FamilyBoost Expansion Delivers Higher Childcare Rebates to Over 78,000 NZ Families

FamilyBoost is a government program designed to ease the burden of early childhood education fees by offering direct fortnightly rebates to eligible families.

More New Zealand families are receiving substantial support with early childhood education (ECE) costs following the expansion of the FamilyBoost rebate scheme. Finance Minister Nicola Willis confirmed that the number of households receiving at least $150 per fortnight in rebates has climbed to 11,584, reflecting broader eligibility and increased payout rates since changes were introduced in July.

“FamilyBoost changes announced in July have resulted in 11,584 households now receiving at least $150 a fortnight,” said Minister Willis. “That’s a meaningful financial lift for thousands of parents trying to balance rising costs with the demands of young children.”

FamilyBoost: What It Is and Why It Matters

FamilyBoost is a government program designed to ease the burden of early childhood education fees by offering direct fortnightly rebates to eligible families. These payments are based on actual ECE costs and are intended to help parents—particularly working parents—remain in the workforce while their children are in care.

Originally introduced as a modest support measure, the scheme underwent significant revisions earlier this year, including:

• Higher rebate rates to better reflect real childcare costs

• Expanded income thresholds, allowing more middle-income households to qualify

• Simplified application processes through Inland Revenue

These changes have led to 10,000 more families receiving FamilyBoost compared to the end of the previous quarter, bringing the total number of recipients to over 78,000 unique households.

Payments Growing with Need

In addition to growing uptake, the average amount being distributed has also increased significantly. The average FamilyBoost payment for the September quarter is now just under $100 per fortnight, a jump from $57 per fortnight in the previous quarter. This nearly 75% increase signals that the revised scheme is delivering more meaningful support to households facing mounting childcare expenses.

The expansion is especially timely as many families grapple with the rising cost of living and inflation-driven hikes in childcare fees. With full-time ECE costs often exceeding $250 per week per child in urban centres, the additional government support is being welcomed by both parents and advocacy groups.

Minister Encourages Families to Apply

Minister Willis is urging families who pay for early childhood education but have not yet applied to check their eligibility.

“This is good news for New Zealanders with young families,” she said. “If you’re paying for early childhood education, it’s worth checking whether you qualify. The process is simple, and the benefits could make a big difference.”

Applications can be made through Inland Revenue’s website at ird.govt.nz/familyboost.

Broader Government Focus on Family Affordability

The FamilyBoost initiative forms part of the government’s broader commitment to improving family affordability and workforce participation. By reducing out-of-pocket childcare expenses, the program also supports parents—especially mothers—seeking to return to work or increase their hours.

Economic observers note that boosting childcare affordability has a double benefit: helping families manage household budgets and contributing to national productivity by encouraging labour force engagement.

Further updates on FamilyBoost uptake and impact are expected in the next quarterly report from Inland Revenue and the Ministry of Social Development.