Home-based educator top up payments

Home-based educators can charge a home-based educator top up payment for the same hours as 20 Hours Early Childhood Education (ECE).

This is to cover the difference between the 20 Hours ECE funding and the educator's usual hourly rate. Home-based early childhood education providers may charge the top up payment on the educator's behalf.

Example a home-based educator charges $10 per hour per child for hours outside of 20 Hours ECE. The service they are contracted to passes on $6 per hour for each child from the 20 Hours ECE funding. The educator can charge a home-based educator top up payment of $4 per hour. Eligible clients can choose to take up Childcare Subsidy to pay for:

• standard childcare hours only or
• home-based educator top up payments charged for 20 Hours ECE hours only or
• a combination of the two, but not for the same hours

Eligible clients can get Childcare Subsidy to help pay for home-based educator top up payments charged for the same hours as 20 Hours ECE.

If a client uses Childcare Subsidy to pay for home-based educator top up payments, these hours are deducted from the total hours of Childcare Subsidy the client is eligible for. This means a client who is eligible to 50 hours of Childcare Subsidy can get the subsidy for 20 hours of home-based educator top up payments and 30 hours of standard childcare fees.

For more information see:

• Home-based educator top up payments examples
• 20 Hours Early Childhood Education and up to 9 hours Childcare Subsidy
• 20 Hours Early Childhood Education and up to 50 hours Childcare Subsidy

When Childcare Subsidy is used to help pay for home-based educator top up payments, the amount payable for those hours is the lesser of the:

• maximum hourly rate of Childcare Subsidy available to the client or
• actual hourly home-based educator top up payment charged

Note Childcare Subsidy for home-based educator top up payments may be paid at a different rate to the fees for standard childcare hours.

A client has their child enrolled for 20 hours of 20 Hours ECE and 30 hours of standard childcare with a home-based educator. The educator charges $10 per hour but for 20 Hours ECE, they get $7 per hour passed through from their provider. This leaves $3 per hour that they charge as a home-based educator top up payment.

The client is entitled to a maximum Childcare Subsidy rate of $6.72 per hour (as at 1 April 2026). This means that they can get $3 per hour for the home-based educator top up payment and $6.72 per hour for the standard childcare hours.