New Zealand Childcare Subsidy: hours and income thresholds

Childcare Subsidy helps with pre-school childcare costs, with weekly hour limits and income-based reductions that differ for working and non-working families.

Child age

Under 5; over 5 if going to a cohort entry school; under 6 with Child Disability AllowanceWork and Income, Childcare Subsidy

Minimum attendance

3 hours a week at an approved serviceWork and Income, Childcare Subsidy

Non-working caregivers

Up to 9 hours a week subsidisedWork and Income, Childcare Subsidy

Working, studying or training

Up to 50 hours a week subsidisedWork and Income, Childcare Subsidy

1 child, full rate income threshold

Less than $1,131 a week gross; $6.72 an hour, $336 a week for 50 hoursMinistry of Social Development, Childcare Subsidy income thresholds and maximum rates at 1 April 2026

2 children, full rate income threshold

Less than $1,301 a week gross; $6.72 an hour, $336 a week for 50 hoursMinistry of Social Development, Childcare Subsidy income thresholds and maximum rates at 1 April 2026

3 or more children, full rate income threshold

Less than $1,457 a week gross; $6.72 an hour, $336 a week for 50 hoursMinistry of Social Development, Childcare Subsidy income thresholds and maximum rates at 1 April 2026

Who can get the subsidy

The Childcare Subsidy is for principal caregivers of a dependent child who are New Zealand citizens or permanent residents, on a low or middle income, and whose child is under 5, or over 5 if they are going to a cohort entry school, or under 6 if they receive Child Disability Allowance. The child must attend an approved early childhood education programme for at least 3 hours a week. Work and Income, Childcare Subsidy (opens in a new tab).

The weekly hours difference

The subsidy is normally up to 9 hours a week for a caregiver who is not working, studying or on an approved training course. Up to 50 hours a week is available when the caregiver is working, studying, on an approved course, a shift worker who works nights, seriously ill or disabled, or caring for a child in hospital or with a Child Disability Allowance. In most cases, both parents or caregivers cannot qualify for more than 9 hours if one of them could be caring for the child. Work and Income, Childcare Subsidy (opens in a new tab).

Income and the reduction

The amount paid depends on family size, income, the hours a week the child attends and the amount and type of childcare fee. The actual subsidy paid goes directly to the childcare provider rather than the caregiver. Work and Income, Childcare Subsidy (opens in a new tab).

The income bands at 1 April 2026

For one child, the hourly rate is $6.72 for weekly gross family income under $1,131.00, $5.36 from $1,131.00 to $2,059.99, $3.75 from $2,060.00 to $2,231.99, $2.09 from $2,232.00 to $2,403.99, and nil from $2,404.00. Ministry of Social Development, Childcare Subsidy income thresholds and maximum rates at 1 April 2026 (opens in a new tab).

For two children, the same hourly rates apply under $1,301.00, from $1,301.00 to $2,369.99, from $2,370.00 to $2,556.99 and from $2,557.00 to $2,747.99, and nil from $2,748.00. For three or more children, the bands are under $1,457.00, $1,457.00 to $2,643.99, $2,644.00 to $2,867.99, $2,868.00 to $3,090.99, and nil from $3,091.00. Ministry of Social Development, Childcare Subsidy income thresholds and maximum rates at 1 April 2026 (opens in a new tab).

What the subsidy does not cover

The Childcare Subsidy does not cover optional charges or donations requested by your childcare provider. It can be paid for the same hours as 20 Hours Early Childhood Education only where a home-based educator charges a top-up for those hours. Public holidays are covered, but most programmes do not operate between Christmas and New Year so no payment is made during that period. Work and Income, Childcare Subsidy (opens in a new tab).

Scope of this explanation

This is general information about published eligibility rules and hour limits. It does not calculate a specific household's subsidy amount, determine which childcare provider type qualifies, assess a child's age eligibility, or decide a claim's processing time. No Childcare Subsidy calculator or worked childcare example is provided here.

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