What is the average cost of long day care in Australia?

The average daily fee for long day care in Australia is approximately $130–$180, depending on the city and centre. In inner-city Sydney and Melbourne, fees of $180–$220 per day are common. After the Child Care Subsidy, a family earning $100,000 combined income (receiving approximately 85% subsidy) would pay around $20–$30 per day out of pocket, assuming the centre charges at or near the CCS hourly cap.

What is family day care and is it cheaper?

Family day care is care provided in a registered carer's home, with typically 4–7 children per carer. It's often 10–20% cheaper than long day care centre-based care, with daily fees typically ranging from $85–$130. The Child Care Subsidy applies to family day care in the same way as long day care, subject to its own hourly rate cap (approximately $11.58/hr for family day care in 2025–26).

What is outside school hours care (OOSH)?

Outside school hours care (OOSH) covers before school care (7–9am), after school care (3–6pm), and vacation care during school holidays. Fees typically range from $25–$45 per session for before/after school, and $60–$90 per day for vacation care. The CCS also applies to OOSH, which significantly reduces the out-of-pocket cost for eligible families.

Does the Child Care Subsidy cover the full cost of childcare?

No — the CCS covers a percentage of fees up to a government-set hourly rate cap. If your provider charges above the cap, you pay the gap in full regardless of your subsidy rate. The cap for centre-based long day care is approximately $12.08 per hour in 2025–26. At 10 hours per day, this is $120.80/day — meaning fees above this level result in an uncapped gap.

How do I find out my actual childcare cost?

Your out-of-pocket cost depends on three things: your provider's daily fee, your CCS subsidy rate (based on combined family income and activity test), and the hourly rate cap. The Return to Work Calculator lets you enter all three and calculates your weekly out-of-pocket cost automatically. Services Australia's CCS calculator also provides a subsidy estimate.

Are there any free or subsidised childcare options in Australia?

Yes — in addition to the CCS, most states and territories offer funded 15 hours per week of preschool or kindergarten for children in the year before school (typically aged 4). In some states this is provided free of charge through government preschools. Some states (notably Victoria with its 3-year-old kindergarten expansion) also offer funded programs for younger children. Check your state's early childhood education authority for current entitlements.

Childcare Costs in Australia (2026) — What Families Actually Pay

Childcare costs are one of the biggest financial shocks for Australian families. Before you can make any return-to-work decision, you need to understand what care actually costs — and what you'll pay after the Child Care Subsidy.

National average childcare costs by type (2026)

The cost of childcare in Australia varies significantly by care type, city, and centre. Here are the approximate daily and weekly averages before the Child Care Subsidy is applied:

Care type	Avg daily fee	Weekly (5 days)	Annual (48 wks)
Long day care (metro)	$155	$775	$37,200
Long day care (regional)	$125	$625	$30,000
Family day care	$105	$525	$25,200
In-home care	$35/hr	varies	varies
OOSH — after school	$40/session	$200	$9,600
OOSH — vacation care	$75/day	varies	varies

Approximate 2025–26 figures. Fees vary significantly by centre and location. In-home care rates are per hour for the carer.

What families pay after the Child Care Subsidy

The Child Care Subsidy (CCS) substantially reduces out-of-pocket childcare costs for most Australian families. The subsidy is applied to fees up to an hourly rate cap — for long day care, this cap is approximately $12.08/hr in 2025–26. If your centre charges above the cap, you pay the gap in full.

Combined family income	CCS rate	Daily gap (at $155/day)	Annual cost (5 days)
Under $83,280	90%	~$16/day + gap	~$4,600
$100,000	~85%	~$23/day + gap	~$5,500
$150,000	~75%	~$39/day + gap	~$9,400
$200,000	~60%	~$62/day + gap	~$14,900
$300,000	~50%	~$78/day + gap	~$18,700
Above $530,000	0%	$155/day (full)	~$37,200

Estimates assume the centre charges the CCS hourly rate cap. The "gap" refers to fees above the cap, which are always paid in full regardless of subsidy rate. Annual cost based on 48 weeks, 5 days per week.

Why the "gap" matters

The hourly rate cap is the most important figure most parents don't know about. The CCS only subsidises fees up to the government's set hourly cap. Any fee above that cap — the "gap" — is always your responsibility, regardless of your subsidy rate.

At $12.08/hr, the cap equates to approximately $120.80/day for a standard 10-hour day. If your centre charges $160/day, the uncapped gap is $39.20/day — meaning that even a family on 90% subsidy pays: (10% × $120.80) + $39.20 = $12.08 + $39.20 = $51.28/day in out-of-pocket costs. Not the ~$16/day many parents expect.

For a full breakdown of how the CCS calculation works — including the hourly cap and activity test — read our Child Care Subsidy guide or the CCS calculator explained.

Childcare cost by city

Childcare fees vary significantly across Australian cities, with inner-city Sydney and Melbourne consistently the most expensive and regional areas the cheapest. See the full childcare cost by city comparison for a detailed table across the five major cities.

Three real family scenarios

Single-income family

Income: $95,000

Care: 3 days long day care

Daily fee: $155/day

CCS: ~87% on capped amount

Out-of-pocket: ≈$27/day · $390/month

Dual-income family

Income: $160,000 combined

Care: 4 days long day care

Daily fee: $165/day

CCS: ~73% on capped amount

Out-of-pocket: ≈$68/day · $1,300/month

High-income family

Income: $280,000 combined

Care: 5 days long day care

Daily fee: $175/day

CCS: ~52% on capped amount

Out-of-pocket: ≈$107/day · $2,300/month

These are estimates. Your actual cost depends on your provider's exact fee, the current hourly rate cap, and your activity test result. Use the Return to Work Calculator to enter your specific figures and see your true out-of-pocket cost.