Average Childcare Cost in Australia 2026–27
The national average for long day care is $144 per day — a 10-hour session at $14.40/hr. But that's before CCS reduces it.
After the Child Care Subsidy, most families pay well under half the listed fee. Exactly how much depends on your income, your centre's specific fee, and whether that fee sits above the government's hourly cap.
What does childcare cost before CCS?
| Care type | Avg hourly fee | Approx 10-hr day |
|---|---|---|
| Long day care (centre-based) | $14.40/hr | $144 |
| Family day care | $13.80/hr | $138 |
| Outside school hours care | $9.75/hr | Session-based |
Source: Department of Education, December quarter 2025. National averages across all providers. Fees rose 4.6% year-on-year.
These are averages across every approved provider in Australia. Inner-city centres in Sydney, Melbourne and Canberra often charge well above them. Your centre's actual daily fee is the only number that matters for your budget.
What does childcare cost after CCS?
CCS covers a percentage of fees up to the government's hourly cap. From 6 July 2026, the cap for long day care (children below school age) is $15.19/hr. Because the national average of $14.40/hr sits below that cap, CCS applies to the full fee in these examples.
| Combined family income (ATI) | CCS rate | Est. daily gap | Est. weekly gap (5 days) |
|---|---|---|---|
| Up to $88,520 | 90% | ~$21 | ~$103 |
| $100,000 | 88% | ~$24 | ~$118 |
| $120,000 | 84% | ~$31 | ~$153 |
| $150,000 | 78% | ~$42 | ~$209 |
| $200,000 | 68% | ~$61 | ~$304 |
| $250,000 | 58% | ~$81 | ~$404 |
Fees by state and territory
Fees vary significantly by location. The same income and the same CCS rate can produce very different weekly bills depending on where you live.
| State | LDC avg/hr | Approx 10-hr day | vs 2026–27 cap ($15.19) |
|---|---|---|---|
| ACT | $16.10 | $161 | $0.91 above cap |
| WA | $14.70 | $147 | Below cap |
| NSW | $14.60 | $146 | Below cap |
| VIC | $14.50 | $145 | Below cap |
| QLD | $14.05 | $141 | Below cap |
| SA | $13.95 | $140 | Below cap |
| TAS | $13.20 | $132 | Below cap |
| NT | $13.10 | $131 | Below cap |
| Australia | $14.40 | $144 | Below cap |
Source: Department of Education, December quarter 2025. Cap comparison uses the confirmed 2026–27 CBDC cap of $15.19/hr (below school age).
The ACT is the only state where the average LDC fee exceeds the 2026–27 cap. That means the typical ACT family pays an above-cap amount regardless of their CCS rate. Most individual centres in NSW and WA also still charge above cap even though the state average sits below it.
Why a higher fee hurts more than it looks
When your centre charges above the hourly cap, the extra amount is completely unsubsidised. You pay it in full on top of your normal gap.
Example: two centres, same session length, $20/day fee difference
Both families earn $120,000 (84% CCS), both book 10-hour sessions.
| Centre A — $150/day ($15.00/hr) | Centre B — $170/day ($17.00/hr) | |
|---|---|---|
| Fee below cap? | Yes — below $15.19 | No — $1.81/hr above cap |
| CCS subsidy (84%) | $126/day | $127.60/day (on cap only) |
| Above-cap you pay in full | $0 | $18.10/day |
| Daily gap | ~$26 | ~$62 |
A $20/day fee difference becomes a $36/day gap difference — because the above-cap portion is fully unsubsidised. Over 48 weeks at 4 days, that's over $6,900 extra per year.
See fees above the hourly cap for more.
Why fees are rising
Childcare fees rose 4.6% in the year to December 2025 — above general CPI. Three things are driving it.
The Worker Retention Payment. The government funded a 15% wage increase for early childhood educators through a two-year grant running from December 2024 to November 2026. Most providers who took up the grant passed the cost into fees.
Fair Work Commission award increases. From 1 March 2026, new award rates took effect following a gender-based undervaluation review. This was a structural correction to historically low pay in the sector — not a temporary grant. The wage increase is permanent.
Cap indexation doesn't keep pace. The government's hourly rate cap adjusts each July by CPI. Educator wage growth has outpaced cap indexation, so more families are paying above-cap amounts now than a few years ago.
What changes from 1 July 2026
The LDC cap rises to $15.19/hr from 6 July 2026, up from $14.63 in 2025–26. That's a 3.8% increase. For families at centres between $14.63 and $15.19/hr, this removes above-cap exposure from July.
However, the Worker Retention Payment concludes in November 2026. How providers manage costs after the grant ends will affect fees from late 2026 onward. Some centres have already flagged November fee increases.
Is your centre above average?
Using the national LDC average of $14.40/hr:
- Below $13.00/hr — below average nationally
- $13.00–$15.85/hr — broadly typical (within 10% of national average)
- $15.85–$17.30/hr — above average; common in inner-city areas
- Above $17.30/hr — well above national average; mainly premium inner-city centres
Your state average is more useful than the national figure if you're in a higher-cost area. NSW families should benchmark against $14.60/hr; ACT families against $16.10/hr.
The only accurate number for your household is your centre's actual daily fee.
Source: Department of Education, Child Care Subsidy data report, December quarter 2025. Gap fee estimates use confirmed 2026–27 rates (in effect 6 July 2026), 5% CCS withholding, and a 10-hour session at the national average LDC fee. Your result depends on your family's actual ATI, session length, and centre fee. Services Australia makes the final assessment.