THOUSANDS of Australian families will have greater access to more affordable childcare.
From Friday, December 10, the $10,655 cap no longer applies, making it easier for parents from more than 18,000 families to return to work or to pick up more hours.
This change will particularly support women, who represent the majority of primary carers, by reducing childcare costs and providing parents with more flexibility if they choose to return to work or want to work more hours.
As well as removing the cap, around 250,000 families with two or more children will also benefit from an increased Child Care Subsidy from March 7, 2022. Currently, families with multiple children in childcare can be financially worse off despite working additional days or hours. The Federal Government’s additional investment in the Child Care Subsidy will help remove disincentives to work.
These combined policy changes mean that a family earning $110,000 a year with two kids in care, four days a week, will be better off by around $100 each week.
Minister for Women’s Economic Security Jane Hume said women’s workforce participation is a social and economic priority and critical to Australia’s economic recovery, which is why the Government is prioritising investment in childcare.
