Strategic Financial Solutions Pty Ltd: Child Care Benefit

Child Care Benefit

Reproduced from Centrelink's "A Guide to Australian Government Payments 1 January - 19 March 2012"

Basic Conditions of Eligibility
Residence Requirements
Other Factors Affecting Eligibility
Basic Rates - Approved Care
Basic Rates - Registered Care
Income Test - Approved Care
Income Test - Registered Care
Assets Test

Basic Conditions of Eligibility

The child must attend Child Care Benefit approved or registered child care.
The claimant or partner must be liable for the payment of the child care fees.

Residential Requirements

The claimant or partner must be living permanently in Australia and be:

an Australian citizen, or
the holder of a permanent visa, or
a New Zealand citizen who arrived on a New Zealand passport, or
a holder of a certain temporary visa (e.g. Spouse Provisional and 851 Resolution of Status (Permanent)(Class CD) and similar subclass visas), or
a student from outside Australia sponsored by the Australian Government, or
a non-resident experiencing hardship or special circumstances.

Other Factors Affecting Eligibility

Children aged under seven must have age appropriate immunisation, be on a catch-up schedule, or have an exemption.
For Child Care Benefit approved care, all eligible families can get Child Care Benefit for up to 24 hours care per child per week.
For Child Care Benefit approved care, both parents, or the single parent, must participate in activities that meet the work, training, study test at sometime during the week the child care is used or have an approved exemption to receive up to 50 hours of Child Care Benefit.
For registered care, both parents, or the single parent, must participate in activities that meet the work, training, study test at some time during the week child care is used to receive up to 50 hours of Child Care Benefit.
Grandparents who are the primary carers for their grandchildren do not have to meet the work, training, study test to receive up to 50 hours of Child Care Benefit per child per week of Child Care Benefit approved care.
Grandparents who are the primary carers for their grandchildren and who are receiving an income support payment from Centrelink or from the Department of Veterans' Affairs are eligible for a special rate of Child Care Benefit (CCB), called Grandparent CCB, to cover the full cost of approved care for up to 50 hours per child per week.
For Occasional Care, Child Care Benefit is paid for an absence if the child has been booked and paid for at the Occasional Care service. There is no limit on the number of absences.
Parents can access their child's absence record on their view Child Care Attendance online statement available at www.familyassist.gov.au under Online Services/View child care details and payments.

Maximum Rate - Approved Care

Up to $3.78 per hour for a non-school child ($189.00 for a 50 hour week).

Note: Depending on your circumstances (e.g. your income, what kind of child care service you use and the number of hours), you may be entitled to a different rate than stated. Contact the Family Assistance Office for a more accurate assessment.

Rates for school children are 85 per cent of the non-school child rates.
A higher part-time loading percentage applies to non-school children attending a long day care service for less than 37.5 hours per week, and
A higher standard hourly rate applies to children attending family day care and in home care services for less than 37.5 hours a week, and
A higher non-standard rate applies to children attending family day care and in home care services for any hours outside the service's standard hours.
Can be paid directly to child care services to reduce the fees charged. Fee reductions are based on an estimate of adjusted taxable income, with reconciliation after the end of the income (financial) year.
Alternatively, payment can be made as a lump sum to parents after end of income (financial) year.

Rate - Registered Care

Registered care rate of $0.632 per hour (up to $31.60 per week) for for incomes over an upper threshold.
Rates for school children are 85 per cent of the non-school child rates.
Paid by direct credit on presentation of receipts within 12 months from when the care was provided.

Income Test - Approved Care

Maximum rate payable for family incomes under $39,785 or families on income support.
Families with income above the income limits will not receive any Child Care Benefit. If families' Child Care Benefit entitlement is zero due to income, they may still be eligible for the Child Care Tax Rebate.
Child Care Benefit is not payable over the following income limits:

Number of children in care	Income Limits
One	$138,065
Two	$143,095
Three or more for each child after the third	$161,581 +$30,528

Income Test - Registered Care

No income test.

Assets Test

No assets test.