As of January 5, 2026, the Australian Government has implemented the “3-Day Guarantee,” which significantly simplifies how Child Care Subsidy (CCS) hours are calculated.
This change effectively removes the “activity test” for the first 72 hours of care, ensuring that almost all families have access to three days of subsidised care per fortnight regardless of how much they work or study.
For support and government assistance contact the:
Child Care Subsidy Provider Helpdesk
Phone: 1300 667 276
Email: ccshelpdesk@education.gov.au
The 3-Day Guarantee (72 Hours)
Previously, the number of subsidised hours you received was strictly tied to your “activity” (work, study, or volunteering). Now, the “floor” has been raised for everyone.
-
Who gets it: All families eligible for CCS.
-
What it provides: At least 72 hours of subsidised care per fortnight.
-
The benefit: If you previously only qualified for 0, 24, or 36 hours because you didn’t work enough “recognised hours,” you now automatically receive 72 hours.
Getting 100 Hours of Subsidy
To receive the maximum of 100 hours per fortnight, you must meet one of the following criteria:
-
Participation: You (and your partner, if applicable) must engage in more than 48 hours of recognised participation (work, study, etc.) per fortnight. Services Australia uses the parent with the lower activity level to decide this.
-
First Nations Families: Families caring for an Aboriginal and/or Torres Strait Islander child are automatically eligible for 100 hours, regardless of their activity level.
-
Exemptions: You may qualify if you have a valid exemption (e.g., caring for a person with a disability) or are receiving Additional Child Care Subsidy (ACCS).
How Much Do You Actually Get? (Income Testing)
While the hours have changed, the percentage of the fee the government pays is still based on your family’s combined annual income.
| Combined Family Income | CCS Percentage (approx.) |
| $0 to $85,279 | 90% |
| $85,279 to $535,279 | Decreases by 1% for every $5,000 of income |
| $535,279 or more | 0% (No subsidy) |
[!NOTE] The “Gap Fee”: Even with the subsidy, most families still pay a “gap fee.” This is the difference between what the provider charges and what the government covers.
Key Eligibility Requirements
To receive the new 72-hour guarantee, you must still meet the standard CCS requirements:
-
Child’s Age: 13 or under and not attending secondary school (unless an exemption applies).
-
Immunisation: Your child must meet the Australian immunisation requirements.
-
Residency: You or your partner must meet residency requirements.
What you need to do
If you already receive CCS, the system updated your hours automatically on January 5, 2026. You do not need to reapply. However, it is highly recommended that you:
-
Check your income estimate: Log into myGov to ensure your 2025–26 income estimate is accurate to avoid a debt at tax time.
-
Report participation for 100 hours: If you want the full 100 hours, ensure your activity hours (work/study) are updated in the Centrelink portal.
To receive the full 100 hours of subsidised care per fortnight, you (and your partner, if applicable) must engage in more than 48 hours of recognised participation.
The government now uses the term “recognised participation” (formerly “recognised activities”), and the hours can be a combination of several different things.
Common Recognised Activities
-
Paid Work: Includes being an employee, being self-employed, or working for a family business.
-
Study & Training: Doing an approved course (secondary or tertiary) or training to improve work skills. You can count both contact hours and self-directed study time.
-
Leave: Paid or unpaid leave, including parental and maternity leave. If you are on leave, you generally report the hours you worked before the leave began.
-
Unpaid Work: Unpaid internships, work experience, or unpaid work in a family business.
-
Travel Time: You can include reasonable travel time between your child’s care service and the location of your activity (e.g., the time it takes to get from daycare to your office).
Activities with Specific Limits
Some activities count towards the 100-hour goal but have restrictions:
-
Looking for Work: Includes searching for jobs, preparing resumes, and attending interviews.
-
Volunteering: Unpaid work for a charitable or community organisation.
Note: If volunteering or looking for work is your only activity, you can only count the first 16 hours per fortnight. To reach the 100-hour subsidy, you must combine these with other activities (like paid work or study) to exceed 48 total hours.
-
Setting up a Business: This is usually only recognised for 6 months out of every 12 months.
How the Hours are Calculated
-
The “Lower” Rule: If you have a partner, the government looks at both of your hours and uses the parent with the lowest participation to determine the subsidy. For example, if you work 50 hours but your partner works 10 hours, your family will receive the standard 72 hours (unless an exemption applies).
-
Combining Hours: You can stack activities. For example, 30 hours of part-time work + 10 hours of study + 10 hours of “looking for work” = 50 hours total, which qualifies you for the 100-hour subsidy.
-
Irregular Hours: If your hours vary (like casual work), you should estimate the highest number of hours you expect to work in any one fortnight over a three-month period.
Automatic 100-Hour Eligibility
You do not need to meet the 48-hour participation threshold if:
-
You are caring for an Aboriginal or Torres Strait Islander child.
-
You receive the Additional Child Care Subsidy (ACCS) for wellbeing or grandparenting.
-
You have a medical or disability exemption.
Updating your details is the best way to ensure you are receiving the correct subsidy amount and avoiding any “tax time” debts. You can do this through your Centrelink online account via myGov or the Express Plus Centrelink mobile app.
For support and government assistance, contact the:
Child Care Subsidy Provider Helpdesk
Phone: 1300 667 276
Email: ccshelpdesk@education.gov.au
How to Update Activity Hours (Recognised Participation)
If you want to move from the 72-hour guarantee to the 100-hour subsidy, you must show that you (and your partner) do more than 48 hours of participation per fortnight.
Via myGov (Desktop):
-
Sign in to myGov and select Centrelink.
-
From the homepage menu, select My Family.
-
Select Child Care Subsidy and then Update Activity Test.
-
Follow the prompts to enter your updated hours for work, study, or other recognised activities.
-
Review and Submit.
Via Express Plus Centrelink App:
-
Log in and select Child Care Subsidy from the main menu.
-
Select Activity Test.
-
Choose Update and enter your new details.
How to Update Your Income Estimate
Your subsidy percentage (how much of the fee the government pays) depends on this estimate. If you earn more than you estimated, you may have to pay money back later.
Via myGov (Desktop):
-
Sign in to myGov and select Centrelink.
-
Select MENU from your homepage.
-
Select My family, then Family assistance, and then Family income estimate.
-
Select the Update income estimate button.
-
Enter your new estimated amounts for the current financial year.
-
Agree to the declaration and select Submit.
Via Express Plus Centrelink App:
-
Select Financial details from the menu.
-
Select Family income estimate.
-
Follow the prompts to update and save your new estimate.
Important Tips
-
The 14-Day Rule: You should report any changes to your income or activity within 14 days to ensure your payments remain accurate.
-
Withholding: Centrelink usually withholds 5% of your subsidy during the year as a “buffer.” If your estimate is accurate, you often get this back after your tax return is balanced.
-
Casual Workers: If your hours vary, you can provide an estimate of the highest number of hours you expect to work in a fortnight over a 3-month period.
For support and government assistance contact the:
Child Care Subsidy Provider Helpdesk
Phone: 1300 667 276
Email: ccshelpdesk@education.gov.au
Below are the direct official government links to manage your claim and read the policy details.
1. Primary Information Hubs
-
Services Australia: Child Care Subsidy Changes The main landing page for families explaining the new 72-hour guarantee and how it replaces the old activity test.
-
Department of Education: The 3-Day Guarantee Technical policy details on the guarantee, including how it affects different service types (Long Day Care, OSHC, etc.).
2. Managing Your Claim (How-To Guides)
-
How to Update Your Activity Level (Recognised Participation) Step-by-step instructions for telling Centrelink about your work, study, or volunteering hours to reach the 100-hour threshold.
-
How to Update Your Family Income Estimate A guide on how to adjust your income estimate in myGov to ensure your subsidy percentage is correct.
-
Recognised Participation Types Defined A full list of what counts as “participation,” including rules for parental leave, travel time, and looking for work.
3. Tools and Checklists
-
Child Care Subsidy Calculator (Starting Blocks) The government-recommended calculator to estimate your out-of-pocket costs under the new rules.
-
Payment Finder A tool to see if you are eligible for the Additional Child Care Subsidy (ACCS) or other family payments.