Australian families will soon get three days of guaranteed subsidised childcare through Centrelink no matter how much they work or study. The changes start on February 5 next year. Parents can access this support even if they have limited work hours or are not currently studying. The government designed this program to help families who need childcare assistance but do not meet traditional work or study requirements. The new policy removes previous barriers that prevented some families from receiving childcare subsidies. Under the old system many parents struggled to qualify for support because their work schedules did not meet minimum hour thresholds. This initiative aims to give more Australian families flexibility in managing their childcare needs. Parents who work casual jobs or have irregular schedules will particularly benefit from these changes. The three-day subsidy provides a safety net for families during periods of reduced employment or when transitioning between jobs. It also supports parents who want to look for work but need childcare arrangements first. Families can apply for the subsidy through their existing Centrelink accounts. The application process remains straightforward & does not require extensive documentation of work or study commitments. This policy change reflects growing recognition that families need childcare support for various reasons beyond traditional employment. The government acknowledges that access to quality childcare helps parents participate in the workforce and supports child development. The February start date gives families time to prepare and understand how the new system works. Childcare providers are also updating their systems to accommodate the changes and ensure smooth implementation.
The three-day guarantee was first announced by Prime Minister Anthony Albanese in December. The change passed parliament earlier this year and will remove the current activity test that calculates support based on how much a parent works or studies. Under the new system all families will receive three days of subsidized childcare each week regardless of their employment status. This represents a significant shift from the previous model where parents had to meet specific work or study requirements to qualify for assistance. The government designed this policy to increase workforce participation among parents while ensuring children have access to early education. Many families previously struggled to afford childcare without meeting the activity test thresholds. The new approach aims to remove these barriers and provide more consistent support. Parents who work or study more hours will still be eligible for additional subsidized days beyond the guaranteed three. The reform maintains higher levels of support for families with greater childcare needs while establishing a baseline for everyone. This creates a more inclusive system that recognizes the value of early childhood education for all children. The implementation of this policy marks a major change in how Australia approaches childcare funding. It acknowledges that access to quality early education benefits society as a whole rather than serving only as workforce support. Families across different income levels and employment situations will now have more predictable access to childcare services.
# 3 Day Guarantee for Child Care
Starting from 18 February 2026 every eligible family will receive a minimum of 72 hours of subsidised child care every two weeks. This new policy is called the 3 Day Guarantee. The program ensures that families who qualify can access affordable child care services for their children. The 72-hour allocation provides consistent support across each fortnight period. Families need to meet eligibility requirements to participate in this subsidy program. Once approved, they can use these hours at registered child care facilities that accept government subsidies. This initiative aims to help working families manage their child care needs while reducing financial pressure. The guaranteed hours give parents reliable access to care services regardless of their work schedule variations.
Why is the child care subsidy changing?
The child care subsidy includes an activity test that started in 2018. Parents must work or study or volunteer to get the childcare subsidy. The hours they spend doing these activities decide how much government money their family receives. This system links the level of support directly to parental participation. Families with parents who engage in more hours of approved activities receive higher subsidy rates. The government uses this approach to encourage workforce participation while helping families afford childcare services.
Under the current rules parents must work between 16 and 48 hours every two weeks to receive 72 hours of subsidised childcare.
The Productivity Commission released a report in September last year that recommended removing the activity test. The report stated that this requirement created obstacles for families with low incomes and was not effective at encouraging more people to join the workforce.
A child’s right to at least three days of early childhood education & care each week should not be based on how much their parents work Associate Commissioner Brennan said at the time.
What will the change mean for families?
All families eligible for the child care subsidy will get at least 72 hours of subsidised care each fortnight.
Services Australia explained that families can receive 100 hours of subsidized childcare every two weeks when both parents complete at least 48 hours of approved activities during that period. This benefit also applies if you qualify for a valid exemption from the activity requirements.
# Subsidised Child Care for Aboriginal and Torres Strait Islander Children
Aboriginal and Torres Strait Islander children are eligible to receive 100 hours of subsidised child care every two weeks according to Services Australia. This program provides financial support to help families access quality early childhood education and care services. The subsidy covers a significant portion of child care costs and makes these essential services more affordable for Indigenous families across Australia. Parents and guardians can use these subsidised hours at approved child care centres including long day care facilities and family day care providers. The initiative aims to ensure that Aboriginal & Torres Strait Islander children have equal opportunities to participate in early learning programs that support their development and school readiness. Families interested in accessing this support should contact Services Australia directly to confirm their eligibility & learn about the application process. The agency can provide detailed information about which child care services accept the subsidy and how to enrol children in participating programs. This subsidy represents an important step toward closing the gap in educational outcomes & ensuring that all Australian children have access to quality early childhood education regardless of their family’s financial situation.
Parents must continue to pay the difference between what the government covers and the actual cost of child care directly to their provider.
If you already receive the child care subsidy you do not need to take any action to prepare for the changes. Services Australia will automatically update your child care subsidy to reflect the new arrangements. The agency handles all adjustments on your behalf so there is nothing you need to do. Your subsidy will be modified without requiring any input from you.
Families earning over $535279 in the 2025-26 financial year cannot access the subsidised care under the current rules.
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