New childcare subsidy calculator shows real out-of-pocket costs
New Child Care Subsidy rates took effect on Monday 6th July 2026, lifting the maximum subsidy to 90% for families earning up to $88,520 and tapering to zero at $538,520.
A free calculator from Melbourne agency 99aupairs compares five options side by side under the 2026-27 rules: a childcare centre after subsidy, family day care, a private nanny, an au pair and a mixed option that combines centre days with home help.
The tool is the first in Australia to compare each main care option this way after subsidy. It gives results in about 60 seconds and does not require sign-up.
According to 99aupairs, the calculator uses the full 2026-27 settings, including the higher rate for second and younger children, the 3 Day Guarantee that replaced the activity test in January 2026, hourly rate caps and the 5% withholding.
The page also states that au pairs and nannies are never eligible for the Child Care Subsidy.
Irene Becker on flip point
For most families, centre-based care still comes out cheaper. However, the figures show a flip point for some larger and higher-income households because home-based care is one flat family cost while centres charge per child.
Using the 6th July 2026 rates and a centre fee of $160 a day, the published comparison shows a family on $200,000 with three children would pay $757 a week out of pocket at a centre. The same table lists an au pair total of $565 a week at 30 help hours.
At $300,000 income, the table shows centre care at $749 a week for two children and $1,042 for three children. In both examples, the au pair option is cheaper on out-of-pocket cost.
Irene Becker, founder of 99aupairs, said: “The subsidy is genuinely good for most families. But nobody was showing bigger families and higher income families the point where the maths flips.”
At lower incomes, the same comparison keeps centre care ahead. For a family income of $90,000, the listed weekly out-of-pocket cost is $153 for one child, $267 for two children and $382 for three children.
Meanwhile, 99aupairs says the calculator prices a childcare centre, family day care, a nanny, an au pair and a mixed option on the same page. The mixed option combines subsidised centre days with home help.
Every figure in the calculator is sourced from education.gov.au and Services Australia, with sources cited on the page. The tool is available at 99aupairs.au/childcare-calculator.
Separate research from Victoria University’s Mitchell Institute found more than 700,000 Australians live in childcare deserts with little or no access to a centre.
Becker also said, “Families deserve their real numbers, not averages.” She argued that some households need to see when the subsidy no longer leaves centre care as the cheapest option.
