$1.7b federal budget boost for working parents

February 20, 2024
minutes to read
Jaala Alex
Table of Contents

This week, the federal government announced a significant boost to the budget for childcare which aims to assist approximately 18,000 families across Australia.

A pledge of $1.7b dedicated to significantly reduce childcare costs was announced by the federal government this week. The measures are designed to encourage more parents to return to working either four or five days a week and stimulate Australia’s economic recovery from COVID-19.

Too often, families are forced to make the difficult decision of who goes back to work, and who stays home. And, more often that not, it is the woman who has to sacrifice their career to balance the cost of childcare. An estimated 90,000 people across Australia who said they weren’t in the workforce last year because of the high cost of child care.

Currently, childcare subsidies are currently capped at $10,560, beyond which households with an income of more than $189,390 pay the full rate in childcare fees. The new policy will remove that cap. The government expects the changes will encourage about 40,000 people to work an extra day per week.

While we'd love to see 90,000 individuals have the opportunity to work an extra day per week, the budget increase initiative is certainly a move in the right direction.

What does that mean for you as a small business owner?

With a reduced cost of childcare the initiative will help remove barriers for parents, particularly mothers, to return to the workforce and increase their hours. This will give you more time to dedicate to the incredible small business you are building and operating.

We're behind you, superhero!

DISCLAIMER: Team Thrive Pty Ltd ABN 15 637 676 496 (Thriday) is an authorised representative (No.1297601) of Regional Australia Bank ABN 21 087 650 360  AFSL 241167 (Regional Australia Bank).  Regional Australia Bank is the issuer of the transaction account and debit card available through Thriday. Any information provided by Thriday is general in nature and does not take into account your personal situation. You should consider whether Thriday is appropriate for you.

Why waste time on financial admin when Thriday can do it for you?

Already have an account? Login here
Thriday Debit Card


Live demo this Thursday at 12:30pm.