How Much Are Childcare Fees in Melbourne?
Quick summary
In Melbourne, childcare fees typically range from $120 to over $200 per day before any subsidies. The final amount your family pays depends on the centre's fees, your family's income, and your activity level, which determines your Child Care Subsidy (CCS) rate.
Key takeaways
- Expect daily fees to range from $120 to over $200 before subsidies.
- Check what's included in the fee, like meals, nappies, and programs.
- Understand the Child Care Subsidy (CCS) to lower your out-of-pocket costs.
- Factor in location, quality ratings, and facilities when comparing prices.
- Ask centres about their fee structure, notice periods, and late fees.
How Much Are Childcare Fees in Melbourne?
Figuring out the cost of childcare is one of the biggest steps for families considering early education. If you're looking at centres in Melbourne, you’ve likely seen a wide range of prices and wondered what a 'typical' fee is. The truth is, there isn't one single answer, but we can help you understand the costs involved.
This guide will walk you through the average childcare fees in Melbourne, explain what factors influence the price, and show you how government subsidies can make care much more affordable. Our goal is to give you the confidence to compare centres and find the best fit for your family's needs and budget.
What is the Average Cost of Childcare in Melbourne?
On average, daily childcare fees in Melbourne can range anywhere from $120 to over $200 per day. This is the gross fee, meaning it's the full amount before any government assistance, like the Child Care Subsidy (CCS), is applied.
This is a broad range because so many different things affect the final price. A centre in the inner city with brand new facilities will likely have a higher fee than a smaller, community-based centre in the outer suburbs. For example, fees in areas like our childcare location in Mooroolbark or Bayswater are often more competitive than those in Melbourne’s CBD.
It's important to remember that the daily fee you are quoted is rarely the amount you will actually pay out of your own pocket. The Child Care Subsidy can significantly reduce this cost for most families, which we'll explore in more detail further on.
What Influences a Centre's Daily Fee?
When you see a daily fee, you're seeing the total cost to run a high-quality service, broken down per child. Several key factors contribute to this price, and understanding them helps you see the value behind the number.
Key factors include:
- Location: Rent and property costs vary hugely across Melbourne. Centres in high-demand, inner-suburban areas generally have higher overheads, which is reflected in their fees.
- Inclusions: Does the fee cover everything? An all-inclusive fee provides great value and convenience. At Meraki, our daily fee includes all meals and snacks prepared by our on-site chef, as well as nappies, wipes, and sunscreen. This saves you time and money.
- Educator Qualifications and Ratios: Higher fees often support a centre's ability to attract and retain highly qualified educators and maintain better-than-required educator-to-child ratios. This directly impacts the quality of care and education your child receives.
- Facilities and Resources: A centre with modern, purpose-built facilities, extensive outdoor play areas, and high-quality educational resources will have higher running costs than a more basic setup.
- Educational Programs: Fees also cover the curriculum and any special programs offered, such as music, sport, or language classes. This includes funded Three-Year-Old Kinder and Four-Year-Old Kinder programs led by Bachelor-qualified teachers.
Understanding the Child Care Subsidy (CCS)
The Child Care Subsidy (CCS) is the main way the Australian Government helps families with the cost of childcare. It's not a payment you receive yourself; instead, it’s paid directly to your childcare centre. The centre then subtracts that amount from your total fees, and you pay the remaining difference, often called the 'gap fee'.
Your eligibility and subsidy amount are based on three main things:
- Your combined family income: The lower your family's income, the higher the percentage of your fees the government will cover.
- Your family's activity level: The number of hours of subsidised care you can receive is based on the hours you and your partner spend on recognised activities like paid work, study, training, or volunteering.
- The type of care and centre's fees: The government sets an hourly rate cap. If your centre's hourly fee is higher than the cap, you'll need to pay the difference.
Because it’s based on personal circumstances, the exact subsidy amount is different for every family. The best way to get a clear idea of what you might be eligible for is to use the online calculator on the Services Australia website. It's a crucial step in understanding your real childcare costs.
What's Usually Included in an All-Inclusive Fee?
When a centre offers an all-inclusive service, it means the daily fee covers almost everything your child needs for their day. This makes mornings less stressful and your budget more predictable, as you're not constantly buying and packing supplies.
At our Meraki centres in Mooroolbark and Bayswater childcare services, our daily fee is designed to be as inclusive as possible. This typically covers:
- All Meals: Breakfast, morning tea, a hot lunch, afternoon tea, and a late snack. Our on-site chefs prepare a varied, nutritious menu that caters to all dietary requirements.
- Nappies and Wipes: High-quality nappies and wipes are provided for all children who need them.
- Sunscreen: We provide paediatric-approved, SPF 50+ sunscreen for outdoor play.
- Educational Programs: All learning experiences, incursions (visitors to the centre), and our complete kindergarten curriculum are included.
When you compare centres, be sure to ask for a list of what is and isn't included. A lower daily fee might seem appealing at first, but if you have to provide all meals, nappies, and other supplies, the overall cost and effort can quickly add up.
Key Questions to Ask About Fees on a Tour
A tour is the perfect opportunity to get clarity on all costs. Don't be shy about asking direct questions—a good centre will be happy to provide clear and transparent answers. This helps you budget properly and avoid any surprises later on.
Here are some important questions to ask the Centre Director:
- What is the full daily fee before the Child Care Subsidy?
- Can you provide a full list of what is included in that fee?
- Are there any other levies or fees during the year (for example, for excursions or special events)?
- What is your policy on charging for public holidays and sick days?
- Is there a bond or enrolment fee? If so, what are the conditions?
- What is the notice period required to change days or withdraw from the centre?
- Are there any late pick-up fees I should be aware of?
Asking these questions will help you build a complete picture of the financial commitment. For more information or to book a tour at one of our centres, please get in touch via our contact page.
Finding the Right Balance of Cost, Quality, and Value
While cost is a significant factor, it's just one part of the equation. The cheapest childcare centre isn't always the right choice, just as the most expensive isn't automatically the best. The goal is to find a centre that offers the best value for your family.
Value is about more than just price. It's about the warmth and expertise of the educators. It's about the safety and stimulation of the learning environment. It’s about the feeling you get when you walk through the door and know your child will be happy, nurtured, and supported.
We encourage every family to tour a few different centres. See the programs in action, talk to the educators, and observe how they interact with the children. This will give you a true sense of a centre's culture and quality. Choosing a childcare centre is a decision of the heart as much as the head, and finding a place where you and your child feel you belong is priceless.
Frequently asked questions
Do I have to pay for childcare on public holidays?
Yes, most centres charge for public holidays to continue covering ongoing operational and staff costs. The government typically still pays the Child Care Subsidy for these days. This is a standard practice across the sector, but it's always a good idea to confirm your centre's specific policy when you enrol.
How is the Child Care Subsidy paid?
The CCS is paid directly from the government to your approved childcare provider. The centre then reduces your fees with the subsidy amount. You are then invoiced for the remaining 'gap fee', which is your out-of-pocket expense. This process makes managing payments much simpler for families.
What happens if my income or activity level changes?
It's very important to update your details with Services Australia via your Centrelink online account as soon as your circumstances change. Changes to your family income or the hours you work or study can affect your subsidy percentage and the number of subsidised hours you're entitled to.
Are kinder programs included in the daily childcare fee?
At many long day care centres like Meraki ELC, yes. Our government-approved Three and Four-Year-Old Kindergarten programs are fully integrated into the daily fee and routine. This provides a seamless, convenient option for families, combining high-quality care and a kindergarten curriculum in one place.
Can I get an estimate of my out-of-pocket costs?
Yes, the best way to do this is by using the Payment and Service Finder on the Services Australia website. This official calculator will ask for your estimated family income and activity levels to give you a reliable estimate of the Child Care Subsidy you may be eligible for, which helps you calculate your true cost.
Is there a bond or enrolment fee to secure a spot?
This varies between centres. Most providers will ask for a bond, which is typically equal to two weeks of fees. This is a security deposit that is refunded when your child leaves, provided you give the correct notice period. Some centres may also have a small, non-refundable administration fee to cover enrolment processing.
Book a tour of Meraki ELC
Want to see how we'd answer this for your family? Book a tour at our Mooroolbark or Bayswater centre — or use the contact form and we'll come back to you within one business day.