Time is running out for Murray families to make the switch to the new child care system.
The Coalition Government's new child care system will start on July 2, and around 70 per cent of families have already made the switch, but for those who haven't, they risk missing out on the new subsidies.
The Hon Damian Drum MP said every family in the electorate who access federal government child care benefits need to make the switch by July 2.
“Many families in Murray will be hundreds if not thousands of dollars a year better off under our reforms but they need to make the switch to the new system.
“I urge local families and child care and early learning providers yet to update their details to visit www.education.gov.au/childcare as soon as they can.
“Even if your circumstances are likely to change before 2 July, just jump online and get into the new system. Updates can be made easily at any point via your Centrelink online account via myGov.
“If you’re a family who can’t remember your MyGov log-in or you need a little assistance, you can phone the help desk on 136 150. There’s lots of staff on the help desk and call-wait times are very short at the moment.”
The Turnbull Government's new child care system includes the following key elements:
- Increasing Australia’s investment in early childhood education and care by $2.5 billion over four years so that almost one million Australian families benefit – low and middle income families will be the greatest beneficiaries from the package
- An activity test will ensure that taxpayer’s support for child care is targeted to those who depend on it in order to work, or work additional hours.
- Fundamentally fair – this package provides the highest rate of subsidy to those on the lowest income levels and more hours of subsidy to those who work the most. We’re increasing the base subsidy from around 72 per cent to 85 per cent for the more than 370,000 families earning $66,958 or less a year.
- Low and middle income families, earning up to and including $186,958, will no longer be limited by an annual cap on the amount of child care they can access – that’s more than 85 per cent of families using child care. Families earning more than $186,958 will also benefit from an increased annual subsidy cap of $10,190 per child.
- Our $1.2 billion Child Care Safety Net recognises vulnerable children and families need extra support. The safety net includes special funding for regional and Indigenous-focused centres to break down barriers to early learning and child care and 12 hours of guaranteed access to care/learning for families earning less than $66,958 even if they don’t meet the activity test, which could equal two six-hour sessions per week.
It is estimated their reforms will encourage more than 230,000 families to increase their involvement in workforce participation.
Examples of how families are set to benefit:
- A family on $50,000 – both parent/s working, with two children aged under 6 in long day care two days a week at $100 a day will be around $2,000 better off a year
- A family on $80,000 – both parent/s working, with two children aged under 6 in long day care three days a week at $100 a day will be over $3,000 better off a year
- A family on $150,000 – both parent/s working, with two children aged 6 and under in long day care three days a week at $100 a day will be more than $1000 better off a year