New Child Day Care Allowances Start In October
The new Child Day Care Allowance system will take effect in October, Minister of Economy and Labour Jason Hayward said.
Speaking in the House of Assembly on Friday [July 21] the Minister noted the Child Day Care Allowance Amendment Regulations 2023 introduces “tiered, income-based benefits, and a maximum gross annual household income of $130,000.”
“The amendment specifies the annual gross household income categories and the associated maximum awards that may be granted for an eligible child as follows –
- Category 1: a qualified person whose annual gross household income is up to and including $65,000 may be eligible for a maximum monthly allowance of $900 per month per child.
- Category 2: a qualified person whose annual gross household income is from $65,001 up to and including $97,000 may be eligible for a maximum monthly allowance of $700 per child.
- Category 3: a qualified person whose annual gross household income is from $97,001 up to and including $130,000 may be eligible for a maximum monthly allowance of $500 per child.
Minister Hayward added, “Reforming the structure of awards will assist households to cope with the rising costs of day care and to minimize the risk of families having to decide between child day care services and employment. ”
The Minister’s full statement follows below:
Mr Speaker and Honourable Members,
Later today, I will be laying before this Honourable House the Child Day Care Allowance Amendment Regulations 2023.
Mr Speaker, the purpose of these Regulations is to increase the value of awards and toexpand the pool of persons eligible for the benefit. Specifically, it amends the Child Day Care Allowance Regulations 2008 to introduce tiered, income-based benefits, and a maximum gross annual household income of $130,000 with respect to an application for child day care allowance.
The amendment specifies the annual gross household income categories and the associated maximum awards that may be granted for an eligible child as follows –
- Category 1: a qualified person whose annual gross household income is up to and including $65,000 may be eligible for a maximum monthly allowance of $900 per month per child.
- Category 2: a qualified person whose annual gross household income is from $65,001 up to and including $97,000 may be eligible for a maximum monthly allowance of $700 per child.
- Category 3: a qualified person whose annual gross household income is from $97,001 up to and including $130,000 may be eligible for a maximum monthly allowance of $500 per child.
Overall, Mr Speaker, reforming the structure of awards will assist households to cope with the rising costs of day care and to minimize the risk of families having to decide between child day care services and employment. This additional support is paramount to sustaining households and ensuring children are on a developmental continuum from the earliest years.
Mr. Speaker, the new rates have been uploaded into the Department of Financial Assistance’s computer system and work has commenced to update the relevant forms to be in alignment with the amendments. The commencement date for these amendments will be 1st October 2023.
To close, Mr. Speaker, this increased benefit complements the duty-free concessions the Government has recently extended to day care facilities. The two initiatives demonstrate the Government’s commitment to improving quality and access to day care for Bermuda’s families. Protecting early childhood education is vital for individuals’ lifelong well-being and for the sustainability of our economy.
Thank you, Mr Speaker.
The full Child Day Care Allowance Amendment Regulations 2023 follows below [PDF here]:
Dear Minister Hayward. You are the Minister responsible for our economy. How does this make economic sense when you are running a deficit budge?
Trinkets, trinkets and more trinkets.
Where is the money coming from to pay for all of the trinkets?
He is planning ahead. Encourage the production of children to people who can’t afford them, so in the years ahead he will fulfil his goal of increasing the population. They will then join the thousands receiving FA and all those increased benefits so they don’t have to work. Who is going to pay for all this is anyone’s guess, probably massive debt.
If your prediction is correct, the Bermuda dollar will be on par with the Jamaican dollar, not the U.S. dollar, in the future
Great so I get to pay for all your kids you chose to have and can’t afford …please can we invest in family and financial planning