ECE Funding Handbook

Welcome to the Early Childhood Funding Handbook. This Funding Handbook is issued under section 548(5) of the Education and Training Act 2020(external link). The funding paid to licensed services is paid subject to the terms and conditions set out under this Handbook and must be complied with. The terms used in this Handbook are based in the Education (Early Childhood Services) Regulations 2008.

This Handbook is designed to be a ‘one-stop-shop’ for all you need to know about early childhood funding, including:

  • the Early Childhood Education (ECE) Funding Subsidy
  • 20 Hours Early Childhood Education (ECE)
  • Equity Funding
  • the Annual Top-Up for Isolated Services

Note: The information in the Funding Handbook does not apply to certificated playgroups. These services should contact their Ministry regional office for further information.

Downloading the ECE Funding Handbook

If you want a printed copy of this handbook, refer to the list of downloads in the contents section where you will find downloadable PDF versions of each chapter.

ECE Funding Handbook downloads

2-6 Funding rates

A symbol.  Compass.  Books.

  • Introduction
    • The funding rates for each service-type can be found in the Funding Rate Table (see Appendix 1).

      This section explains:

      • how you can use the Funding Rate Table to find the funding rate for each service
      • that services can access higher funding rates by meeting quality requirements.
  • The Funding Rate Table
    • The Funding Rate Table is found in Appendix 1. This will be updated each time there is a change to the ECE Funding Subsidy rates.

      Use the table to find out the funding rate per funded child hour (FCH) for your service.

  • Teacher-led services
    • Funding rates for teacher-led ECE services depend on four variables:

      Funding rates depend on...This is measured by...
      whether the service is all-day or sessional. the service’s licence.
      the number of ‘Certificated Teacher Hours’ as a proportion of ‘regulated (ratio) staff hours’. completion of the staff hour count (not applicable for sessional kindergartens or home-based services) of the RS7 Return.
      the age of children attending the service. completion of the funded child hour entitlement section of the RS7 Return.
      whether the service is offering 20 Hours ECE to eligible children. completion of the 20 Hours ECE Hour entitlement section of the RS7 Return.
  • Where to find more information
    • Use the table below to find more information on how your service’s rate will be calculated:

      TopicSee Section
      Certificated Teacher Hours 3-B-2
      Regulated (ratio) staff hours 3-B-2
      Calculating staff hours for the RS7 Return 9-4
      Calculating funded child hours for the ECE Funding Subsidy 9-2
      Calculating funded child hours for 20 Hours ECE Funding 9-3
  • Home-based services
    • Home-based early childhood education (ECE) services are funded at either the ‘standard’ or ‘quality’ funding rate. Services cannot change between standard and quality rates on a daily or weekly basis, and must use the EC11 Form to change between rates.

      Quality funding rates are available to home-based ECE services that meet certain requirements. For more information please refer to 3-B-4.

  • Parent/whānau-led services
    • Parent/whānau-led services are funded at either ‘standard’ or ‘quality’ funding rates. Services cannot vary between standard and quality rates on a daily or weekly basis, and must use the EC11 Form to change between rates.

      Quality funding rates are available to playcentres and ngā kōhanga reo that meet certain additional requirements.

      If your service
      is a... 
      you are eligible for quality funding rates
      if you have...
      For specific details see...
      • adults present with certain qualifications.
      te kōhanga reo
      • enhanced adult:mokopuna ratios
      • kaiako/whānau with certain
  • More information: all services
    • More information on the rates and applying for funding is available in the following sections:

      Teacher-led education and care services 3-B-2
      Home-based ECE services 3-B-4
      Playcentre 3-C-3
      Te kōhanga reo 3-C-4
      Completing the RS7 Return (all services) Chapter 9