1.1.I.70 Income thresholds (CCS)
Definition
For the purposes of CCS, income thresholds are used to identify the applicable percentage of CCS (1.1.A.70) when determining an individual's (1.1.I.90) CCS entitlement (1.1.E.30).
Standard CCS rate thresholds
This table shows the standard CCS rates based on the combined annual ATI (1.1.A.20) of the individual and their partner (1.1.P.30) (if they have one):
| Combined family income | Subsidy per cent of the actual fee charged (up to relevant percentage of the hourly rate cap) |
|---|---|
| Up to $83,280 | 90% |
| More than $83,280 to below $533,280 | Tapering to 0%* |
| $533,280 or more | 0% |
*Subsidy tapers down by 1% for each $5,000 of family income.
Higher CCS rate thresholds
Families with multiple children aged 5 or under who are CCS-eligible may receive a higher CCS rate for their second and younger children. This higher rate is up to a maximum rate of 95%. Families will continue to receive the standard CCS rate for all other children.
| Combined family income | Subsidy per cent of the actual fee charged (up to relevant percentage of the hourly rate cap) |
|---|---|
| Up to $141,321 | 95% |
| More than $141,321 to below $186,321 | Decreasing to 80% by 1% for each $3,000 of family income |
| $186,321 to below $265,611 | 80% |
| $265,611 to below $355,611 | Decreasing to 50% by 1% for each $3,000 of family income |
| $355,611 to below $365,611 | 50% |
| $365,611 or more | Higher CCS rates no longer apply, all children in the family receive the standard CCS rate |
If CCS eligibility for one or more children stops, entitlement to higher CCS for other children aged 5 or under may be reassessed.
Children who are entitled to both the higher CCS rate and ACCS will be paid the ACCS rate.
Sessions of IHC do not attract the higher subsidy for younger children. This is because IHC is subsidised on a family rather than per child basis.
However, children aged 5 or under in IHC are included in the family unit when determining access to the higher CCS rate.
The income thresholds for both standard CCS rates and higher CCS rates will be indexed by CPI at the commencement of each financial year and the other thresholds will be increased accordingly. The figures in this table relate to the 2024-25 income year.
Explanation: The lower income threshold is subject to indexation (1.1.I.80). For CCS purposes, the indexed amounts take effect from the first Monday after the last CCS fortnight that began in the last financial year ends. For the 2024-25 financial year, the indexed CCS rates are effective from Monday 8 July 2024.