Government Childcare Subsidies Explained: ELP, GCAP, OSCAR, and Flexible Childcare Assistance

Navigating the world of government childcare subsidies can be overwhelming for parents. In New Zealand, there are several options to support families with the cost of early childhood education and care. At Small Sprouts, we want to make it easy for parents to understand their options, so we’ve broken down the Early Learning Payment (ELP), Guaranteed Childcare Assistance Payment (GCAP), Out of School Care and Recreation (OSCAR) Subsidy, and Flexible Childcare Assistance.

 

These subsidies are designed to support working parents and make childcare more affordable, helping families access quality early learning experiences for their tamariki.

🔗 For more detailed information on each subsidy and how it works at Small Sprouts, visit our Government Funding Page.

 1. Early Learning Payment (ELP)

The Early Learning Payment (ELP) is designed for parents receiving the Young Parent Payment (YPP). This subsidy helps young parents access early childhood education for their children aged 0 to 3 years.

Who is Eligible?

To be eligible for ELP:

  • You must be receiving the Young Parent Payment (YPP).

  • Your child must be under 3 years old.

  • You must enrol your child at an approved ECE provider, like Small Sprouts.

How It Works:

  • ELP covers up to 50 hours per week of early childhood education.

  • It can be used in conjunction with the 20 Hours ECE once your child turns 3.

  • Payments are made directly to the childcare provider, reducing your out-of-pocket costs.

How to Apply:

  1. Check your eligibility through Work and Income NZ (WINZ).

  2. Enrol your child at Small Sprouts and let us know you are applying for ELP.

  3. Complete the application form and provide necessary documents, such as proof of receiving YPP.

  4. Submit to WINZ and once approved, payments will be made directly to us, reducing your childcare costs.

🔗 Learn more about ELP on the Work and Income website.

 

2. Guaranteed Childcare Assistance Payment (GCAP)

GCAP is designed to help parents or caregivers transition from receiving a benefit to starting work, training, or education. It ensures your child’s care is covered during this period of transition.

Who is Eligible?

To be eligible for GCAP:

  • You must be receiving a benefit from Work and Income.

  • You are transitioning to work, study, or training.

  • Your child must be attending an approved ECE service, like Small Sprouts.

How It Works:

  • GCAP covers the full cost of childcare for up to 50 hours per week.

  • It is available for up to 12 months while you transition to employment or education.

  • Payments are made directly to the childcare provider, ensuring continuous care.

How to Apply:

  1. Talk to your Work and Income case manager to check your eligibility.

  2. Enrol your child at Small Sprouts and notify us that you are applying for GCAP.

  3. Complete the GCAP application with your case manager.

  4. Submit to Work and Income and once approved, payments will go directly to Small Sprouts.

🔗 Learn more about GCAP on the Work and Income website.

 

3. Out of School Care and Recreation (OSCAR) Subsidy

The OSCAR Subsidy is designed to help parents with the cost of before and after school care, as well as school holiday programmes. While this doesn’t apply directly to Small Sprouts, it is useful for parents with older children.

Who is Eligible?

To be eligible for the OSCAR Subsidy:

  • Your child must be aged 5 to 13 years (or up to 18 if they have a disability).

  • You must be working, studying, or involved in an approved activity.

  • Your household income must be below the set threshold for your family size.

How It Works:

  • OSCAR Subsidy covers the cost of care before and after school or during school holidays.

  • The amount depends on your income and number of children.

  • Payments are made directly to the approved OSCAR provider.

🔗 Find out more about the OSCAR Subsidy on the Work and Income website.

 

4. Flexible Childcare Assistance

Flexible Childcare Assistance is designed to help parents working non-standard hours, such as shift work or on-call jobs. It ensures parents can access childcare during irregular hours.

Who is Eligible?

To be eligible for Flexible Childcare Assistance:

  • You must be working non-standard hours (e.g., evenings, weekends).

  • Your child must attend an approved ECE provider, like Small Sprouts.

  • You must meet the income threshold set by Work and Income.

How It Works:

  • Flexible Childcare Assistance covers the cost of care during non-standard hours.

  • It supports parents working outside traditional 9-5 schedules.

  • Payments are made directly to the childcare provider.

How to Apply:

  1. Check your eligibility through Work and Income.

  2. Enrol your child at Small Sprouts and let us know you’re applying for Flexible Childcare Assistance.

  3. Complete the application form and provide proof of your work schedule and income.

  4. Submit to Work and Income and once approved, payments will go directly to Small Sprouts.

🔗 Learn more about Flexible Childcare Assistance on the Work and Income website.

 

How Small Sprouts Supports Families with Government Subsidies

At Small Sprouts, we are committed to helping families navigate childcare funding options. We:
🌱 Accept all eligible subsidies to help reduce your childcare costs. 🌱
🌱 Provide flexible enrolment options to suit your family's schedule and needs. 🌱
🌱 Offer transparent communication about fees, subsidies, and payment options. 🌱

 

Ready to Get Started?

If you’re considering government childcare subsidies for your child, we’d love to help you navigate the process. Contact us today or visit our website to learn more about our enrolment options and how we can support your child’s early learning journey.

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Understanding the Childcare Subsidy (CCS) in New Zealand