to December 31 2929 Victorian child care centres located in areas subject to Stage 3 or higher ‘stay at home’ restrictions are able to waive out of pocket fees for children who don’t attend due to COVID-19

New Funding Arrangements for Childcare during the COVID-19 Pandemic

On July 13 2020 the COVID-19 subsidy for child care will stop and the previous Child Care Subsidy and Additional Child Care Subsidy will resume.

There will be new transitional arrangements in place between 13 July 2020 and 4 October 2020. During this period parents that can no longer satisfy the activity test will be entitled to 100 hours of subsidised child care per fortnight per child for up to 12 weeks. Parents can notify Services Australia of their eligibility for these transitional arrangements via myGove and their Centrelink online account.

There will also be additional transitional payments made to child care operators during this period.

Special arrangements have also been announced for Victorian Child Care Centres locate in government areas subject to Stage 3 or higher ‘stay at home’ restrictions. These child care centres will be allowed to waive the out of pocket fees for children that are absent due to COVID-19.

Further information on child care arrangements is available here.

 

If you are concerned about the financial impact of COVID-19 or you are facing the uncertainty of losing your job or having your income significantly reduced we can help. Sign up to MoneyBrilliant and we will give you access to a host of tools and features to help you organise your finances and make better decisions about your money. We’ll also give you tailored insights about the financial assistance available from governments and businesses to help you face the economic and financial challenges caused by the COVID-19 pandemic.

You can register for MoneyBrilliant online at www.moneybrilliant.com.au or download our app from the App Store or the Play Store.

 

This summary has been prepared by MoneyBrilliant Pty Ltd (ABN 34 153 932 766, AFSL 492711, ACL 493068). The information in this summary is of a factual nature only. We are not suggesting or recommending that you take any particular course of action in relation to any financial product or service. It does not take into account your personal circumstances or objectives. If you need financial advice or taxation advice you should seek advice from a licensed financial adviser or tax agent. You may also be able to access additional information from the websites of the Australian Securities and Investment Commission (ASIC) and the relevant product providers.

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