My CCS does not look correct
Child Care Subsidy is processed by Centrelink based on session reports submitted on a weekly basis per child.
CCS Calculation
It's not possible to state with certainty how your CCS has been calculated, but generally it is likely to be calculated as follows:
A) If your service provided charges a fixed price for the whole session, the hourly price of the session is calculated as (Session Fee / Session Duration in hours). For example, if the session start time is 3:30pm and end time is 6pm, the Session Duration is 2.5 hours. If the Session Fee is $28, the hourly price would be equal to $28 / 2.5 = $11.20.
B) There is a cap on hourly price, currently $10.48 per hour. In the example above the hourly price used by Centrelink would be $10.48. If the hourly price is less than the cap, the lower hourly price will apply.
C) CCS paid for the session would be equal to the capped hourly price multiplied by the Session Duration multiplied by your CCS%. In the example above, if your CCS% is 50% then the CCS payable would be $10.48 x 2.5 hours x 50% = $13.10.
This process is repeated for each attendance during the week and aggregated.
CCS Withholding
Centrelink withholds some of your CCS entitlement, usually 5%. The net amount is paid to your service provider directly and offset from the amount you owe. You can reclaim the remainder via your annual tax return.
Have you exceeded your permitted hours?
If you exceed your usage of a service provider, as defined when you approved the enrolment within your MyGov account, CCS will not process for the excess hours. Usage is measured on a fortnighly basis and you can reallocate hours if needed within your MyGov account.
Has your entitlement changed?
Entitlement to CCS depends on factors such as income and hours worked, and this can change during the year. If your entitlement changes, this might be reflected in CCS adjustments for prior weeks. Adjustments can also occur if there were discrepancies when submitting the original attendance reports to Centrelink.
If you still believe that your CCS is not correct, please contact us and we can investigate. Please note that we might need to redirect you to Centrelink.