How Much Is Childcare Per Day in Australia?
Quick summary
In Australia, the daily fee for childcare is typically between $120 and $190+ before any subsidies. The government's Child Care Subsidy (CCS) can significantly reduce this cost. Your final out-of-pocket expense depends on your family's income, your hours of work or study, and the centre's hourly rate.
Key takeaways
- Expect daily fees to range from $120 to over $190 before subsidies.
- The Child Care Subsidy (CCS) is the key government payment that reduces costs.
- Your combined family income is the main factor in your CCS percentage.
- Your hours of work or study determine how many hours of care are subsidised.
- Always check what's included in the fee, like meals, nappies, and programs.
- Use the Services Australia calculator for a personalised cost estimate.
Understanding Childcare Fees in Melbourne and Beyond
Figuring out childcare costs can feel overwhelming for many families. You hear different numbers from friends and see a wide range of fees online. If you're asking, "How much is childcare per day in Australia?", you’re not alone. The simple answer is: it varies. But we can help you understand why.
This guide will walk you through the average costs, explain what is usually included in the daily fee, and show you how the Australian Government's Child Care Subsidy (CCS) makes care more affordable. By the end, you'll have a clear picture of how to estimate your family's childcare expenses.
What is the Average Daily Fee for Childcare?
Before any subsidies are applied, the daily fee for long day care in major cities like Melbourne typically ranges from $120 to over $190. This is the gross fee that the centre charges for a full day of care and education.
Several factors influence this price:
- Location: Fees are often higher in inner-city areas compared to suburban areas like ours in Melbourne's east.
- Inclusions: A centre with an all-inclusive fee that covers meals, nappies, and educational programs may have a higher daily rate than one where you supply your own.
- Quality and Facilities: Centres with modern facilities, large outdoor spaces, and highly qualified educators may have fees that reflect their investment in quality.
It's important to remember that this headline figure is not what most families actually pay. The Child Care Subsidy plays a huge role in reducing the final, out-of-pocket cost.
How the Child Care Subsidy (CCS) Reduces Your Fees
The Child Care Subsidy (CCS) is the main way the Australian Government helps families with the cost of childcare. It's a single payment designed to be simpler and more accessible for families. The subsidy is paid directly to your childcare provider, like Meraki Early Learning, so you only need to pay the difference. This is known as your 'gap fee'.
Nearly all families in Australia using approved childcare are eligible for some level of CCS. The amount of subsidy you receive is not a one-size-fits-all figure. It's calculated based on your family's unique circumstances. Understanding these factors is the key to knowing what your childcare will really cost.
The 3 Factors That Determine Your CCS Amount
Services Australia looks at three main things to work out your CCS entitlement. Getting to know these will help you estimate your costs more accurately.
1. Your Combined Family Income
Your family's total annual income is the biggest factor. In simple terms, the lower your combined family income, the higher your CCS percentage will be. For example, families earning up to a certain threshold (which is indexed annually) receive the highest subsidy rate. As income increases, the subsidy percentage gradually decreases.
2. Your Family's Activity Level
The government links the number of subsidised care hours you can access to the hours you and your partner spend doing recognised activities. This includes paid work, study, training, volunteering, or starting a business. The more hours of activity you do, the more hours of subsidised care you can get per fortnight, up to a maximum of 100 hours.
3. The Type of Care and the Hourly Rate Cap
The government sets an hourly rate cap for each type of care (e.g., Centre Based Day Care, Family Day Care). The CCS is paid based on your centre’s hourly fee or the government's hourly cap, whichever is lower. If your centre's fee is higher than the cap, you will need to pay the difference in addition to your regular gap fee. At Meraki, we are always transparent about our fees so you can make an informed choice.
What's Included in a Daily Childcare Fee?
When you see a daily fee, it's vital to ask what it covers. A higher fee might actually offer better value and convenience if it's all-inclusive. At both our Mooroolbark childcare centre and our Bayswater centre, we believe in making life simpler for busy families.
Our daily fee includes:
- Nutritious meals and snacks prepared on-site by our centre chef.
- Nappies, wipes, and sunscreen.
- Linen for nap time.
- All educational programs, including play-based learning and school readiness activities.
- Specialist programs and incursions at no extra cost.
An all-inclusive model means no more packing lunches, worrying about nappies, or facing unexpected costs for activities. This not only saves you money but precious time in the morning.
How to Estimate Your Own Childcare Costs
The best way to get a precise idea of your out-of-pocket cost is to use the official government tools. It's a straightforward process.
Step 1: Get an Estimate. Start by visiting the Services Australia website and using their Payment and Service Finder. This online calculator will ask you for your income and activity details to give you a reliable estimate of your CCS percentage and subsidised hours.
Step 2: Lodge a Claim. To formally apply for the CCS, you'll need to log in to your MyGov account, which is linked to Centrelink. You should do this as soon as you start thinking about childcare, as it can take some time to be processed.
Step 3: Talk to Us. Once you have your CCS estimate, the next step is to find the right centre for your family. We invite you to book a tour of our centres. We can discuss our daily fees, what’s included, and how your CCS will be applied, giving you a clear picture of your gap fee. This is also a great time to learn about our incredible Three-Year-Old Kinder and government-funded Four-Year-Old Kinder programs.
More Than Just a Number: Choosing the Right Centre
While cost is a significant factor for every family, it's only one part of the childcare puzzle. The quality of care, the warmth of the educators, and the learning environment are what truly shapes your child's early years. We encourage families from Wantirna, Boronia, and surrounding suburbs to look beyond the daily fee and consider the value a centre provides.
At Meraki, we pride ourselves on creating a home away from home — a place where children feel safe, happy, and inspired to learn. As a family-run service, we pour our hearts into making our centres nurturing communities for everyone. We believe that is a value that can't be measured. For more information on finding the right fit, you can explore our other articles and resources.
Frequently asked questions
Do I still have to pay fees if my child is sick or on a public holiday?
Yes, you are required to pay the gap fee for absence days and public holidays to hold your child's spot. The Child Care Subsidy covers up to 42 absence days per child each financial year without needing special evidence, like a medical certificate. After that, you may need to provide documentation for CCS to be paid for further absences. This ensures educators are paid and the centre can continue to operate.
Is kindergarten cheaper than childcare?
In a long day care setting like Meraki, funded kindergarten is part of the daily program, not a separate, cheaper service. The daily fee remains the same, but the government funding we receive for the kinder program helps us provide a high-quality preschool curriculum delivered by a qualified teacher. Your Child Care Subsidy still applies to the daily fee, making it very affordable for families.
What exactly is the 'gap fee'?
The 'gap fee' is your out-of-pocket expense for childcare. It's the difference between our centre's full daily fee and the amount the government covers through the Child Care Subsidy (CCS). The CCS is paid directly to us, and we then bill you for the remaining amount, which is the gap. This is the figure you will actually pay each week or fortnight.
How often do I pay my childcare fees?
Most childcare centres, including Meraki, manage payments through a direct debit system. Fees are typically processed weekly or fortnightly. This automated system is secure and convenient, meaning you don't have to worry about remembering to make payments manually. We provide regular statements so you can track your fees and CCS payments easily.
What should I do if my family's income or activity level changes?
It is very important to update your details with Services Australia as soon as your circumstances change. This includes changes to your income, your work or study hours, or your relationship status. Keeping your information current ensures you receive the correct amount of Child Care Subsidy and avoids any overpayments that you might have to pay back later.
Are meals and nappies always included in the daily fee?
Not always. Some centres require you to pack your own lunch, snacks, and nappies, which can result in a lower-looking daily fee but more work and cost for you. At both our Mooroolbark and Bayswater centres, all meals, snacks, nappies, and sunscreen are included. This is an important question to ask when you are touring any childcare centre.
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.