Different Grants

ECE services can apply for different grants:

• to assist in the costs of staff becoming qualified;  
• to cover the costs of qualified teachers (who meet certain criteria) of becoming fully registered as teachers with the Teachers Council;  
• if in a low socio-economic area or catering for children from non-English speaking backgrounds (equity funding)
• if in a geographically isolated area - annual top-up funding.

Community-owned early childhood services also can apply and often access funding from a range of community organisations including pub charities. 

20 Hours ECE and General Subsidy of up to 30 Hours Payment to Services Per Child Enrolled

In terms of the actual public money paid directly to your child's service provider for each hour your child attends up to 30 hours a week, below are charts showing the amounts paid (these are the current funding rates as at 1 July 2011). 

Different service types are paid at different rates by the Ministry of Education, and the rate is set differently depending upon a child's age (under-2 years, over 2 years, or 3 years or older) and if claiming up to 20 hours ECE as part of the 30 hours a week funding. If a service claims the 20hours ECE funding rate for a child, but the child stays longer than 20 hours, then up to a further 10 hours can be claimed at the usual subsidy rate.

Te Kohanga Reo, Maori Language Nest Centres, dollar amount of Government funding per child per hour

All day Free-Kindergartens with paid staff  (operate more than 4 hours a day). Dollar amount of Government Funding paid to centres per child, per hour

All-day childcare centres with paid staff (operate more than 4 hours a day). Dollar amount of Government Funding paid to centres per child, per hour

Sessional free-kindergartens with paid staff(providing sessions of 4 hours or less for children).  Dollar amount of Government Funding per child, per hour that goes to the centre

Sessional childcare centres with paid staff (providing sessions of 4 hours or less for children).  Dollar amount of Government Funding per child, per hour that goes to the centre

Home-based provider agencies, dollar amount of Government Funding per child, per hour paid to the agencies (not to the educators/caregivers)

Playcentresbelonging to the National Playcentre Federation, dollar amount of Government funding per child, per hour 

Playgroups, dollar amount of Government Funding per child per hour

Work and Income Subsidy Entitlements

Depending upon how much you and your partner earn (family income) you may be eligible for a WINZ Childcare Subsidy provided for up to 9 hours a week where the parent is not working and up to 50 hours a week where the parent is working or in training.  

If your service is receiving the 20 Hours ECE funding for your child, then you can not get the Childcare Subsidy for the first 20 hours even if the service is still charging you a "fee" (a compulsory donation) or asking you to cover other costs. If you are faced with paying 'optional' charges you might choose to ask your service for your child not to be on the 20 Hours ECE funding rate so that you can claim the WINZ subsidy. 

As of 1 April 2011 the WINZ subsidies were as follows for parent’s starting the subsidy after 27 September 2010, up to a maximum of 50 hours per child per week: ( See note* below for parents already on subsidies on 27 September 2010) 

Click here to go to the web site link for the above.   

*Subsidies for parents who were already receiving them prior to 27 Sept 2010 remain now at the same pre-Sept rate which was slightly higher than the ones above, and also have different total household income cutoff levels for each size of subsidy. Families have this rate grand-parented for 3 years; however the subsidy must remain current. If the subsidy is cancelled the parent may need to meet the new income threshold criteria.

Click here to go to the link for the pre- 27^th Sept 2010 grandparented subsidy rates.

Tax Deductability

You can receive a maximum tax credit of $310 if you paid $940 or more during the tax year in fees and have receipts for this.

You can claim a tax credit of the lesser of one-third of the total donations you've made or one-third of your taxable income providing you have receipts from approved charitable organisations.  If your early childhood service requires you to pay extra on top of the 20 hours of ECE you may be eligible for (and this is called a donation) a tax credit can not be claimed for it unless the organisation is an approved charitable organisation.  To check if you can claim a tax credit visit the Inland Revenue website.