Childcare Absences

Finance
 04 Jul 2022

What you pay when your child is away.

BY HEJIRA CONVERY, KINDICARE

JULY 4, 2022

No matter how much you need childcare, or how much your little one loves it, there will be times when you opt out of the early learning day.  

Sometimes this is by choice, and sometimes it’s out of your control, and whether your child is vacationing, staycationing or sick in bed, absence days don’t usually come free.  

You can expect to pay fees for any day your kiddo would normally be at childcare, and this means sick days, public holidays, family vacations and impromptu outings, like ‘Mummy-and-me’ days, generally come at a cost.  

However, before you cancel all trips and vow not to get sick ever (good luck with that one!), take a moment to read this article and see how different services – and Services Australia – make absence days more affordable for families.  

The first thing to know is that there’s no cookie-cutter approach to fees.  

Each early learning service decides what they’ll charge and when, but this isn’t some big secret.  

Under the Education and Care Services National Regulations, your service must have clear policies and procedures around the payment of fees. 

You’ll be able to see what fees apply when your child is present – and absent – from care, and as part of the enrolment process, you agree to pay the fees set out by your childcare provider.  

Fees can change (and this article explains why they’re on the rise right now), but the Regulations ensure that you’ll get at least 14 days’ notice of any variations.  

If you’re confused or concerned about any figures or requirements, your Centre Director can explain the finer points of your service’s fee structure, and it’s important to be across everything, because bill shock is never fun.  

You’ll see that absences are dealt with in specific ways 

Although your service may charge normal fees for sick days, family holidays, public holidays and other absences, there are different ways of doing things (just as there are different ways of pricing things).  

For instance, a Centre Director might charge for a sick day, but happily arrange a swap day or make-up day once a child is back on deck.  

There are also holiday discounts at some services, which means families get a percentage off their usual fees while living it up on vacation. This discount may be in the order of 25% or 50%, provided families give enough written notice and meet any other conditions, like being up-to-date with their fees. 

Then there’s the not-so-small matter of public holidays…  

Most services do charge families if their child’s normal day of attendance falls on a public holiday, because operating costs continue even when the centre is closed. 

This is fair enough from a business perspective, but not so great if you’re paying for care you don’t get. 

For this reason, Goodstart became the first large Australian early learning provider to stop charging fees for public holidays back in 2020. Its daily rate is based on the days the centre is open.  

Smaller, family-owned centres like Little Munchkins Early Learning Centre and Kinda-Mindi Early Learning Centre also embrace ‘fee-free public holidays,’ and although a provider like Only About Children charges for public holidays, such as Australia Day and Good Friday, they do not charge for Christmas Day, Boxing Day and New Year’s Day.  

Other services offer swap days, make-up days or discounts for public holidays, and if your child is absent for any reason at all (including that ‘Mummy-and-me’ day), then Services Australia will very often come the party – fees-wise, that is.  

‘Allowable absence days’ mean the government will pay the Child Care Subsidy if you’re charged fees for a session your kiddo would normally attend and get the Subsidy for.  

Usually, your child is entitled to 42 allowable absence days per financial year, and you’ll want to tap into them because: 

  • They reduce the fees you have to pay when your kiddo is away 
  • They apply to every (and any) absence you can think of – including sick days, family vacations and public holidays, and 
  • You don’t have to provide any evidence (like a medical certificate or Jetstar itinerary) when using your first 42 allowable absences. You just need to tell your service that your kiddo will be away, so they can record it properly.  

 

But, wait, there’s more…  

A lot can happen in a financial year (and in a pandemic), so 10 extra allowable absences are available for the 2022-2023 tax year – taking your kiddo’s tally up to 52 days.  

If you max out your child’s quota, then it is possible to get additional absences if:  

  • Sickness strikes  
  • Your child is at preschool 
  • You’ve made other arrangements for your schoolkid’s pupil-free day,  
  • A local emergency messes up your childcare plans, or 

In this case, you need to contact your service, explain what’s going on in your life, and provide any supporting documents they ask for (like that medical certificate).  

If you’re affected by a COVID-19 outbreak or a declared emergency (such as flooding rain) then special purpose absences may also be given, and if you have an approved reason, the government will pay the Child Care Subsidy for up to seven absence days before your kiddo starts care or after their last day.  

COVID has also changed the situation around gap fees.  

Normally, you have to pay the difference between the fee your service charges and the CCS paid (aka ‘the gap’), but until 30 June, 2023 your service can choose to waive the gap fee if your child can’t attend care because: 

  • They, or a member of your immediate household, has to isolate with COVID-19 
  • Your child is at a higher risk of severe disease from COVID-19 (you’ll need to provide a letter from your doctor to confirm this), or 
  • Your service, or a room at your service, is shut because of COVID-19.  

Your service can waive the whole gap fee, part of it, or nothing at all – it’s their call – and any other time you keep your kiddo home from care, you’re free to use their allowable absence days, but will have to pay the gap fee. 

Your child’s absences appear in your online Centrelink account, so you can keep track of them, and whether your family is planning a vacation or battling a virus, the best thing you can do is keep your service in the loop and look for the best path forward, together.