The National Childcare Scheme – Your Parent Questions Answered!

At Penguin we regularly receive queries from parents relating to the National Childcare Scheme (NCS) and the subsidy provided to parents. Below are some of the top questions that we answer for parents. If you have more specific queries please contact us today for your FREE consultation and support.

  1. What is the National Childcare Scheme? The National Childcare Scheme was introduced by the Irish government in September 2022 in recognition of the rising costs of childcare in the country and the significant expense for parents in sending their children to a childcare provider. The subsidy is an hourly payment that is offset against your fee. Childcare settings who wish to be part of the scheme must register. Information on childcare providers who are part of the scheme can be found on the NCS Hive under Childcare Search. When a parent who is registered to receive NCS attends a childcare setting, the provider is paid the subsidy by the government for the hours that the child attends and this in turn is deducted by the provider from your overall fee.
  2. Am I entitled to National Childcare funding? All parents of children aged 24 weeks to 15 years are entitled to claim the subsidy, provided they are accessing childcare through a registered provider. Nannies or au pairs do not qualify for the National Childcare Scheme
  3. How will my rate be decided? All parents are entitled to a minimum subsidy of 2.14 per hour. This is called a universal subsidy. You may be entitled to a higher rate based on your circumstances. This subsidy will be means-tested and based on your family income.
  4. What is a CHICK code and why is it needed? A CHICK code is the reference number assigned to your child’s subsidy. Once you receive a CHICK code it should be sent to your provider. This allows your provider to see what subsidy you are entitled to and deduct it from your fee.
  5. Why do I have to renew my CHICK code? CHICK codes are valid from one year of issue. If your CHICK code expires you are responsible for renewing it and updating your provider with your new CHICK code. If you don’t you may be liable for for full fees for the period where you did not have a valid CHICK. Subsidies cannot be backdated to cover your previously outdated CHICK. If you are claiming an increased subsidy based on a means test of income for the current year, your CHICK code will expire after 6 months and will need to be renewed.
  6. I received funding of 2.14E but my creche fee is higher than I expected. What should I do? If you have concerns about your funding being applied you should contact the manager or relevant person in the service with your query as soon as possible. Parents are responsible for ensuring the correct funding is applied for their child and incorrect subsidies cannot be backdated. You can request a monthly invoice for your fees to ensure your funding is being applied correctly each month. You can also contact Penguin for a free consultation if you require a more in-depth fee and NCS analysis.
  7. My provider offers full-day care from 7:30-18:30 only. I drop my child to creche daily at 8:30 and collect at 17:30. I am claiming NCS for the hours my child attends only but paying for full hours from 7:30-8:30 and 17:30-18:30 when my child is not there. Is that correct? Currently, the National Childcare Scheme does not regulate the individual fee policies of childcare providers. If your provider’s policy is that they will charge full days only then your child must either a) attend all the hours listed to avail of the full subsidy b) attend only for the hours you require and lose the subsidy for the hours they are not attending. Attendance and absences are monitored by the NCS and you will be notified if your child attends as per their award for a period of 8 weeks or more.

The National Childcare Subsidy has provided financial support to parents availing of childcare outside of the home and has allowed more vulnerable children and families to have access to childcare that may have previously been beyond their means. It is, however, a new system of funding for the sector and can be complicated to understand. For anyone struggling to get to grips with their subsidy, contact our team of experts today for support and advice!