BY HEJIRA CONVERY, KINDICARE

JUNE 29, 2022

Every government in Australia knows the value of early education in the year before big school, and to put their money where their mind is, the Commonwealth and all states and territories have signed the Preschool Reform Funding Agreement. 

This four-year agreement runs till 2025, and sees the federal government giving each state and territory government a ‘per child contribution’ towards preschool learning (aka kindergarten learning). 

In 2022, the funding amounts to about $1,340 per child, and it pays for 15 hours of preschool or kindergarten per week in the year before they go to school.  

This equates to 600 hours throughout the year, or about two days a week.  

The 15 hours can be delivered in a stand-alone preschool or kindergarten, or in another early childhood education and care service or school that offers a preschool or kindergarten program.  

This isn’t the only funding that matters, though. 

The Commonwealth contribution is around $2.23 per hour, but stand-alone preschools and kindergartens are state-funded, which means they fall under the purview of their state or territory government, not Anthony Albanese and his team. 

Stand-alone preschools and kindergartens are dedicated to preschoolers. They provide early education for ages three to five, and usually offer shorter hours or sessional care during school term (which means no vacation care). 

These centres are often government-owned and run, and depending on where you’re located, they may charge fees, ask for voluntary contributions, or charge no fees at all.  

Each state and territory government has its own preschool or kindergarten funding program, which raisingchildren.net.au summarises here.  

And although the Preschool Reform Funding Agreement provides for one year of funded preschool, some governments go further with their funding.  

For example: 

• The Victorian government funds two years of kindergarten (at least five hours a week for three-year-olds and 15 hours for four-year-olds), and  
• The New South Wales government’s Start Strong Free Preschool program delivers 600 hours of free preschool at community or mobile preschool services in the two years before school.  

Funding is different when a preschool or kindergarten is part of an early education service, like long day care.  

You can tell a long day care service from a stand-alone preschool or kindergarten because they look after babies, toddlers and preschoolers, and operate for eight to 10 hours a day, give or take.  

The other big difference is that long day care services are funded federally, via the Child Care Subsidy (CCS).  

This means the government will chip in for your long day care fees if you’re eligible for the CCS, and if your child is off to big school next year and attending a preschool or kindergarten program at long day care (or occasional care, for that matter), your family might be exempt from the usual CCS activity test.  

Your state government may also put its money behind preschool learning in long day care services.  

For instance, in New South Wales, the government’s Start Strong Long Day Care program means eligible long day care services get extra funding to support kiddies’ participation in quality early education in the year before school.   

And in Queensland, upcoming reforms will make kindergarten in long day care services free for vulnerable and/disadvantaged children, and more affordable for families in low and middle-class communities. Community kindergartens will also be free for vulnerable/disadvantaged kids.    

All the different funding models and fee structures may be confusing, but they’re underpinned by one common goal. 

The intention of all our governments is to offer every little Australian a year of free – or subsidised – preschool or kindergarten before they go off to school, and although we’d all like to pay nothing, and fees can vary a lot between places, the latest preschool education data tells us that 74% of kiddies enrolled in preschool programs paid $4 or less per hour after subsidies were taken out of the equation.  

On a personal level, your location, choice of provider and individual family circumstances all affect how much you’ll pay for preschool or kindergarten, and the best way to find out what you’re up for, is to talk to your preschool or kindergarten provider and ask them what fees apply.  

If your preschooler is headed for a long day care service, the KindiCare Child Care Subsidy Calculator is a great tool.  

Keep in mind, too, that just because a service has ‘preschool’ or kindergarten’ in its name, this doesn’t necessarily mean it’s funded as one.  

If your early learning service is catering to all ages from birth to big school, and has long operating hours, then it’s a long day care by any other name, and the CCS is your friend! 

Also, get set for a kinder shake-up in two of the southern states 

If you’re a parent in New South Wales or Victoria, then we’re pleased to report that universal pre-kindergarten is coming your way – though not immediately. 

In the next 10 years, every child in these states will be entitled to five-days-a-week of free, play-based early education in the year before they go to big school.  

Victoria intends to roll of out this ‘new year of schooling’ from 2025, while New South Wales is kicking things off from 2030.  

And although the exact model is still a work in progress, we do know that the learning will be delivered in preschool settings, and there’s a plan to build more community preschools on, or near, primary schools.  

Stayed tuned.