Additional Child Care Subsidy
Extra Help for Families Who Need It Most
Childcare can be a significant expense for families, and while the Child Care Subsidy (CCS) reduces costs for most Australians, there are times when families need extra support. That’s where the Additional Child Care Subsidy (ACCS) comes in.
The Additional Child Care Subsidy is designed to help children stay connected to early learning when a family’s circumstances are challenging — whether that’s due to financial hardship, a sudden life change, child safety concerns, or when a grandparent steps in as the primary carer. Depending on the ACCS type, it can cover up to 100% of the fee (up to the hourly rate cap) and, where fees are above the cap, it can cover up to 120% of the hourly rate cap. Some ACCS categories also provide access to up to 100 hours of subsidised care per fortnight.
It’s one of the most powerful forms of childcare support available in Australia — but it’s also one of the least understood. This guide explains what ACCS is, who may be eligible, how it works, and how to apply.
What Changed From 5 January 2026?
From 5 January 2026, the CCS activity test was replaced and the Government introduced the 3 Day Guarantee. This means CCS-eligible families can access at least 72 hours of subsidised care per fortnight. Some families can access 100 hours per fortnight in specific circumstances (for example, if they have more than 48 hours of recognised participation, have an exemption, or receive certain ACCS payments).
ACCS works alongside CCS. If you qualify for ACCS, it can increase the subsidy rate you receive and, for some ACCS categories, can help families access up to 100 hours per fortnight of subsidised care.
Quick note: ACCS types are different. Child Wellbeing, Temporary Financial Hardship, and Grandparent commonly provide access to 100 hours per fortnight. Transition to Work is different — your subsidised hours are generally based on your recognised participation.
What Is the Additional Child Care Subsidy?
The Additional Child Care Subsidy is a targeted top-up payment that works alongside your regular CCS. It’s designed to remove financial barriers to childcare and early education when families are experiencing exceptional circumstances.
Like CCS, ACCS is paid directly to your childcare provider, reducing your out-of-pocket fees. However, unlike CCS — which is based on income, recognised participation (for hours), and hourly rate caps — ACCS is based on specific eligibility categories and can:
- Increase your subsidy rate (often to 100% of the fee up to the hourly rate cap, depending on the ACCS type)
- For some ACCS types, provide access to up to 100 hours per fortnight of subsidised care
- Offer temporary or ongoing support, depending on the category
Think of it as a “safety net” that helps children remain in care, learning, and supported when life gets difficult.
Tip: In most cases, you must be eligible for (and have applied for) the standard Child Care Subsidy before ACCS can be paid. Some ACCS applications are started by services (especially Child Wellbeing).
Types of Additional Child Care Subsidy
There are four main types of ACCS, each designed for a different situation.
Additional Child Care Subsidy (Child Wellbeing)
This support is designed to ensure that children at risk of abuse, neglect, or harm can continue attending childcare, even if their family is unable to pay.
Who it’s for:
- Children identified as being at risk by a childcare service or relevant agency
- Families working with child protection, early intervention, or support services
What it covers (in most cases):
- Access to up to 100 hours per fortnight of subsidised care
- The lower of either 100% of the fee charged (where it’s equal to or below the hourly rate cap) or up to 120% of the hourly rate cap (where the fee is above the cap)
How it works:
Applications are often initiated by the childcare provider, usually in consultation with support services. Care can sometimes begin provisionally before final approval to help avoid disruption to the child’s routine.
Example: A childcare service identifies that a child may be at risk. They apply for ACCS (Child Wellbeing), helping the child continue attending care while support services step in.
Additional Child Care Subsidy (Grandparent)
This subsidy supports eligible grandparents who are the principal carers of their grandchildren (and who meet the relevant income support and care requirements), helping keep childcare stable and affordable.
Who it’s for:
- Grandparents who are the principal carers of their grandchildren
- Grandparents who meet the relevant eligibility requirements (including income support and care percentage rules)
What it covers (in most cases):
- Access to up to 100 hours per fortnight of subsidised care
- The lower of either 100% of the fee charged (where it’s equal to or below the hourly rate cap) or up to 120% of the hourly rate cap (where the fee is above the cap)
How it works:
You’ll usually need to provide evidence that you are the principal carer and meet the category requirements. If you’re unsure whether you qualify, it’s worth checking your eligibility through Services Australia or discussing it with Centrelink.
Example: A grandparent who becomes the principal carer of their grandchildren can receive ACCS (Grandparent), helping cover childcare costs and maintain consistent early learning.
Additional Child Care Subsidy (Temporary Financial Hardship)
Life can change quickly. This payment offers short-term support to families who experience a sudden drop in income or unexpected life event that impacts their ability to pay for care.
Who it’s for:
- Families affected by an event such as job loss, illness, natural disaster, relationship breakdown, or another significant crisis
- Families who meet the Temporary Financial Hardship eligibility requirements
What it covers (in most cases):
- Access to up to 100 hours per fortnight of subsidised care
- The lower of either 100% of the fee charged (where it’s equal to or below the hourly rate cap) or up to 120% of the hourly rate cap (where the fee is above the cap)
- Usually available for up to 13 weeks per event
How it works:
Families submit evidence of the event or change in circumstances (for example, termination letter, medical certificate, insurance documentation, or disaster relief evidence). In some situations, families may also be able to apply for a higher percentage in exceptional circumstances.
Example: After losing their job unexpectedly, a parent applies for ACCS (Temporary Financial Hardship). They receive increased fee assistance for a short period while they stabilise their finances and plan their next steps.
Additional Child Care Subsidy (Transition to Work)
This subsidy supports eligible families transitioning from income support into work, study, or training, helping them keep childcare in place while they establish a new routine and build stability.
Who it’s for:
- Parents receiving eligible income support payments who are starting work, study, or training
- Families who meet the specific Transition to Work eligibility rules
What it covers:
- A higher subsidy rate than standard CCS — generally up to 95% of the fee (up to the hourly rate cap), depending on your circumstances
- Your subsidised hours are generally based on recognised participation (this category doesn’t automatically provide 100 hours per fortnight)
- Time limits can apply, depending on the situation and the applicable rules
How it works:
Apply through your Centrelink account with evidence of your new job, study, or training enrolment. If you have a partner, Services Australia generally uses the lower recognised participation result when working out hours.
Example: A parent receiving income support starts part-time work. ACCS (Transition to Work) can increase their subsidy rate during the transition, while their subsidised hours reflect their recognised participation.
Eligibility Criteria and Key Conditions
To qualify for Additional Child Care Subsidy, you must:
- Be eligible for the standard Child Care Subsidy (CCS)
- Be using an approved childcare service
- Meet the specific eligibility requirements for one of the four ACCS categories
- Provide evidence or documentation to support your claim (the evidence depends on the ACCS type)
Each category has different requirements, so it’s important to review them carefully before applying. If you’re unsure, speak with your childcare provider — particularly for Child Wellbeing cases, where services are often involved in the process.
How to Apply for Additional Child Care Subsidy
Applying for ACCS follows a similar process to CCS but may require additional steps or documentation. Here’s how it works:
- Confirm CCS eligibility – Make sure you can receive CCS (and that your child is enrolled with an approved provider).
- Identify your ACCS category – Child Wellbeing, Grandparent, Temporary Financial Hardship, or Transition to Work.
- Collect documentation – This may include legal documents, agency letters, evidence of care arrangements, proof of an event (hardship), or work/study/training evidence (transition to work).
- Submit your application – Through your myGov account (linked to Centrelink).
- Work with your provider if needed – Especially for Child Wellbeing cases, which are often initiated by services.
- Await assessment – Timeframes vary. In some cases (particularly Child Wellbeing), provisional arrangements may help avoid care disruptions.
Tip: If you’re unsure which ACCS category applies, start by reading the category summaries above and then speak with Centrelink or your childcare provider (especially for Child Wellbeing).
Real-World Additional Child Care Subsidy Scenarios
- Child Wellbeing: A toddler identified as at risk continues attending childcare while their family and support services put stability and safety plans in place.
- Grandparent Care: A principal carer grandparent can receive increased fee assistance, helping keep childcare stable while family arrangements are managed.
- Financial Hardship: A parent affected by a serious illness receives increased fee support for a limited period while recovering and reorganising family finances.
- Transition to Work: A parent moving from income support into part-time work receives an increased subsidy rate while their subsidised hours reflect recognised participation.
Additional Child Care Subsidy – FAQs
Next Steps
- Estimate your potential support with the Child Care Subsidy Calculator.
- Revisit the full Child Care Subsidy Guide to understand how CCS works under the 3 Day Guarantee.
- Speak with your childcare provider about whether you might qualify for ACCS — they’re often the best starting point, especially for Child Wellbeing cases.
