The 3-Day Childcare Guarantee: What Castle Hill Families Need to Know About January's Big Changes

September 26, 2025

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Published: September 26, 2025 | Reading Time: 5 minutes

About Kings Road Preschool: Located in the heart of Castle Hill, Kings Road Preschool has been serving local families since 1989 with our "Learning for Life" approach to early childhood education. Our experienced educators combine quality educational programming with the flexibility busy families need, meeting National Quality Standards across all areas.

The decision about your child's early education becomes even more significant when government policy changes affect both your family budget and your child's access to quality care. As the new 3-Day Guarantee approaches in January 2026, many Castle Hill families are seeking clear information about what these changes mean for them.

Through our experience supporting families, we understand that policy announcements can raise questions about practical impacts on your family's routine and budget. Here's what's changing and how it might affect your situation.

What's Actually Changing on January 5, 2026?

The Australian Government is replacing the Child Care Subsidy (CCS) Activity Test from January 2026 to guarantee at least 3 days of subsidised early childhood education and care (ECEC) each week for children who need it. Here's what this means in practical terms:

Current System (until January 4, 2026):

  • Families must meet strict "activity test" requirements through work, study, or volunteering
  • Families who don't meet the activity test receive only 24 hours per fortnight (roughly 1 day per week)
  • This creates particular challenges for casual workers, part-time students, and job seekers

New System (from January 5, 2026):

  • All CCS eligible families will get 3 days' subsidised care each week for each child
  • No activity test required for these first 72 hours per fortnight
  • Families will still get 100 hours of subsidised care each fortnight for each child if they: work, train, study or volunteer for more than 48 hours each fortnight, or have an exemption
  • Families caring for First Nations children will get 100 hours of subsidised care each fortnight for each child

Who Benefits from This Change?

The 3-Day Guarantee particularly helps families who have faced barriers under the current system:

  • Families with irregular work patterns - Casual workers and those with changing shift schedules
  • Part-time students - Parents pursuing education whilst caring for children
  • Job seekers - Families needing consistent care whilst searching for employment
  • Single parents - Those managing limited work hours whilst building career opportunities
  • Growing families - Parents returning to work after parental leave

Real Financial Impact for Families

The savings can be substantial. According to the Department of Education's Fact Sheet which assumes the family has one child in care for 36 hours per week, 50 weeks per year paying the average projected Centre-Based Day Care hourly fee for 2025-2026, families could save up to $11,400 per year.

Source: Department of Education Fact Sheet - 3 Day Guarantee Early Education

How This Supports Children's Development

Our Learning for Life approach recognises that consistent attendance patterns support children's development in crucial ways. With the 3-Day Guarantee, children benefit from:

Enhanced School Readiness: Regular attendance allows children to develop consistent routines, supporting their transition to formal schooling.

Stronger Social Connections: Three days per week enables children to form meaningful friendships and develop social skills through sustained peer interactions.

Continuous Learning Progression: Consistent attendance supports our intentional teaching approach, where educators build on previous learning experiences.

Emotional Security: Regular patterns help children feel secure and confident in their early childhood education environment.

What Stays the Same

It's important to understand that many aspects of the Child Care Subsidy system remain unchanged:

  • Subsidy rates and income thresholds continue as they are
  • Families already receiving 100 hours maintain their current entitlements
  • The same approved childcare services remain eligible
  • Families continue paying gap fees and out-of-pocket costs
  • Quality standards and regulations remain consistent

Nationwide Impact

The government estimates that in its first full year, this initiative will benefit 66,700 families immediately, with over 100,000 families becoming eligible for more hours of subsidised care overall. This represents a significant step toward universal early childhood education access across Australia.

Preparing for the Changes

As we approach January 2026, families can prepare by:

Understanding Your Current Situation: Review your family's current CCS entitlement and consider how the guaranteed 72 hours might benefit your circumstances.

Planning Your Child's Routine: Consider how consistent three-day attendance might support your child's development and your family's work-life balance.

Exploring Educational Options: This might be an ideal time to consider how quality early childhood education supports your child's school readiness.

Supporting Your Family's Transition

As these changes approach, we understand families may have questions about how they'll affect your specific situation. Our team has experience supporting Castle Hill families through various policy changes over our 35+ years of operation.

Whether you're currently using our services or considering options for 2026, we're here to help you understand how these changes might benefit your family's unique circumstances through our inclusive Learning for Life approach.

Ready to explore how these changes might benefit your family?

The 3-Day Guarantee represents a significant opportunity for many Castle Hill families to access quality early childhood education with greater financial support. Our experienced team would be happy to discuss how these changes align with your family's needs and your child's development goals.

Contact Us today to learn more about our programs and discover how our Learning for Life approach can support your family through these upcoming changes.

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