The Child Care Rebate and Child Care Benefit continues to baffle parents in terms of whether or not they're entitled to either or both, with 25% of parents in our survey saying they don't know if they're entitled or not, or they believe they are not eligible.

Half of the parents surveyed who had children currently in some form of child care are paying over $300 in child care fees per week. Around 12% of parents say they are not eligible for child care benefit, which is no surprise given that this benefit is means tested. But you may be pleasantly surprised to find out you are in fact eligible for up to $7500 per child per year in rebate.

Last year DEEWR estimated that there was over $200 million in unclaimed child welfare payments waiting for Australian parents who have not got around to claiming or just don't know their entitlements.

In previous surveys we have revealed that over a third of parents with children in child care had not been assessed for eligibility for the child care benefit – almost half of which was simply not getting around to it because of the perception of the hassle of being assessed with Centrelink.

It might be a pain to register for child care benefit, and even if you're sure you wouldn't get it due to your family income, it is hugely beneficial to have that initial assessment – both for child care benefit (means tested) and also for child care rebate, which is where most families are missing out.

NB: You will not be registered for rebate unless you have been assessed for child care benefit. And even if you score a zero rating for child care benefit, the likelihood is that you are eligible for child care rebate.

Child Care Rebate is paid not only for long day care (child care centres), but also for family day care, vacation care and out of school hours care (for eligible services).

There are certain providers of nannies as well (some nanny and in home care agencies) who are registered as approved care themselves and therefore able to pass on the child care rebate to families who employ a nanny through them.

Weekly, Fortnightly, Monthly or quarterly…you choose
Since July 2011, parents have had the choice of electing annual, quarterly, fortnightly and even weekly payments of the rebate. This depends on how your child care service submits its attendance data to the government, but if the service chooses to submit on a weekly basis, then those families using that service may also receive the rebate weekly.

Child care centres are required by the Australian Government to submit their attendance data fortnightly, but many services submit data on a weekly basis.

This means that families whose services submit data weekly, can receive their Rebate weekly and those families, whose services submit data fortnightly, may receive a fortnightly payment.

You can also get your Child Care Rebate paid directly to your child care service and receive an immediate reduction on bills or continue to receive the rebate as a direct payment.

The option of more regular Child Care Rebate payments is a great way of reducing upfront costs of care and makes it easier for parents to manage the family budget without having to wait for quarterly or annual payments.

According to the government a family earning $80,000 with one child in full time care would be paying $240 per week in out-of-pocket costs – until they receive the rebate at the end of every quarter. By electing to be paid more regularly, the same family's out-of-pocket costs would be reduced to $138 per week.

So it's most definitely worth finding out if you are actually eligible because the rebate really can make a massive difference to the stress of juggling child care and work.

Following is the official information and criteria for child care benefit and rebate as set out by the Federal Government. It's well worth a read because it could save you up to $7500 per child, per year.

Overview - Child Care Benefit and Child Care Rebate
The Australian Government provides families with two types of financial assistance to help cover the costs of approved child care - the Child Care Benefit and the Child Care Rebate. It is important to remember that while Child Care Benefit is based on family income, the Child Care Rebate is not income tested.

Child Care Benefit
The Child Care Benefit is income tested and is usually paid directly to approved Child Care Services to reduce the fees that eligible families pay.

You can apply for the Child Care Benefit online or in person through Centrelink. To apply online, visit the Department of Human Services website.

Eligibility for the Child Care Benefit

• Your child must be attending approved child care or registered child care
• You or your partner must meet the residency and child's immunisation requirements
• You must be the person responsible for paying the child care fees

Child Care Rebate
An additional payment to the Child Care Benefit is the Child Care Rebate. The Rebate helps families cover the out-of-pocket costs of child care and it is not income tested. Even if your family income is too high for you to receive the Child Care Benefit, you may be eligible for the Child Care Rebate. It covers up to 50 per cent of out-of-pocket costs, up to $7,500 per child, per year.

You may choose to receive the Child Care Rebate paid fortnightly, either directly to your bank account, or through your child care service provider as a fee reduction. You still have the option of having your Child Care Rebate paid quarterly or annually as a lump sum directly to your bank account.

If you currently receive Child Care Rebate and would like to receive fortnightly payments for the next financial year, you will need to make this change with the Department of Human Services.

Out-of-pocket child care costs are calculated after deducting any Child Care Benefit payments that are received.

Eligibility for the Child Care Rebate

• You and your partner (if applicable) must have had work, training, study related commitments (or have an exemption) at some time during the week care is provided.
• You must be using approved child care.
• You or your partner must be an Australian citizen, a permanent resident living in Australia or be exempted from the Australian Government's residency requirements.
• Children under seven years of age must meet the Australian Government's immunisation requirements or have an exemption.
• You must be the one responsible for your child care costs. If your employer contributes to your child care through salary sacrificing or packaging, you should discuss with them who is responsible for the cost.

• You will need to apply for the Child Care Benefit first. There is no separate claim form for the Child Care Rebate. You can apply for the Child Care Benefit in person or online through the Department of Human Services
• You will automatically be assessed and paid if you are eligible when you apply for the Child Care Benefit (even if you are assessed at a zero rate for the Child Care Benefit due to your family's income)
• If you are eligible to receive the Rebate, it will be paid once Centrelink has received child care attendance details from your child care service.

Find out how much you could receive using the child care estimator on the Department of Human Services website. If you have any questions about the Child Care Benefit or Child Care Rebate contact the Department of Human Services on 13 24 68 for more information.