ELP, GCAP, OSCAR & Flexible Childcare Assistance Explained (2026)
Beyond the main Childcare Subsidy, Work and Income runs four targeted childcare payments for specific situations: the Early Learning Payment (ELP) for whānau in Family Start or Early Start programmes, the Guaranteed Childcare Assistance Payment (GCAP) for parents under 20 in full-time study, the OSCAR Subsidy for school-age care, and Flexible Childcare Assistance for informal care during non-standard work hours. Here's who each one is for in 2026, what it's worth, and how to apply — in plain English.
(For the mainstream supports most families use — the Childcare Subsidy, 20 Hours ECE and FamilyBoost — see our government childcare funding guide.)
Which childcare payment fits your situation?
In a Family Start or Early Start programme, with a child aged 18 months–3 years? → Early Learning Payment (ELP)
Under 20 and in full-time education, training or work-based learning? → GCAP
Need before/after-school or holiday care for a 5–13-year-old? → OSCAR Subsidy
Working nights, weekends or on-call, and paying someone informally to mind your tamariki? → Flexible Childcare Assistance
None of the above? → You're most likely after the Childcare Subsidy, 20 Hours ECE and FamilyBoost — the supports most families use.
What is the Early Learning Payment (ELP)?
The Early Learning Payment covers the cost of early childhood education — up to 20 hours a week — for children aged 18 months to 3 years whose whānau are enrolled in a selected Family Start or Early Start programme. It's paid directly to an approved early childhood service, like Small Sprouts, so it comes straight off the fees.
Two useful things to know: if your family finishes with Family Start or Early Start, the payment can continue for the child it was being paid for — and ELP can't be claimed for the same hours as the Childcare Subsidy or GCAP (one payment per hour of care).
How to apply for ELP
1. Talk to your Family/Whānau Worker — they contact Work and Income on your behalf; that's the designed pathway.
2. The application uses Work and Income's Early Learning Payment form (S32W) — we complete the centre's section for you.
3. Once approved, payments go directly to us and your invoice simply shows less to pay.
What is the Guaranteed Childcare Assistance Payment (GCAP)?
GCAP helps parents under 20 who are in full-time education, training or work-based learning (travel time counts) with the cost of childcare, so study and parenting can happen at the same time. In 2026 it covers your actual childcare fees up to $6.38 an hour — up to $319 a week — paid directly to a licensed centre like Small Sprouts.
The fine print that matters: your child needs to be under 5 (slightly older in limited school-start situations); you can't get GCAP and the Childcare Subsidy for the same child; it doesn't cover optional charges or donations; and — genuinely family-friendly — it keeps being paid over term breaks and short illnesses so your child's place is held.
How to apply for GCAP
Talk to Work and Income (or your Youth Service provider if you have one) about eligibility — 0800 559 009.
Enrol with us and tell us you're applying — we'll complete the provider details and confirm hours.
Once approved, payments come straight to Small Sprouts.
What is the OSCAR Subsidy?
The OSCAR Subsidy helps with care for school-age tamariki (5–13): before and after school care up to 20 hours a week, and school holiday programmes up to 50 hours a week. It's income-tested using the same bands as the Childcare Subsidy — worth up to $6.72 an hour in 2026 — and paid directly to the approved OSCAR provider.
Being honest: OSCAR doesn't apply at Small Sprouts — we're an under-5s centre. But plenty of our whanau have older kids at school, and if you qualify for the Childcare Subsidy for your preschooler, there's a fair chance you qualify for OSCAR for their big brother or sister. Apply before the programme starts so the payment runs from day one.
What is Flexible Childcare Assistance?
Flexible Childcare Assistance is the odd one out: it helps with the cost of informal childcare — paying a nana, friend or neighbour — when you work non-standard hours (nights, weekends, rotating shifts) and formal childcare can't cover them. It's the one payment on this list that isn't used at a licensed centre; it's designed to fill the gaps around what centres like ours can offer. Eligibility and amounts depend on your circumstances, so it runs through a conversation with Work and Income — 0800 559 009.
Can you combine these payments?
Yes — with one golden rule: one payment per hour of care. You can't double up ELP, GCAP or the Childcare Subsidy on the same hours, and GCAP and the Childcare Subsidy can't both be paid for the same child. But different supports covering different hours — or different children — stack happily: a whānau might have OSCAR for the school-kid, the Childcare Subsidy for the preschooler, and FamilyBoost refunding 40% of what's still paid. If that sounds like a puzzle, it's one we solve for families every week.
Common questions
What's the difference between GCAP and the Childcare Subsidy?
GCAP is specifically for parents under 20 in full-time study or training, and isn't income-tested the same way; the Childcare Subsidy is the general income-tested payment for under-5s. You can only have one of them per child — Work and Income will set you up on whichever fits.
Is there childcare funding for a 2-year-old?
Yes — ELP if your whānau is in Family Start or Early Start, otherwise the Childcare Subsidy and FamilyBoost both apply from birth. And at Small Sprouts, our free 9am–3pm sessions for over-2s stack on top of whatever government support you receive.
Who does the money actually go to?
ELP, GCAP, the Childcare Subsidy and OSCAR are all paid directly to the childcare or programme provider — you just see a smaller invoice. Flexible Childcare Assistance is the exception, because it covers informal carers.
How Small Sprouts helps
We're a licensed, family-owned early learning centre in Stanmore Bay, Whangaparaoa, and we work with all of these payments (except OSCAR — wrong age group, and FCA — wrong care type, and we'll happily say so). We complete the provider sections of your forms, our invoices are FamilyBoost-ready, and our fees cover everything including all meals from our in-house cook.
Book a visit and bring your situation — we'll map out every dollar you're entitled to over a cuppa.
Information current at July 2026 and subject to change. All payments above: Work and Income, 0800 559 009.