Net childcare cost for parents using childcare
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This indicator measures the net costs paid by parents for full-time centre-based childcare, after any benefits designed to reduce the gross childcare fees. Childcare benefits can be received in the form of childcare allowances, tax concessions, fee rebates and increases in other benefit entitlements.

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The first preliminary release of year T-1 indicators is in February. As this release is based on projected wage values and preliminary information on tax rules, any use of these indicators should include the following disclaimer: “Results based on preliminary data and wage estimates”. The second final release of year T-1 indicators is scheduled in April.

Net childcare cost for parents using childcareAbstract

This indicator measures the net costs paid by parents for full-time centre-based childcare, after any benefits designed to reduce the gross childcare fees. Childcare benefits can be received in the form of childcare allowances, tax concessions, fee rebates and increases in other benefit entitlements.

Other data characteristics

1. Calculations are for families with two children aged 2 and 3. Parents are aged 40.
2. Guaranteed Minimum Income (GMI) benefits are included in the calculations. Where benefit entitlements change over time, calculations refer to the second month of benefit receipt. Where benefit receipt is subject to activity tests, such as active job-search or being "available" for work, these requirements are assumed to be met by all household members.
3. Calculations assume full-time work for all parents.
4. If housing benefits are included in the calculations, these are calculated assuming a household renting in the private market paying rent equal to 20% of the average wage. Rent levels are the same for all family types.
5. Where benefit rules are not determined on a national level but vary by region or municipality, results refer to a “typical” case (e.g. Michigan in the United States, the capital in some other countries). A full description of the policies included in the calculations for each country is available
here.
6. For a detailed description of the assumptions underlying the OECD Tax-Benefit model and the related policy indicators, please see the methodology document.
7. For more information, visit the project webpage or contact the OECD tax-benefit team.

Validation

The first preliminary release of year T-1 indicators is in February. As this release is based on projected wage values and preliminary information on tax rules, any use of these indicators should include the following disclaimer: “Results based on preliminary data and wage estimates”. The second final release of year T-1 indicators is scheduled in April.