Funding rates for the 20 Hour and 30 Hour subsidies

money budget

All licensed ECE services are financially subsidised by the taxpayer.  Service providers can claim subsidies per child per hour. Funding claims are made by the service provider to the Ministry of Education. The Ministry is responsible for checking the accuracy of the claims (e.g. accurately reflects actual child attendance).

Funding is a subsidy only.  Funding is not intended to cover the full-cost of providing ECE, except for 20-Hours ECE for 3 - 5 year olds as no fees can be charged for this. Under 20 Hours ECE funding rules any additional charges  must clearly be communicated to parents and families as being optional to pay.

The Ministry sets different funding rates for different types of ECE services.  Funding rates also differ for children aged under two years and children aged two years and over.  

If a service claims the 20 hours ECE funding rate for a child who is aged between 3 to 6 years. Ift the child stays longer than 20 hours, then up to a further 10 hours can be claimed at the usual subsidy rate.

Services are paid up to 30 hours funding for every child under 3 years (and over 3 years if the service does not provide 20 hours ECE free for children). 

If a service claims the 20 hours ECE funding rate for a child who is aged between 3 to 6 years, but the child stays longer than 20 hours, then up to a further 10 hours can be claimed at the usual subsidy rate.

  

Teacher-led Centres

Teacher-led centres include all education and care centres (including kindergartens and preschools) and services on a notional roll, such as hospital-based. 

$ PER FUNDED CHILD HOUR (INCL. GST)

All-day licensed teacher-led centres not owned by Kindergarten Assn
OPTION 1 Funding
FROM 1 JANUARY 20211

All-day licensed teacher-led centres not owned by Kindergarten Assn
OPTION 1 Funding
FROM 1 JULY 2021 2

Kindergarten Associations

FROM 1 JULY 2021

 

UNDER 2

2 AND OVER

20 HOURS ECE

UNDER 2

2 AND OVER

20 HOURS ECE

UNDER 2

2 AND OVER

20 HOURS ECE

100% teachers

$13.60

$7.97

$13.01

$13.62

$7.98

$13.03

$15.57

$9.12

$14.87

80-99% teachers

$13.02

$7.20

$12.28

$13.04

$7.21

$12.30

$14.99

$8.35

$14.14

50-79% teachers

$11.79

$6.22

$11.19

$11.81

$6.23

$11.21

$13.55

$7.18

$12.86

25-49% teachers

$9.52

$4.95

$9.84

$9.53

$4.96

$9.85

$10.89

$5.70

$11.24

0-24% teachers

$8.14

$4.11

$8.96

$8.15

$4.12

$8.97

$9.26

$4.70

$10.23

 

$ PER FUNDED CHILD HOUR (INCL. GST)

All-day licensed teacher-led centres not owned by Kindergarten Assn
OPTION 1 Funding
FROM 1 JANUARY 20223

All-day licensed teacher-led centres not owned by Kindergarten Assn
OPTION 2 Funding
FROM 1 JANUARY 20221

Kindergarten Associations

FROM 1 JANUARY 20221

  

UNDER 2

2 AND OVER

20 HOURS ECE

UNDER 2

2 AND OVER

20 HOURS ECE

UNDER 2

2 AND OVER

20 HOURS ECE

100% teachers

$13.78

$8.08

$13.19

$14.13

$8.29

$13.52

$15.76

$9.23

$15.05

80 - 99% teachers

$13.20

$7.30

$12.45

$13.54

$7.49

$12.77

$15.17

$8.45

$14.31

50-79% teachers

$11.95

$6.30

$11.34

$12.25

$6.46

$11.63

$13.71

$7.27

$13.01

25-49% teachers

$9.64

$5.02

$9.97

$9.88

$5.15

$10.22

$11.02

$5.77

$11.37

0-24% teachers

$8.25

$4.17

$9.08

$8.46

$4.28

$9.31

$9.37

$4.76

$10.35

1 Option 1 rates for centres not owned by Kindergarten Associations. From 1 Jan 2021 services are required to pay all qualified teachers with a practising certificate at least $23.92 hour. Should a service not do this it drops to a lower funding band regardless of what percentage of qualified teachers it has.  For more information on teacher pay go to: Wage and salary rates

2  Option 1 rates for centres not owned by Kindergarten Associations. From 1 July 2021 services are required to pay all qualified teachers with a practising certificate at least $24.69 hour.  Should a service not do this it drops to a lower funding band regardless of what percentage of qualified teachers it has. For more information on teacher pay go to: Wage and salary rates

3  Option 2 rates for centres not owned by Kindergarten Associations. From 1 January 2022 from 1 January 2022 to be eligible for this funding rate a centre must pay all its qualified teachers with a practising certificate at least $24.69 hour (Step 1 – 1st year teacher) progressing to $31.62 hour (which is pay Step 6 - for a 6th year teacher who does not have higher qualifications. Teachers with a Masters degree need only 1 year experience to reach the top pay step).   For more information on teacher pay go to: Wage and salary rates

 

Sessional-licensed teacher-led centres

$ PER FUNDED CHILD HOUR (INCLUDING GST)

Sessional teacher-led centres not owned by Kindergarten Assn
OPTION 1 Funding
FROM 1 JANUARY 2021 1

Sessional teacher-led centres not owned by Kindergarten Assn
OPTION 1 Funding

FROM 1 JULY 2021 2

Sessional teacher-led centres owned by Kindergarten Associations

FROM 1 JULY 2021 3

 

UNDER 2

2 AND OVER

20 HOURS

UNDER 2

2 AND OVER

20 HOURS

UNDER 2

2 AND OVER

20 HOURS

100% teachers

$12.46

$6.19

$7.50

$12.48

$6.20

$7.51

$15.88

$7.97

$9.53

80 - 99% teachers

$11.58

$5.25

$6.76

$11.60

$5.26

$6.77

Sessional-licensed kindergarten associations must have 100% qualified teachers in ratio at all time

50-79% teachers

$10.52

$4.69

$6.14

$10.54

$4.70

$6.15

25-49% teachers

$8.58

$4.03

$5.42

$8.59

$4.04

$5.43

0-24% teachers

$7.48

$3.63

$5.02

$7.49

$3.64

$5.03

 

 

$ PER FUNDED CHILD HOUR (INCLUDING GST)

Sessional teacher-led centres not owned by Kindergarten Assn
OPTION 1 Funding
FROM 1 JANUARY 2022 1

Sessional teacher-led centres not owned by Kindergarten Assn
OPTION 2 Funding
FROM 1 JANUARY 2022 2

Kindergarten Associations

FROM 1 JANUARY 2022 3

 

UNDER 2

2 AND OVER

20 HOURS

UNDER 2

2 AND OVER

20 HOURS

UNDER 2

2 AND OVER

20 HOURS

100% teachers

$12.63

$6.27

$7.60

$12.95

$6.43

$7.79

$16.07

$8.07

$9.64

80 - 99% teachers

$11.74

$5.32

$6.85

$12.04

$5.46

$7.02

Sessional-licensed kindergarten associations must have 100% qualified teachers in ratio at all time

50-79% teachers

$10.67

$4.76

$6.22

$10.94

$4.88

$6.38

25-49% teachers

$8.69

$4.09

$5.50

$8.91

$4.19

$5.64

0-24% teachers

$7.53

$3.68

$5.09

$7.77

$3.77

$5.22

Option 1 rates for centres not owned by Kindergarten Associations. From 1 Jan 2021 services are required to pay all qualified teachers with a practising certificate at least $23.92 hour. Should a service not do this it drops to a lower funding band regardless of what percentage of qualified teachers it has.  For more information on teacher pay go to: Wage and salary rates

 Option 1 rates for centres not owned by Kindergarten Associations. From 1 July 2021 services are required to pay all qualified teachers with a practising certificate at least $24.69 hour.  Should a service not do this it drops to a lower funding band regardless of what percentage of qualified teachers it has. For more information on teacher pay go to: Wage and salary rates

3  Option 2 rates for centres not owned by Kindergarten Associations. From 1 January 2022 from 1 January 2022 to be eligible for this funding rate a centre must pay all its qualified teachers with a practising certificate at least $24.69 hour (Step 1 – 1st year teacher) progressing to $31.62 hour (which is pay Step 6 - for a 6th year teacher who does not have higher qualifications. Teachers with a Masters degree need only 1 year experience to reach the top pay step).   For more information on teacher pay go to: Wage and salary rates

 

Homebased Teacher-Led ECE Service funding

Home-based services are required to employ a person responsible/ co-ordinator for every 50 children who is qualified and holds a current practising certificate.  A service licenced for 51 children must have 2 qualified and certificated teachers.  

$ PER FUNDED CHILD HOUR (INCLUDING GST)

FROM 1 JANUARY 2021

FROM 1 JANUARY 2022

UNDER 2

2 AND OVER

20 HOURS ECE

UNDER 2

2 AND OVER

20 HOURS ECE

Quality

$9.05

$4.85

$10.11

$9.16

$4.91

$10.23

Standard

$7.28

$3.94

$8.76

$7.28

$3.94

$8.76

 

Te Kōhanga Reo funding

To support teachers, the Trust advocates for Te Tohu Tino Rangatiratanga Whakapakari o Te Kōhanga Reo - a Level 7 qualification delivered in te reo - to be recognised as a qualification accepted by the Teaching Council for graduates to register and gain a practising certificate. The majority of staff in Kōhanga Reo are currently undertaking a Kōhanga Reo course or hold some type of Kōhanga Reo approved course qualification.

$ PER FUNDED CHILD HOUR (INCLUDING GST)

FROM 1 JANUARY 2021

FROM 1 JANUARY 2022

UNDER 2

2 AND OVER

20 HOURS ECE

UNDER 2

2 AND OVER

20 HOURS ECE

Quality

$13.24

$8.62

$12.67

$13.40

$8.72

$12.82

Standard

$12.08

$8.05

$12.18

$12.22

$8.15

$12.33

 

Playcentre funding

All Playcentres are required to have a person responsible and that person may hold a Level 4 early childhood qualification on the NZQA framework or a teaching diploma or degree and a practising certificate

$ PER FUNDED CHILD HOUR (INCLUDING GST)

FROM 1 JANUARY 2021

FROM 1 JANUARY 2022

UNDER 2

2 AND OVER

20 HOURS ECE

UNDER 2

2 AND OVER

20 HOURS ECE

Quality

$9.84

$4.94

$6.14

$9.96

$5.00

$6.21

Standard

$8.61

$4.33

$5.52

$8.71

$4.38

$5.59

 

Certificated playgroups and licence-exempt services

$ PER FUNDED CHILD HOUR (INCLUDING GST)

RATES FROM 1 JULY 2020

UNDER 2

2 AND OVER

20 HOURS ECE

Playgroups

$1.83

$1.83

N/A

  

Donations

Tax credit can be claimed for donations to early childhood services that are approved charitable organisations. For more information go to the Inland Revenue website.

 

WINZ childcare subsidy

WINZ childcare subsidy and rates- click here.  

Fees and other costs to parents - click here for fees and charges 

 

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