Outside School Hours Care (OOSH) and vacation care use the same CCS framework as Long Day Care — same subsidy rate, same activity test, same family income test. What differs is the hourly cap (lower for OOSH) and the practical pattern of usage (shorter sessions during term, longer during vacation periods).
This guide walks through the OOSH and vacation care picture and the planning angles.
OOSH vs LDC — what's the same and what's different
Same
- Your CCS subsidy rate (the % from the income test)
- The activity test 100-hour / 72-hour bands
- The 42-day absence allowance
- The reconciliation process at EOFY
- The application process (no separate OOSH application)
Different
- Hourly cap: OOSH $12.51/hr vs LDC $14.29/hr (FY26 figures)
- Session length: OOSH typically 2-3 hours; LDC typically 10 hours
- Daily fee structure: OOSH typically $25-40/session; LDC $130-220/day
- Multi-child Higher CCS Second Child rate: only applies to children 5 or under, so school-age OOSH users (5-13) don't get the higher rate
The OOSH session pattern
Typical OOSH session breakdown:
| Session | Hours | Typical fee | Hourly | Cap status |
|---|---|---|---|---|
| Before school | 1.5 hrs (7am-8:30am) | $18-25 | $12-17/hr | Often at or above cap |
| After school | 2.5-3 hrs (3pm-6pm) | $25-35 | $10-12/hr | Usually under cap |
| Both BS + AS | 4-4.5 hrs | $40-55 | $9-12/hr | Usually under cap |
Before-school care often pushes above the cap because the per-session fee includes setup/wind-down time the centre can't easily compress. After-school is more comfortably under.
Vacation care — the daily-rate model
During school holidays, OOSH providers typically offer full-day vacation care. The structure shifts from "per session" to "per day":
- Daily fee: $90-130 (metro), $70-110 (regional)
- Hours: typically 8-10 hours/day (8am-6pm or similar)
- Effective hourly: $9-15/hr
Many vacation care services are at or just over the OOSH cap of $12.51/hr. The math:
$110/day, 10 hours = $11/hr: under cap, full subsidy benefit $130/day, 10 hours = $13/hr: 49¢ over cap, small unsubsidised gap $150/day, 10 hours = $15/hr: $2.49 over cap, more meaningful gap
Recognised participation and OOSH
Recognised-participation hours (the rules formerly known as the activity test, renamed 5 Jan 2026) are cumulative. If your child is in:
- LDC 4 days/fn = 40 hours/fn (10 hrs/day × 4)
- OOSH 5 days/wk = 27.5 hours/fn (2.5 hrs/session × 11)
- Total: 67.5 hours/fn — under the 100-hour entitlement
But if you go to vacation care 5 days a week × 10 hours = 50 hours/fn during holidays, plus the LDC continues at 40 hours/fn (where eligible), you're at 90 hours/fn — close to the cap.
This catches families during holiday weeks when daycare-aged kids continue at LDC AND school-aged kids do vacation care. The combined hours can push close to the 100-hour cap if both parents are working full-time.
Higher CCS Second Child — doesn't apply to school-age OOSH
The Higher CCS Second Child rate is for children 5 or under. School-aged children using OOSH (5-13) don't trigger or receive the higher rate.
For multi-child families:
- Two kids under 5 in LDC → standard rate for eldest, higher rate for younger
- One kid under 5 in LDC + one kid 6 in OOSH → eldest LDC kid is the "standard rate" child; the 6-yr-old in OOSH gets standard rate (no higher rate eligibility); if the under-5 LDC kid was the only one in the higher-rate cohort, no higher rate applies anyway
This frequently surprises families with mixed-age care: "But I have multiple kids in care, where's my Higher CCS?" Answer: the school-age sibling doesn't count toward the multi-under-5 cohort.
Common operational scenarios
Scenario 1: child starts school, transitions from LDC to OOSH
The hourly cap drops from $14.29 to $12.51. If your LDC fee was $14/hr (under cap), the cap shift may bind on OOSH if before-school care is higher. Annual subsidy generally goes down (fewer hours/wk in OOSH vs LDC), which is expected.
Scenario 2: holiday week budgeting
Vacation care fees are often higher per hour than term-time after-school care. Budget for the per-week cost spike during school holidays. A typical 5-day vacation week at $130/day = $650; at 80% subsidy with cap binding modestly = ~$120 out-of-pocket. A typical term week of OOSH at $40/day = $200; at 80% subsidy = ~$40 out-of-pocket. Holiday weeks cost ~3× term weeks for the same family.
Scenario 3: multi-child OOSH
Multiple school-age kids in OOSH each have their own CCS rate (standard, not higher). Per-child fees accumulate. A family with 3 kids in vacation care at $120/day = $360/day = $1,800/week. At 75% CCS (cap binding) = ~$370 out-of-pocket per week. Substantial.
Scenario 4: split LDC + OOSH
Younger child at LDC + older child at OOSH. Different hourly caps apply per child. The CCS calculator handles this transparently — pre-school-age kid gets LDC cap, school-age kid gets OOSH cap, same subsidy rate.
The Higher CCS gap when one child starts school
A common transition pain: you had two kids both under 5 in LDC and were getting Higher CCS Second Child on the younger. The oldest turns 5 and starts school → goes to OOSH. The younger is still under 5 in LDC but is now the ONLY kid in the under-5 cohort. Higher CCS Second Child stops because it requires 2+ kids under 5.
This is automatic and usually unwelcome. The family's CCS drops because the multi-under-5 condition no longer holds.
Planning angle: if you're considering a third child during this gap, the multi-under-5 cohort would re-form once the new baby arrives + the second is still under 5.
How NestWise helps
The free CCS calculator doesn't currently let you specify OOSH vs LDC — it assumes centre-based LDC. For OOSH-specific modelling, the full CCS view handles per-child care type, hourly fees, and the cap by type.
The Holiday Care Calculator (paid) was specifically built for vacation care planning — model school-holiday weeks with vacation care fees + the cap interaction.
Related guides
- How much Child Care Subsidy will I get?
- CCS hourly cap explained
- The CCS activity test explained
- Higher CCS for second child
- CCS absences — the 42-day allowance
Sources: Services Australia — Child Care Subsidy hourly rate cap, DSS Family Assistance Guide §3.5.4 — Hourly rate cap, Department of Education — Outside School Hours Care.