In Home Care and CCS: Eligibility and Costs
In Home Care (IHC) is approved child care delivered in your family home through an approved IHC service. It is not a private nanny, and it is not the same as hiring a babysitter.
CCS can apply to IHC, but the rules are different from centre based day care, family day care and OSHC. The biggest difference is that IHC is subsidised per family, not per child.
The short answer
IHC may be an option if your family genuinely cannot use suitable mainstream approved care because of work hours, location or complex needs.
A few rules carry most of the weight:
- IHC must be arranged through an approved IHC service.
- You apply through an IHC Support Agency, not directly through Centrelink.
- You must already be eligible for Child Care Subsidy.
- The 2025-26 IHC hourly cap is $39.80 per family per hour.
- The higher CCS rate for second and younger children does not apply to IHC sessions.
- From 5 January 2026, CCS eligible families get at least 72 hours of subsidised care per fortnight under the 3 Day Guarantee.
Who can access IHC?
Families generally need to clear three gates.
1. You must be eligible for CCS
Standard CCS eligibility rules still apply. That covers residency, immunisation requirements, using approved care, and meeting the income and recognised participation rules.
2. Other approved care must be unavailable or unsuitable
You need to show that centre based day care, family day care or OSHC cannot reasonably meet your child's care needs, your work pattern, or your location.
3. You must meet an IHC eligibility reason
The main reasons are:
- Non-standard or variable hours. Shift work, overnight work, early starts, late finishes, or unpredictable rosters where mainstream approved care cannot meet the need.
- Geographical isolation. Generally where the nearest suitable approved service is more than 30 km away.
- Challenging or complex needs. Medical, disability, behavioural, family safety, trauma, or other circumstances where mainstream approved care cannot appropriately support the child or family.
Written evidence is usually required. That can include employer letters, rosters, evidence from local services, medical information or support letters.
Quick self-check
You may be worth exploring IHC if:
- your work hours are non-standard, variable or unpredictable
- your child or family has complex needs that mainstream care cannot meet
- you live too far from suitable approved care
- you can provide written evidence
- you have already checked whether centre based care, family day care or OSHC is available and suitable
You are less likely to qualify if:
- you want care at home mainly for convenience
- you have suitable approved care available nearby
- you are looking for a subsidised nanny
- your preferred centre has no vacancy, but other suitable approved care is available
How to apply for In Home Care
Families apply through an IHC Support Agency in their state or territory. You do not apply for an IHC place directly through Centrelink.
The usual process is:
- Contact the IHC Support Agency for your state or territory.
- Complete the IHC eligibility application form.
- Provide evidence showing why mainstream approved care is unavailable or unsuitable.
- The Support Agency assesses whether your needs are in scope.
- If eligible and a place is available, the Support Agency connects you with an approved IHC service.
- The IHC service arranges the educator and develops a Family Management Plan.
IHC is also a capped national program. Access is not guaranteed, even if you appear to meet every criterion. Tell your Support Agency if your work, address, care needs or family circumstances change.
How CCS applies to In Home Care
CCS can reduce the cost of IHC, but the calculation is different from other care types.
The IHC hourly cap
| Care type | 2025-26 hourly cap |
|---|---|
| In Home Care | $39.80 per family per hour |
This cap is much higher than the cap for long day care or family day care because IHC is usually one educator caring for one family. But the key phrase is per family.
IHC is subsidised per family, not per child
For most care types, CCS is calculated per child. For IHC, CCS is calculated once per family. If two or three children are cared for in the same session, the $39.80 hourly cap applies once to the family, not once for each child.
That is why IHC can be cost effective for eligible families with several children in the same session, but it is also why the higher CCS rate for second and younger children does not apply to IHC sessions.
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A simple cost example
Say an approved IHC service charges $45 per hour. The 2025-26 IHC cap is $39.80, so CCS is calculated on $39.80, not the full $45.
If your family's CCS percentage is 80%:
| Item | Amount |
|---|---|
| IHC hourly fee | $45.00 |
| IHC hourly cap | $39.80 |
| CCS at 80% of cap | $31.84 |
| Estimated family gap | $13.16 per hour |
If two children are in care at the same time, the IHC cap still applies once per family.
Does the higher CCS rate apply to IHC?
No. The higher rate for second and younger children does not apply to IHC sessions because IHC is subsidised per family, not per child.
A child aged 5 or under in IHC can still count when working out whether younger children in other approved care types attract the higher rate.
For example:
- Child A, aged 5, uses IHC.
- Child B, aged 3, attends long day care.
- Child A may still count as the older eligible child.
- Child B may receive the higher CCS rate in long day care if the other requirements are met.
Hours entitlement and the 3 Day Guarantee
From 5 January 2026, CCS eligible families receive at least 72 hours of subsidised care per fortnight under the 3 Day Guarantee. Families may access up to 100 hours per child per fortnight depending on recognised participation or other eligibility rules. See 72 vs 100 hours for the activity test detail.
The 3 Day Guarantee applies to all approved care types, including IHC. It guarantees a minimum number of subsidised hours, but it does not guarantee that an IHC place will be available.
What about ACCS?
Some families may qualify for Additional Child Care Subsidy.
Some ACCS categories can subsidise care up to 120% of the hourly rate cap. For IHC in 2025-26, that is up to $47.76 per family per hour, depending on the ACCS type and your eligibility. ACCS is not automatic and applies only in specific circumstances such as child wellbeing, grandparent carers, transition to work, or temporary financial hardship.
What IHC educators provide
IHC educators deliver care and early learning in the family home. They are generally required to hold approved qualifications under the National Quality Framework, with limited exceptions in remote areas.
An IHC educator works under a Family Management Plan designed around the child's needs, family circumstances and approved learning frameworks. Unlike a private nanny, the educator is engaged through an approved IHC service. The family does not directly employ the educator.
Common situations
- Two parents on rotating shifts. Mainstream centres cannot cover early starts and late finishes. IHC may be in scope if rosters and employer letters support the case.
- Remote farming family. Nearest approved service is more than 30 km away. Geographical isolation can support an application.
- Child with complex medical needs. A centre cannot reasonably accommodate the care plan. Evidence from clinicians can support the application.
- Family wanting a nanny at home for convenience. Not in scope. IHC is not a subsidised nanny program.
Edge cases and gotchas
- Capped places. Even a strong application can be declined if there is no national place available.
- Provider above the cap. If the IHC fee is above $39.80 per hour, the excess is fully out of pocket.
- One subsidy, several children. The cap is shared. Adding a third child does not add a second cap.
- Higher rate confusion. A 95% standard rate child does not lift the IHC session rate. The IHC session is subsidised per family.
Key facts at a glance
| Question | In Home Care answer |
|---|---|
| Is IHC approved care? | Yes, if arranged through an approved IHC service |
| Is it the same as a nanny? | No |
| 2025-26 hourly cap | $39.80 per family per hour |
| Is the cap per child? | No, per family |
| Does the higher CCS rate apply to IHC sessions? | No |
| Does the 3 Day Guarantee apply? | Yes |
| Are places guaranteed? | No |
| Apply through | IHC Support Agency |
What this means for you
If you can use mainstream approved care and it would suit your child, IHC is unlikely to be available. If your work, location or family circumstances genuinely rule out other approved care, it is worth speaking to your IHC Support Agency.
Before you apply, run the numbers on your other options too. The $39.80 cap looks generous next to long day care, but it applies once per family, and the higher rate does not lift the IHC session rate.
All figures are estimates based on current CCS settings and the inputs you provide. Final entitlement is determined by Services Australia.
Key takeaways
- IHC is approved care delivered in your home through an approved IHC service, not a nanny.
- The 2025-26 IHC cap is $39.80 per family per hour, applied once per family per session.
- The higher CCS rate for second and younger children does not apply to IHC sessions.
- The 3 Day Guarantee gives at least 72 hours of subsidised care per fortnight, but does not guarantee an IHC place.
Frequently Asked Questions
Can I use CCS to pay a nanny?
No. A private nanny arrangement is not approved care for CCS. In Home Care is the only model where CCS can apply to care delivered in your home, and it must be arranged through an approved IHC service via your IHC Support Agency.
Does each child get $39.80 of subsidy in IHC?
No. The $39.80 hourly cap is per family per hour, not per child. Two or three children in the same session share the one cap.
Will my younger children get the higher CCS rate in IHC?
No. The higher rate for second and younger children does not apply to IHC sessions. A child in IHC may still count for the higher rate calculation that lifts a sibling's percentage in another care type.
Does the 3 Day Guarantee mean we are guaranteed an IHC place?
No. The 3 Day Guarantee is a minimum of 72 subsidised hours per fortnight for eligible families from 5 January 2026. IHC places are still capped nationally and access is not guaranteed.
Can ACCS pay more than 100% of the IHC cap?
In some categories, yes. ACCS can subsidise care up to 120% of the hourly rate cap, which for IHC in 2025-26 is up to $47.76 per family per hour, depending on the ACCS type.
Official sources
- Department of Education — In Home Care
- Department of Education — IHC eligibility
- Department of Education — 3 Day Guarantee
- Services Australia — Child Care Subsidy