Early childhood education fee savings

April 3rd 2020 | Categories: Money, Family & Relationships |

Released 2 April 2020

Families with young children will receive an additional break from 6^th April, with the offer of free childcare through early learning and childcare centres. This package, along with JobKeeper is aimed at supporting the longer term viability of these businesses whose recent enrolment’s have become highly variable. It is also aimed at providing stability to working parents who rely on these services so they can work.

Key Points:

• Childcare will be free for all working families from 6^th April
• Until payments arrive, families will be able to use the 20 extra days absence days without giving up your place
• Means testing will no longer apply
• Re-enrolling doesn’t mean you have to attend the centre, it offers the centre support now and holds your place for the future.

“These services are vital for so many parents so they can provide for their family, and children need as much familiarity and continuity as we can help provide at this unsettling time. Priority will be given to working parents, vulnerable and disadvantaged children that need early education more than ever and parents with pre-existing enrolments.” Scott Morrison

You can re-enrol your child and choose to not send them, the centre will be allocated the financial resources for that enrolment to support their viability. If you ceased your enrolment after 17th Feb, re-enrolling now will hold your place for the time in the future when things start to normalise and you again needing this service.

The following is an extract from Scott Morrison’s press release:

“If you have terminated your enrolment since 17 February, then I encourage you to get back in contact with your centre and re-start your arrangements. Re-starting your enrolment will not require you to send your child to child care and it certainly won’t require you to pay a gap fee. Re-starting your enrolment will, however, hold your place for that point in time when things start to normalise, and you are ready to take your child back to their centre.”

“We will also make payments of higher amounts available in exceptional circumstances, such as where greater funding is required to meet the needs of emergency workers or vulnerable children.

“The Government is also providing certainty to the preschool sector in recognition of its importance to a student’s formal education.”

The Morrison Government will also provide $453.2 million for preschools in 2021 to support almost 350,000 children to attend preschool. The funding injection comes on top of the $3.2 billion the government has delivered for preschool education since 2014.

If you want to discuss this and other benefits available right now with an adviser to understand how they fit into your broader financial context, please get in touch.

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