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Childcare and Child Care Subsidy (CCS)
The Child Care Subsidy (CCS) is the main financial support for families in Australia to help with the cost of childcare. The subsidy is means-tested and is based on factors such as income, the number of children in care, and the type of care being used.
According to the latest data from the Australian Government’s Department of Education, Skills and Employment, the average hourly fee for long day care in Victoria is $10.87, and the average hourly fee for long day care in New South Wales is $11.59. This equates to an average daily cost of around $130 in Victoria and around $138 in New South Wales, based on an 8-hour day.
However, it’s important to note that the cost of childcare can vary widely depending on the suburb and the specific centre being used. For example, in some suburbs in Melbourne, the average daily cost of childcare can be as high as $160 per day.
In affluent suburbs such as Brighton in Melbourne, the average cost of childcare can be even higher. According to data from the Victorian Government’s Department of Education and Training, the average hourly fee for long day care in Brighton is $15.48, which equates to an average daily cost of around $185 for an 8-hour day.
Similarly, in the Sydney CBD, the average daily cost of childcare can be as high as $180 per day, according to data from CareforKids.com.au.
Impact Of Child Care Costs On Aussie Mothers
The high cost of childcare in Australia has been linked to a range of negative impacts on parents, particularly mothers. A 2019 report from the Grattan Institute found that the high cost of childcare was a key factor contributing to the gender pay gap, with mothers often forced to work fewer hours or take lower-paid jobs in order to balance work and caring responsibilities. The report also found that the high cost of childcare was a significant contributor to maternal stress and mental health issues.
Overall, it’s clear that the cost of childcare is a significant issue for many Australian families, particularly those in affluent suburbs such as Brighton and Melbourne CBD. While the Child Care Subsidy provides some financial support, many families still struggle to afford the high cost of quality childcare, which has a range of negative impacts on parents and children alike.
This ever-increasing cost of childcare has created a childcare crisis, with many parents struggling to afford quality care for their children. It is particularly problematic for working mothers, who are disproportionately affected by the high costs of childcare. In fact, research from the Workplace Gender Equality Agency found that women in Australia are more likely to reduce their working hours or leave the workforce altogether due to the high costs of childcare. This not only impacts their career progression but also their mental health, as the stress and financial burden of childcare can take a toll.
According to a report by PwC, the cost of childcare in Australia is estimated to be costing the economy around $6.8 billion per year in lost productivity, with working parents forced to take time off or reduce their hours due to the lack of affordable and flexible childcare options. This has led to calls for the government to address the issue by investing in the sector and providing more financial support for families.
Child Care Deserts in Regional Areas
In response to the crisis, the Australian government introduced the Child Care Subsidy (CCS) in 2018, which provides financial assistance for eligible families to help with the cost of childcare. However, many families still struggle to access affordable and high-quality care, particularly in regional and remote areas.
Childcare and Aupair hosting are two options for parents who need childcare support outside of school hours. Both offer a flexible solution for families, but there are significant differences between the two.
Childcare is a popular option for parents who work outside of home, but it can be quite expensive. The cost of childcare varies depending on the location and the type of care required. According to the latest calculator from MyGov, the average cost of childcare in Australia is $110 per day per child. This cost can add up quickly for families with multiple children, making it unaffordable for many families who don’t receive childcare rebates or only receive a very small percentage.
Advantages And Disadvatages of Child Care
Sending children to childcare has its advantages and disadvantages. On the one hand, it provides children with the opportunity to socialize with other children and learn new skills. It also allows parents to work outside of home without having to worry about their children’s safety and wellbeing. On the other hand, it can be stressful for both parents and children, especially if the child is not used to being away from home. Children may also be exposed to illnesses more often in a group setting, which can be a concern for parents.
How Do I Calculate My Childcare Costs?
While we go through our own Calculators and compare this for you with hosting an Aupair, we suggest you do your own assessment through an independent site. (Please note we are not affiliated with this site.)
Should you Child Care Subsidy be 50% or less, then it is worth looking at hosting an Aupair. You are more than welcome to bring a printout of your assessment to our call (booking link below) and we will advise you of the best option and combination.
How Does Hosting Aupairs Compare to Childcare?
Hosting Aupairs is a relatively new option for parents who need flexible childcare support outside of school hours. An Aupair is a young person who comes from overseas to live with a host family and provides childcare services in exchange for room and board and a small stipend.
Hosting an Au Pair in Australia can be an attractive childcare option for families who find themselves in situations where both parents work, resulting in a household income that reduces their Child Care Subsidy below 30%. It can also be a great way for children to learn about other cultures and languages.
Additionally, families with two or more children can find themselves juggling multiple locations such as childcare, kindergarten, school, and various activities, making it increasingly difficult for parents to manage their time efficiently.
Is Hosting An Aupair The Right Fit for My Family Lifestyle?
Aupairs can provide a flexible childcare option for a range of professions where irregular and demanding work hours and lifestyles are common. For doctors who work roster shifts, having an Aupair can be a great option as they can accommodate changing schedules and help with childcare needs outside of normal working hours. Similarly, pilots who have to be away from home for extended periods of time can benefit from an Aupair who can help take care of their children while they are away.
For lawyers, consultants, CEOs, CFOs, and other corporate professionals, who may have long hours and unpredictable schedules, having an Aupair can provide a reliable and flexible childcare option.
Additionally, business owners with larger teams and higher workloads and people responsibilities may also find Aupairs to be a great option, as they can free up time to focus on their work and business responsibilities.
In such cases, hosting an Au Pair can be a flexible and affordable option that allows parents to have greater control over their schedules while still providing quality care for their children.
Advantages And Disadvatages of Hosting An Aupair
Hosting an Aupair has its advantages and disadvantages as well. One of the main advantages is flexibility. Aupairs are usually willing to work outside of normal business hours, which can be a great help for parents who work long hours or have irregular schedules. Another advantage is cost.
Hosting an Aupair can be a more cost-effective option than sending children to childcare, especially for families with multiple children. However you can’t claim Aupair costs from Child Care Subsidy. However, hosting an Aupair also requires a certain level of commitment and responsibility.
How do I calculate my Aupair Costs?
The Aupair costs can vary based on their experience, your requirements and the hours you require. It is best to speak to one of our representatives to have an individual Assessment.
Book a Complementary Assessment Call here
Aupairs need to be treated as members of the family, which means providing them with a comfortable living space, food, and support. It can also be a challenge to find an Aupair who is a good fit for the family, as personalities and cultural differences can play a role in the success of the arrangement.
In conclusion, money should not be the only factor in deciding between childcare and hosting an Aupair. Each option has its advantages and disadvantages, and it’s important to carefully consider your family’s needs and lifestyle before making a decision. If flexibility and cost are important to you, hosting an Aupair may be a great option to explore.
However, if you prefer a more structured and regulated environment, childcare may be a better fit for your family. Ultimately, the most important thing is to ensure that your children are safe and happy, and that you have the support you need to balance work and family life.
Sources:
- “Child Care Subsidy (CCS) Calculator” from MyGov,
- “Childcare in Australia: A Snapshot” by the Department of Education, Skills and Employment,
- “The true cost of childcare in Australia” by Finder,
- Child Care Services in Australia – Industry Data, Trends, Stats | IBISWorld
- “Childcare costs continue to rise, with some parents paying up to $200 a day” by 9News,
- Already trained and ready to work: mothers integral to workforce shortages – ABC News,
- Workplace Gender Equality Agency,
- PwC report shows Every dollar invested in ECEC, two are returned, The Sector 2019,
- “Child Care Subsidy – Information for Families.” MyGov, Australian Government, 2021,
- “How to Afford a Baby” Canstar, 08 March 2023