ATO benchmarks for child care
Child care services earn daily or session fees for each child, paid by families and partly through government subsidies, while staff costs, rent, food and educational resources are their main costs.
General information
Total expenses as a share of turnover
Low and high end of each published range
| Turnover range | Financial year | Low end | High end |
|---|---|---|---|
| $65,000 to $200,000 | 2023-24 | 42% | 59% |
| $65,000 to $200,000 | 2022-23 | 44% | 61% |
| $200,001 to $600,000 | 2023-24 | 60% | 77% |
| $200,001 to $600,000 | 2022-23 | 62% | 80% |
| More than $600,000 | 2023-24 | 79% | 88% |
| More than $600,000 | 2022-23 | 78% | 88% |
Australian Taxation Office, Small Business Benchmarks, key ratios for 2023-24 and 2022-23 (data.gov.au), licensed under CC BY 2.5 AU. Checked 15 Oct 2026.
What sits behind these figures in the books
- The main day-to-day expenses are staff costs, rent or property costs, food, nappies and cleaning supplies, educational resources and toys, utilities and insurance.
- Fee income is recorded in full, whether it arrives from families or as subsidy payments, and matched to each child's account so unpaid fees are easy to see.
- Playground equipment and furniture bought to keep are recorded apart from running costs, and food and cleaning bills are entered as they arrive so expenses are complete.
Sources
- Small Business Benchmarks, 2023-24 Benchmarks (key ratios)
Australian Taxation Office. 2023-24 financial year, released 16 March 2026. Checked 15 October 2026.
Based on Australian Taxation Office data, Small Business Benchmarks, 2023-24 Benchmarks, licensed under CC BY 2.5 AU Licence: CC BY 2.5 AU.
- Small Business Benchmarks, 2022-23 Benchmarks (key ratios)
Australian Taxation Office. 2022-23 financial year, released 17 March 2025. Checked 15 October 2026.
Based on Australian Taxation Office data, Small Business Benchmarks, 2022-23 Benchmarks, licensed under CC BY 2.5 AU Licence: CC BY 2.5 AU.
Get your books in order
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