Changes if you get family payments

There are some changes that may affect you if you get family payments.

Cheaper Child Care

From 10 July 2023, if your family earns under $530,000, you can get increased Child Care Subsidy (CCS).

The CCS percentage you’re entitled to depends on your family’s income.

The income limit to get the maximum CCS has increased. Families earning up to $80,000 can get an increased maximum CCS amount, from 85% to 90%.

If you earn over $80,000 you may get a subsidy starting from 90%. This will go down by 1% for each $5,000 of income your family earns. You’ll either get more subsidy or have no change to your entitlement.

If you have more than one child aged 5 or under, you can still get a higher rate for one or more of your children.

The low income limit for Additional Child Care Subsidy Transition to Work has also increased to $80,000.

If you already get CCS, you don’t need to do anything to get the increased rate. We’ll apply changes to your CCS automatically.

Child Care Subsidy activity test changes for Aboriginal and Torres Strait Islander children

Child Care Subsidy for Aboriginal and Torres Strait Islander children changed on 10 July 2023. The changes mean they can get at least 36 hours of subsidy per fortnight, regardless of the amount of recognised activity you do.

Families will still pay an out-of-pocket cost to their child care service depending on their CCS percentage.

Read more about the activity test changes for Aboriginal and Torres Strait Islander children.

Paid Parental Leave scheme changes

The Paid Parental Leave scheme has changed.

If your child’s birth or adoption is from 1 July 2023

On 1 July 2023, Parental Leave Pay and Dad and Partner Pay combined into one payment. It increased from 90 days, or up to 18 weeks based on a 5 day work week, to 100 days or 20 weeks. We also changed the income test, work requirements and who can get it.

These changes also help give families more flexibility to manage their work and care arrangements and encourage both parents to access the payment.

Single parents are able to get the full amount of Parental Leave Pay.

If you have a partner, 10 Parental Leave Pay days will be reserved for them to use. The birth mother, or first adoptive parent to claim, must give approval to share any Parental Leave Pay days with the other parent. They’ll still need to lodge a claim to get any Parental Leave Pay days you want to share with them.

If you’re sharing your Parental Leave Pay days with someone else, you can take up to 10 days at the same time. There are exemptions to the limit of taking 10 days at the same time. They’ll still need to lodge a claim to get any Parental Leave Pay days you want to share with them.

If your child’s birth or adoption is from 1 July 2024

There are more changes to Parental Leave Pay from 1 July 2024. If your child’s birth or entry into care is on or after 1 July 2024, these changes will affect you. The total Parental Leave Pay available to families is increasing to 26 weeks by 2026. How many Parental Leave Pay days your family will get depends on your child’s date of birth or adoption.

Child’s date of birth or adoption is fromYour family can get up to
1 July 2023100 days
1 July 2024110 days
1 July 2025120 days
1 July 2026130 days

If you have a partner, some days will be reserved for each of you to use. How many days you have reserved depends on your child’s date of birth or adoption.

Child’s date of birth or adoption is fromHow many reserved days you each have
1 July 202310 days
1 July 202410 days
1 July 202515 days
1 July 202620 days

You’ll need to decide how to use the rest of the days as a family.

To get all days, both parents need to claim and be eligible. If only one parent in the couple is eligible, the reserved days still apply. There are some exemptions to these limits.

If you’re a single parent, you can get all Parental Leave Pay days. However, if you choose, you can give approval to share days with another parent.

If you have a partner, you can take some Parental Leave Pay days at the same time as them. If your child’s birth or adoption is before 1 July 2025 you can take up to 10 days at the same time. If their birth or adoption is from 1 July 2025 you can take up to 20 days at the same time. There are some exemptions to these limits.

Special circumstance exceptions to the work test

You may now meet the work test for Parental Leave Pay and Dad and Partner Pay. This is if your ability to work during the work test period was affected by any of the following:

  • family and domestic violence
  • a serious medical condition, for either you or an immediate family member you care for
  • a natural disaster declared by the Commonwealth or a state or territory.
Page last updated: 21 March 2024.
QC 36556