Information on changes made are detailed below.
If you prefer to keep a Funding Handbook in hard copy, discard all chapters, appendices and the glossary and replace them with the updated versions available to download on the right-hand side of the ECE Funding Handbook page.
Funding handbook changes in 2025#
Information on changes made are detailed below.
Updates have been made to the following chapters.
- Chapter 3-B-2 Education and care, Chapter 5-3-1 Allowances for kaiako in Māori bilingual and immersion education and care services, Chapter 5-3-2 Allowances for teachers in Pacific bilingual and immersion education and care services, and the Glossary of the funding handbook to include the new service types:
- Puna Reo,
- Reo Rua education and care,
- Leo o Fanau Moana immersion
- Leo o Fanau Moana bilingual.
- Chapter 3-C-2 Quality funding rates for parent/whānau led services and 3-C-3 Playcentres to reflect changes relating to the new quality funding rate options for Playcentres.
- Chapter 3-C-4 Te kōhanga reo to include an additional qualification for quality funding rate requirements.
- Chapter 3-B-2 Education and care, Chapter 5-3-1Allowances for kaiako in Māori bilingual and immersion education and care services, Chapter 5-3-2 Allowances for teachers in Pacific bilingual and immersion education and care services, Chapter 11-1 Record keeping and 12-4 Auditing financial reports have had small updates to provide clarity relating to the audit requirements and terminology.
- Chapter 14 to reflect the change to optional electronic submissions for casual education and care and hospital-based services and a new subsection has been added Chapter 14-4 RS7 Return.
Chapter 7-5 has been amended to include the addition of an emergency closure chapter for home-based services.
Therefore, Chapter 7-5 now contains:
- Chapter 7-5-1 Centre-based emergency closure
- Chapter 7-5-2 Home-based emergency closure.
Updates have been made to the funding handbook to reflect the changes to standard and quality funding rates and qualification requirement for home-based services effective 1st January 2025.
Chapter 2-6 Funding rates
Amended subsection:
- Home-based services.
Chapter 3-B-4 Home-based ECE services
Amended subsections:
- Introduction
- Funding rates
- Percentage qualification requirements: Record keeping for all home-based services
- Qualification requirements: all services
- Christmas coverage: options for all service
- Record keeping requirements.
Removed subsections:
- Coordinator requirements: All services
- Calculating the percentage qualification requirements
- Discretionary situations for percentage qualification requirements
- Percentage qualification requirements: Record keeping for standard funded services, from 1 June 2022
- Percentage qualification requirements: Additional record keeping for quality funded services
- Upcoming changes to quality rate requirements: percentage qualification requirements
- Quality rate requirements: coordinators
- Relief coordinators
- Coordinator absences
- Previous quality rate requirement
- Previous quality rate requirements: calculating the percentage qualification requirements, from 1 January 2023
- Previous quality rate requirements: calculating the percentage qualification requirements from 1 June 2022 - 31 December 2022
- Previous quality rate requirements: Meaning of 'active educator’
- Previous quality rate requirements: Discretionary situations for percentage qualification requirements from 1 January 2021 until 31 May 2022
- Previous quality rate requirements: Additional record keeping for quality funded services
- Previous quality rate requirements: Additional record keeping for quality funded services (Continued)
- When to change funding rates
- Record keeping requirements.
Removed subsections:
Chapter 11-1 Home-based ECE services
Amended subsection:
- Record keeping requirements.
Appendix 1
- Updated to reflect the removal of the standard funding rates
The following pdf is the archived version of Chapter 3-B-4 before 1 January 2025 for future reference:
Chapter 3-B-4 Home Based ECE Services (previous to 1 January 2025)
Funding handbook changes in 2024 and before#
Information on changes made are detailed below.
Chapter 3-B-2
All employed (including glossary definition).
Hours that count
From 1 October, only permanently employed teachers in a service, both full and part-time, are required to be paid at pay parity rates.
Recording keeping
Discretionary hours: record keeping (removed)
From 1 October, it won’t be necessary to keep evidence of attempts to contact a certificated teacher when using discretionary hours.
Recording keeping
Discretionary hours: record keeping (removed)
- From 1 October, it won’t be necessary to keep evidence of attempts to contact a certificated teacher when using discretionary hours.
Chapter 3-B-2
- All employed.
- Hours that count.
- Record keeping.
- Discretionary hours - record keeping.
Glossary
- All employed.
Appendix 1
Rates were updated for:
- all-day education and care services
- hospital-based services
- sessional education and care services
- Playcentres
Chapters 4, 6, 11, the glossary and enrolment form
These changes have been made to detail the changes related to educator top-up payments.
Two new funding conditions added to Chapter 3-B-2 Education and care services:
- Split roles
- Hours that count.
An amendment has also been made to the hours of work funding condition.
The new funding conditions are effective from 1 June 2024.
Chapter 3-B-4: Home-based services
These changes align with regulation 62(2), which states that coordinators in licensed home-based services cannot work as a person responsible in more than one service at a time, and in no more than two licensed services in any month.
This means that discretionary situations cannot be used to cover situations where the coordinator works across more than one network at a time.
Chapter 6-1: Enrolment Records subcategory All Records Must Include
To clarify that a child may be enrolled in a service even if a parent/caregiver cannot provide identity documentation and a reminder of current conditions.
Update of Appendix 2 Enrolment Agreement Form by relocating children’s official identification documents section to new non-mandatory section just before the Privacy Statement section.
Chapter 13-4: Reporting to the Ministry
To clarify when services should expect to receive correspondence from the Ministry for funding linked to Targeted Funding for Disadvantaged.
Update to reflect reporting requirements and new contact information for sector questions.
Appendix 1
All Education and Care services and Hospital-based services funding rate tables
Additional table of funding rates for 1 December 2023 added. Updates to funding rates for 1 January 2024 and rates for 20 Hours ECE extended to 2-year-olds from 1 March 2024.
All-day and Sessional Kindergarten funding rate tables
Additional tables of rates added for July 2023 and April 2024. Updates to funding rates for 1 December 2023 – 1 December 2024.
Appendix 4
This appendix contains the Minimum Salary Scales for education and care services. 1 December 2023 salary scale added.
These sections and chapters have been changed.
Chapter 3
Chapter 3-B-2 Education and care services
Funding rates
Attestation of certified teacher’s salaries
Minimum Salary Scales for Certificated Teacher’s
Minimum Salary Scale for Management Positions
Minimum Salary Steps and Employer KiwiSaver Contributions
Determining teacher’s initial salary step
Attestation Period
Base Salary scale Example: November funding period
Parity Salary scale Example: March funding period
Extended Parity Salary scale Example: July funding period
Full parity Salary Scale Example: July funding period
Chapter 7
Chapter 7-2 Completing the RS3 form
Completing the Attestation for Certificated Teachers’ Salaries
Chapter 9
Chapter 9-6 Attestation of certificated teacher’s salaries
Policy
Attestation on the RS7 Return
Attestation Period
Funding rate outcome from Attestation Response
Example
Chapter 11
Chapter 11-2 Funding claim audits and record keeping audits
Services will be audited on
Funding and attestation adjustments
Glossary
New terms related to Parity salary scales added.
Chapter 3-B-2: Recognised service
To clarify when services consider and recognise the previous teaching experience of a certificated teacher | kaiako (referred to as ‘teacher’) when determining their initial salary step.
Updated to reflect that recognised service means all hours of service.
Removed reference to “certificated relieving teachers employed continuously for 6 weeks or more”.
Appendix 1
Updates to all funding rates effective 1 November 2023, 1 January 2024 and rates for 20 Hours ECE extended to 2 year olds from 1 March 2024.
Appendix 4
This appendix contains the salary scales for education and care services, including minimum salary scales from 1 January 2023 and updates that will be available from 1 November 2023.
Please note: an updated Attestation of Certificated Teachers’ Salary section of the RS7 for the November 2023 payment was available after the July 2023 payment has been completed.
Chapter 3
Chapter 3-B-2: Certificated Teacher Absences and Discretionary Hours
- Increase in discretionary hours from 40 to 80 per funding round.
Chapter 14
Chapter 14-2: ECE Census
- Added new data fields which will capture data to inform calculating more precise adult: child ratios.
- Staff turnover questions added in ECE Census 2022 will be asked for permanent staff only.
Appendix 1: Funding Rates
Updates to the All-day Extended Parity Funding Rates effective 1 January 2023.
Updates to the Sessional Extended Parity Funding Rates effective 1 January 2023.
Chapter 2
Section 2-7 (f): Recovery of early childhood education funding
Updated to describe Ministry actions for non-compliance.
Chapter 6: Recording Enrolment, Attendance and Absence
Information in the overview about ELI has been moved to Chapter 14.
Chapter 6-1: Enrolment records
Updated to include reference to privacy statement.
Chapter 14
New chapter inserted so references to collection of information and information about the ELI system is in one place.
Glossary
Updated to include definition of Early Learning Information (ELI).
Appendix 2: Resources and examples
Updated privacy statement for better clarity and transparency.
Chapter 3
Section 3-B-2: Education and Care Service
Updating to reflect the inclusion of Step 6 for services who wish to access the parity funding rates from 1 January 2023.
New funding example to demonstrate access to the extended parity funding rates.
Chapter 7
Section 7-2: Completing the RS3 form
Details on the updated Attestation of Certificated Teachers’ Salaries on the RS3 form and its funding implications.
Section 7-5: Emergency Closure
Update to the how services should claim funding for an Emergency Closure.
Chapter 9
Section 9-6: Attestation of Certificated Teachers’ Salaries
Details on the updated Attestation of Certificated Teachers’ Salaries on the RS7 return and its funding implications.
Chapter 11
Section 11-2: Funding claim audits and record keeping audits
Update on how a service’s funding rate will be adjusted if they are found to have not met the salary conditions related to their attestation for certificated teacher salaries.
Chapter 3
Section 3-B-4 Home-based ECE services
This chapter has been amended to include the new requirements for standard funded services to have a percentage of qualified educators from 1 June 2022, brought in by the Education (Early Childhood Services) Amendment Act (No 2) 2021.
The quality rate requirements have been changed so the way of counting educators matches with the regulations. This means the count is now done on a monthly basis, rather than a weekly basis.
The new sections set out:
- The required qualifications for educators.
- The percentage of qualified educators required and how this is counted each month.
- The record keeping required to evidence that a service has the correct percentage of qualified educators.
Sections relating to the quality-funded licence requirements from 1 January 2021-31 May 2022 have been moved to the end of the chapter.
Chapter 11
Section 11-1 Requirements for Home-based services
- Additional requirements if your home-based service is funded at the standard funding rate.
- Additional requirements if your home-based service is funded at the quality funding rate.
Chapter 3
Section 3-B-2
- Description of the new Extended Parity Funding Rates and the requirements to access these funding rates.
- Extending the minimum salary scale for certificated teachers to eleven steps.
- Adding the minimum salary scale for management positions and conditions related to its use.
Appendix 1
- Updates to all funding rates effective 1 January 2023.
- Addition of the new Extended Parity Funding Rates effective 1 January 2023.
Chapter 3
Section 3-B-4: Home-based ECE services
- A change to the date under “New quality rate requirements”. Educators must now complete a Level 3 qualification by 1 June 2022.
- A change to the date under “Upcoming changes to quality rate requirements: Percentage qualification requirements: The date for 50% minimum percentage of educators with required qualification is now 1 June 2022.
Chapter 6
Section 6-3: Attendance records
- An additional section is included providing information about Electronic Attendance Records criteria which comes into effect on 1 February 2022.
Glossary
The following terms have been added to the Glossary:
- Authorised signature
- Electronic signature
Chapter 2
Section 2-6: Funding Rates
Links the Attestation for Certificated Teacher Salaries to a service’s funding rates.
Chapter 3
Section 3-B: Teacher-led Services
Links the Attestation for Certificated Teacher Salaries to a service’s funding rates.
Section 3-B-1: The link between teacher certification and funding
Updates related to the use of education and care service and kindergarten.
Section 3-B-2: Education and Care Service
- A change to the section title to education and care services, along with updates related to this change.
- The addition of the minimum salary for certificated teachers and conditions related to its use.
- Changes to the examples to reflect the new attestation questions.
Section 3-B-2a: Kindergartens
A new section explaining the funding conditions which apply to kindergartens.
Chapter 7
Section 7-1: Funding for new services
An explanation of the link between the Attestation of Certificated Teachers’ Salaries and a new service’s funding rate.
Section 7-2: Completing the RS3 form
Details on the updated Attestation of Certificated Teachers’ Salaries on the RS3 form and its funding implications.
Chapter 9
Section 9-6: Attestation of Certificated Teachers’ Salaries
Details on the updated Attestation of Certificated Teachers’ Salaries on the RS7 return and its funding implications.
Chapter 11
Section 11-1: Record keeping requirements
- Addition of record keeping requirements related to the Attestation of Certificated Teacher Salaries.
- Clarification of records keeping requirements for different service types
Section 11-2: Funding claim audits and record keeping audits
- Addition of records a service will be audited on in relation to the Attestation of Certificated Teacher Salaries.
- Clarification of the records a service will be audited on
Glossary
The following terms have been added to the Glossary:
- Attest (Certificated Teacher Salary)
- Base funding Rates
- Kindergarten Teacher, Head Teacher and Senior Teacher
- Collective Agreement (KTCA)
- Premium Funding Rates
- Salary Scale
- Teaching Council of New Zealand Aotearoa Standards | Ngā Paerawa.
The following terms have been updated in the Glossary:
- Attest (20 Hours) – previously Attest, no change to definition
- Certificated Teacher
- Education and Care services
- Teacher-led service.
The following term has been removed from the Glossary:
- Early Childhood Education Collective Agreement of Aotearoa New Zealand (ECECA).
Appendix 1
Addition of the Premium Funding Rate Tables for all-day and sessional education and care services and hospital-based services.
Appendix 2
Updates to the Attestation of Certificated Teacher salaries sections on the RS3 form and RS7 return.
Chapter 3 - The ECE Funding Subsidy
Section 3-B-2 Teacher-led education and care services
Certificated teacher absences and Discretionary Hours
Services should maintain a list of certificated relievers who are available when certificated teachers are absent.
An increase to discretionary hours will apply to education and care services, casual education and care services and hospital-based services, from 1 June 2021 until 31 January 2022. During this time the Ministry will accept up to 80 discretionary hours per funding period when certificated relievers are not available, provided that the record keeping requirements described in this section are met.
Between 1 June 2021 until 31 January 2022 education and care services, casual education and care services and hospital-based services, may record the hours worked by relievers who are Other Teachers as Certificated Teacher Hours for the purposes of the Staff Hour Count up to a maximum of 80 hours during a funding period.
Centres may choose which hours these apply to – they do not have to apply to the first 80 discretionary hours.
For Kindergartens, the Ministry will continue to accept up to 40 discretionary hours per funding period when certificated relievers are not available, provided that the record keeping requirements described in this section are met.
Services are required to submit a record of the number of discretionary hours they have used in a funding period to the Ministry.
If no discretionary hours have been used, then no submission is required.
Discretionary Hours Reporting
Every service that uses discretionary hours during the current funding period, must submit a record of the total number of discretionary hours used.
Services that use an approved student management system (SMS) please contact your SMS provider if you require assistance in providing this information.
Services that submit paper-based RS7 or use ELI Web and have used discretionary hours during a funding period, must submit the Discretionary Hours report above along with their RS7.
Refer to the Glossary in this Handbook for definition of discretionary hours.
Glossary
Section 3-B-4 Home-based ECE Services
Clarification around the transition to the qualified home-based workforce.
New quality rate requirements: required qualifications
Extension to recognise grandparented educators until January 2022.
New quality rate requirements: calculating the percentage qualification requirements
From January 2021:
- 30% of educators in a quality funded licence must hold a required qualification.
- up to 20% can either be in induction (first 6 months on the quality licence) or enrolled training (up to a further 2 years).
- the remaining educators on the licence must hold at least 5 credits towards a required qualification a Level 4 or above.
Upcoming changes to quality rate requirements: percentage qualification requirements
The percentage qualification requirements for the quality funding rate will change each year until 1 January 2025 when there will only be one funding rate for home-based education and care.
The table below outlines the scheduled changes.
| Date requirement is effective | Minimum % of educators with a required qualification | Maximum % of educators able to be in training or induction^ | Educators with at least 5 credits towards a required qualification at level 4 or above |
| 1 January 2021 | 30% | 20% | All remaining educators (0-70%) |
| 1 January 2022 | 50% | 20% | All remaining educators (0-50%) |
| 1 January 2023 | 70% | 20% | All remaining educators (0-30%) |
| 1 January 2024 | 80% | 20% | This category no longer applies. |
^ Educators who do not yet have credits towards a required qualification.
Educators who join a quality funded licence without a completed qualification can only remain in induction for a maximum of 6 months, or enrolled in training up to a maximum of 2 years.
Section 3-C-3 – Playcentres
Changes to Group Supervision requirements for standard funding rates for playcentres.
- Playcentre Sessions (course 3 of The Playcentre Diploma in Early Childhood and Adult Education).
- Playcentre Practice (course 4 of the Playcentre Diploma in Early Childhood and Adult Education).
Group Supervision requirements for standard funding rates
In order to receive funding at the standard rate, playcentres must have:
- A supervision plan approved by Playcentre Aotearoa and,
- At least one person on each session who holds a qualification gazetted as meeting the Person Responsible requirements for Playcentres.
Acceptable qualifications for a person responsible are set out in a notice in the NZ Gazette. These include:
- Playcentre in Context (course 5 of the Playcentre Diploma in Early Childhood and Adult Education).
- The Playcentre Diploma in Early Childhood and Adult Education.
- A level 4 or above early childhood qualification recognised in the NZ Gazette notice as suitable for a person responsible in Playcentres.
- An ECE teaching qualification recognised by the Teaching Council for the purposes of registration.
To be eligible for quality funding rates, licensed playcentres must meet one of the qualification options below. Where two or more different qualifications are required, these must be held by separate people.
Until 31 December 2021:
- Course 2 is recognised and interchangeable with the Playcentre Educator Award (PEA).
Playcentres with no Person Responsible
Funding may continue at the standard rate for playcentres who do not have a person responsible, provided the breach of qualification requirements is being managed through a provisional licence process. This is a temporary measure (generally for up to 3 months) and will only be considered where there is a clear action plan in place to fill the person responsible role.
Playcentres should contact their relevant Ministry regional office as early as possible to discuss their situation. It is important to note that if a playcentre does not meet the conditions on any provisional licence then the licence must be cancelled.
Changing funding rates
Funding rate changes for quality rate funding are effective from the date the EC11 Form, with all evidence required to assess the request, is received by the Ministry.
Reference to the Education Council has been updated to the Teaching Council throughout the Handbook.
Reference to the Education Act 1989 has been updated to the Education and Training Act 2020 throughout the Handbook.
Chapter 3 – The ECE Funding Subsidy
3-B Teacher-led services
An update was made to the Introduction to clarify the qualification requirements for a person responsible in different service types.
Section 3-B-1: The link between teacher certification and funding
- Changes were made to the requirements for Certificated teachers clarifying definition of an ECE qualified teacher.
- Update to Becoming certificated directing teachers to the Teaching Council website.
- Approved NZ teaching qualifications section has been added including a link to a list of approved teaching qualifications on TeachNZ website.
- Removal of Primary and secondary teachers section.
- Update to Overseas qualification section, removing reference to ‘primary teaching diploma or degree’ and replacing it with ‘NZ ECE or primary teaching qualification’.
- Removal of Recognition of prior learning (RPL) section.
Section 3-B-2: Teacher-led education and care services
Certificated Teacher Absences and Discretionary Hours.
Section 3-C-3: Playcentres
- The distinction made between Operating Requirements and Supervision Requirements.
- Updates to Group supervision qualification requirements for standard and quality funding to reflect changes made by Playcentre Aotearoa to the qualifications they offer to parents.
Chapter 9: Completing the RS7 Return
Section 9-10: Declaration
Services were advised in December 2019 of the update made to the Declaration section of funding forms. This update now includes the amended and current wording.
Chapter 10 – Equity Funding
Section 10-2: The Equity Index
Update to reference of EQI worked out based on 2006 New Zealand Census data.
Glossary
- EQI update made to clarify EQI worked out based on 2006 New Zealand Census data.
- Definition of Kindergarten Association has been added.
- Removal of Recognition of prior learning (RPL).
- Teacher-led services update made to clarify the qualification requirements for a person responsible in different service types.
Appendix 1
Changes to funding rates.
Appendix 2
RS7 and RS3 forms were updated to include the revised declaration.
Please note: you will need to clear your browser history to be able to access the updated forms.
Appendix 3
Addition of Appendix 3 to include a list of Kindergarten Associations who meet the legal definition.
Discretionary hours report- Education professionals
