9-2 Calculating the ECE Funding Subsidy

Introduction

This section explains how services can calculate the ECE Funding Subsidy.

Example

Throughout this section there are examples of two services calculating their ECE Funding Subsidy.

  • Kowhai Street Childcare Centre is an all-day service.
  • Huia Playcentre is a sessional service.

2.5 hour sessions

A session of 2.5 hours will receive funding for 3 hours.

Before you begin

Make sure you have:

  • a copy of the enrolment records for every child who attended your service in the previous four months
  • a copy of the attendance records for every child who attended your service in the previous four months
  • attendance registers to help work out where the absence rules need to be applied.

Remember: You must take into account the Three Week Rule and Frequent Absence Rule when completing your RS7 Form. You can find more information on the absence rules by clicking on the related link below:

Step 1: Under 2s

Follow the steps below to calculate the FCHs for children aged under two:

Step Action
1 List the daily number of hours of enrolment for each enrolled child under two years of age.
2 If any children under two years of age attended the service on a casual basis, list the number of hours each of these children attended.
3 List the number of hours that can be claimed for each child.
Note: a maximum of six hours can be claimed each day for each licensed child-place.
4 Add together the claimable hours for each day.
This is the Under 2s FCHs for the day.
5 Round the total to the nearest whole number.
Numbers ending in 0.5 or above may be rounded up to the next whole number. Numbers ending in 0.4 or below should be rounded down to the previous number.
6 Repeat Steps 4-5 for each day in the month.
7 Write the FCHs for each day in the column labelled “Under 2”.
8 Add together the FCHs for Under 2s for the month.
9 Write the total for the month in the box labelled "Total".

Step 1: All-day example

On 1 September, Kowhai Street Childcare Centre had three children under the age of two enrolled in their service. One child under the age of two attended casually.

Enrolled Children: Name Hours Enrolled Claimable Hours
Tealu 6 6
John 8 6
Sione 4.5 4.5
Casual Children: Name Hours Attended Claimable Hours
Timothy 6.5 6
Total 25 22.5
ECE Funding Subsidy
Under 2 2 & Over
Thu 1 23

Step 1: Sessional example

Huia Playcentre operates two sessions per day, each for 2.5 hours:

Note: A session of 2.5 hours will receive funding for 3 hours.

Number of Under 2s Total Claimable Hours
Session 1 3 9
Session 2 2 6
Total 5 15
ECE Funding Subsidy
Under 2 2 & Over
Thu 1 15

Step 2: 2 & overs

Repeat Step 1 (above) for children aged two or over less any hours claimed as 20 Hours ECE.

Step 2: All-day example

On 1 September, Kowhai Street Childcare Centre had six children aged two or over enrolled in their service. Four children aged two or over attended casually.

Enrolled Children: Name Hours Enrolled Claimable Hours
Sione 4.5 4.5
Matthew 8 6
Hanako 6 6
Tama 2.5 2.5
Sarah 3.25 3.25
Kelly 5 5
Casual Children: Name Hours Attended Claimable Hours
Blake 7.5 6
Caitlyn 1.5 1.5
Kahu 8 6
Jose 4 4
Total 50.25 44.75
ECE Funding Subsidy
Under 2 2 & Over
Thu 1 23 45

Step 2: Sessional example

Huia Playcentre operates two sessions per day, each for 2.5 hours:

Number of 2 and Overs Total Claimable Hours
Session 1 12 36
Session 2 13 39
Total 25 75
ECE Funding Subsidy
Under 2 2 and Over
Thu 1 15 75


Last updated: 27 March 2012