Government Funded Nannies

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Government Funded Nannies program

Back in April 2015 the Abbot government  announced a $250 million trial program to get working families a subsidised nanny. Working on recommendations by the Productivity Commission, 10,000 low to middle income families will benefit from the “subsidised nanny trial”. The scheme is designed to provide affordable childcare to families where parents work shifts. Shift workers in industries such as hospitality, public safety and nursing have traditionally been unable to access subsidised childcare so the trial will provide subsidised nannies to eligible families.

A new program is coming

July 2018 will see a new child care package introcued that will include care provided in the family home! This will replace the existing Nanny Pilot Programme and In Home Care. At this time, the Child Care Subsidy (CCS) will replace the Child Care Benefit (CCB) and the Child Care Rebate (CCR) in the hopes of creating a new system that’s much more streamlined and straight-forward. This will be a relief to many families! This will be means-tested and to qualify your child must:

  • Be 13 or under and NOT attending secondary school
  • Be up to date with their immunisations
  • Have parents who meet residency requirements
  • Have parents who go through income tests (combined family income test, service test, activity test)

There will NO LONGER BE a cap of $7,500 per year.

You can follow this link to test how the subsidy will impact your family.

Are you eligible for a subsidised nanny under the current scheme?

The scheme, known as the Interim Home Based Carer Subsidy Program will initially benefit rural and regional families and families where one or both parents work in shifts where the total family income does not exceed $250,000.

The government expects the new scheme to encourage 16, 400 parents back to work after paid parental leave.

Care will be subsidised for up to 50 hours per child per week, for around 10,000 children, and delivered by about 4,000 nannies. Read more in the NANNY FACT SHEET

Other changes to childcare in the 2015 budget

Our system currently uses a combination of Childcare Rebate and Childcare Benefit. If your family earns up to $65,000 you will receive 85% of the childcare cost per child, or a specific benchmark amount, whichever is lower. That will reduce to 50% for families with incomes of $170,000 and above. This will change in 2018 to reflect the Childcare Subsidy – see more here. 


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