EXAMPLE 3: the basic scenario (these numbers are NOT reflective on any current payment amounts – I have just made them round numbers so they’re easy to work with!)
Child is under school aged
Day care centre charge $100 a day for a 10 hour day
CCB maximum amount (100%) is $5 per hour
Parent has one child in care, CCB 25%
Parent qualifies for CCR and has opted to have the payment made direct to themselves
Child is in care 5 days per week
Child care fees for the week : $500
CCB for the week: 50 hours at 25% CCB (5 x 0.25 = $1.25 per hour) = 50 x 1.25 = $62.50
Out of Pocket balance for parent to pay = fees – CCB = 500 – 62.50 = $437.50
Because the customer has opted to have the CCR paid to their own bank account, this is the amount they will pay to the childcare each week. When the childcare report the usage to FAO, the CCR will be calculated and paid to the customer, as below. For some childcare centres this will happen every week, for some it will be once a fortnight. There is no set day to expect this money in the bank
CCR amount is 50% of Out of Pocket balance = 437.50 x 0.50 = $218.75
CCR paid direct to customer is 85% of the total CCR = 218.75 x 0.85 = $185.94
Total weekly expense for customer
= fees – CCB – CCR paid direct to customer
= 500 – 62.50 – 185.94
= $251.56
The balance of the CCR, $32.81, will be held until tax time/reconciliation
Last edited by briggsy's girl; June 17th, 2012 at 04:31 PM.
Reply With Quote
Bookmarks