Wisconsin Department of Children and Families - Division of Early Care and Education
Bureau of Child Care Subsidy Administration

Wisconsin Shares Handbook

 

 

Appendix III Benefit Calculation Examples

This Appendix provides examples of how benefits are calculated in certain scenarios. CSAW completes these calculations systematically; these examples are for illustrative purposes to show how the system works. For more information, see the CSAW User Guide – Benefit Calculations.

Note: Starting with the October 2023 benefit calculation, the benefit calculation will use 30 weekly hours when the child’s average weekly authorized hours are 20 hours or less (part-time authorization) and 35 weekly hours when the child’s average weekly authorized hours are more than 20 hours (full-time authorization) (see 18.5).

 

Copayments Under 200% FPL  

Example 1 (Two (2) children, one (1) provider)  

Juniper’s income places her family at 115% FPL. Juniper’s two (2) children, Fantasia and Kyle, attend Sally’s Day Care Center for 20 hours per week each. Juniper’s total family copayment per month is $170.30.  

The calculation details are:  

Copayment Per Hour for 115% FPL: $0.65  

Fantasia: Part-time authorization based on a child care need of 20 hours per week. 30 weekly hours (part-time conversion) x 4.348125 weeks per month = 130.44 (131 monthly hours)

Kyle: Part-time authorization based on a child care need of 20 hours per week. 30 weekly hours (part-time conversion) x 4.348125 weeks per month = 130.44 (131 monthly hours)  

Total Monthly Family Hours: 131 + 131 = 262  

Total Family Copayment: $0.65 x 262 = $170.30   

In the summer, Juniper’s two (2) children begin attending 40 hours per week each. Juniper’s full-time total family copayment is $197.60.  

The calculation details are:  

Copayment Per Hour for 115% FPL: $0.65  

Fantasia: Full-time authorization based on a child care need of 40 hours per week. 40 hours per week x 4.348125 weeks per month = 173.92 (174 monthly hours, capped at 152 monthly hours)  

Kyle: Full-time authorization based on a child care need of 40 hours per week. 40 hours per week x 4.348125 weeks per month = 173.92 (174 monthly hours, capped at 152 monthly hours)  

Capped Monthly Hours for Copayment: 152 + 152 = 304  

Total Family Copayment: $0.65 x 304 = $197.60  

 

Example 2 (Two (2) children, two (2) providers)

Monique works 30 hours per week on second shift. Monique’s income places her family at 75% FPL. Monique has two (2) children, Genesis and Jasmine. Genesis attends Lil’ Buddies for 28 hours per week. Jasmine attends Jumpin’ Around in the afternoon for 8 hours per week, and Lil’ Buddies in the evenings for 28 hours per week. Monique’s total family copayment is $69.92 per month.

The calculation details are:  

Copayment Per Hour for 75% FPL: $0.23  

Genesis: Full-time authorization based on a child care need of 28 hours per week. 35 weekly hours (full-time conversion) x 4.348125 weeks per month = 152.18 (153 monthly subsidized hours)  

Jasmine (Jumpin' Around): Part-time authorization based on a child care need of 8 hours per week. 30 weekly hours (part-time conversion) x 4.348125 = 130.44 (131 monthly subsidized hours)  

(Lil’ Buddies) Full-time authorization based on a child care need of 28 hours per week. 35 weekly hours (full-time conversion) x 4.348125 = 152.18 (153 monthly subsidized hours)   

Jasmine Total Hours for Copay: 131 + 153 = 284 monthly hours (capped at 152 monthly hours for copayment)   

Total Monthly Family Hours: 152 + 152 = 304 monthly hours for copayment (437 uncapped monthly hours)  

Family Copayment: $0.23 x 304 = $69.92   

The copayment distribution is:  

Genesis: 153 monthly hours ÷ 437 monthly uncapped hours = 35.01% of copayment

Copayment distribution: $69.92 x .3501 = $24.48  

Jasmine Authorization for Jumpin’ Around: 131 monthly hours ÷ 437 monthly uncapped hours = 29.98% of copayment   

Copayment distribution: $69.92 x .2998 = $20.96   

Jasmine Authorization for Lil’ Buddies: 153 monthly hours ÷ 437 monthly uncapped hours = 35.01% of copayment   

Copayment distribution: $69.92 x .3501 = $24.48   

 

Copayments Over 200% FPL  

Renee’s income places her family at 207% FPL at renewal in April. Based on that information, Renee’s family is determined to be in the Exit period. Renee’s two (2) children, Suki and Sahara, attend Joe’s Quality Day Care for 15 hours per week each. Renee’s total family copayment is $430.52.   

The calculation details are:  

Copayment Per Hour for 200% FPL: $1.46   

Suki: Part-time authorization based on a child care need of 15 hours per week. 30 weekly hours (part-time conversion) x 4.348125 weeks per month = 130.44 (131 monthly hours)   

Sahara: Part-time authorization based on a child care need of 15 hours per week. 30 weekly hours (part-time conversion) x 4.348125 weeks per month = 130.44 (131 monthly hours)  

Total Monthly Family Hours: 131 + 131 = 262 monthly hours  

Initial Copayment: $1.46 x 262 = $382.52   

 

Additional Exit Copayment: $48 (207% FPL for an AG Size of 3)  

Total Family Copayment: $382.52 + $48 = $430.52   

 

Renee receives a raise in December that places her family’s income at 212% FPL. Renee’s total family copayment increases to $464.52.  

The calculation details are:  

Copayment Per Hour for 200% FPL: $1.46   

Total Monthly Family Hours: 262  

Initial Copayment: $1.46 x 262 = $382.52  

(This part stays the same, as Renee has not requested additional hours)  

Additional Exit Copayment: $82 (207% FPL for an AG Size of 3)  

Total Family Copayment: $382.52 + $82 = $464.52 

 

Assuming the Full Cost of Care  

Example 1 (No Subsidy Amount)  

At her annual renewal in August, Ebony’s income places her family at 235% FPL. Ebony has one (1) child, Aiesha, who is 4 years old and attends Bundles of Fun in Buffalo County for 10 hours per week. Bundles of Fun is a Licensed Family provider.  

The calculation details are:  

Copayment Per Hour for 200% FPL: $2.34   

Aiesha: Part-time authorization based on a child care need of 10 hours per week. 30 weekly hours (part-time conversion) x 4.348125 weeks per month = 130.44 (131 monthly hours) 

Total Monthly Family Hours: 131  

Initial Copayment: $2.34 x 131 = $306.54   

Additional Exit Copayment: $191 (235% FPL for an AG Size of 2)  

Total Family Copayment: $306.54 + $191 = $497.54   

 

Buffalo County Licensed Family Hourly Maximum for 4yo: $3.71

Initial subsidy amount (prior to any reductions): $3.71 x 131 hours per month = $486.01  

In this example, Ebony’s total family copayment ($497.54) exceeds her initial subsidy amount ($486.01). As CSAW subtracts the total family copayment from the subsidy amount prior to loading the funds, no funds would be loaded to Ebony’s EBT card.  

 

Example 2 (Small Subsidy Amount)  

At her annual renewal in August, Sarafina’s income places her family at 225% FPL. Sarafina has one (1) child, LaTanya. LaTanya is 6 years old and attends Reading Rainbow in Price County for 10 hours per week. Reading Rainbow is a Licensed Family provider.  

The calculation details are:  

Copayment Per Hour for 200% FPL: $2.34   

LaTanya: Part-time authorization based on a child care need of 10 hours per week. 30 weekly hours (part-time conversion) x 4.348125 weeks per month = 130.44 (131 monthly hours)  

Total Monthly Family Hours: 131  

Initial Copayment: $2.34 x 131 = $306.54   

Additional Exit Copayment: $136 (225% FPL for an AG Size of 2)  

Total Family Copayment: $306.54 + 136 = $442.54   

 

Price County Licensed Family Hourly Maximum for 6yo: $3.43  

Initial subsidy amount (prior to any reductions): $3.43 x 131 = $449.33 

In this example, the initial subsidy amount ($449.33) is $6.79 more than the total family copayment ($442.54). The $6.79 would be loaded to Sarafina’s EBT card. Sarafina will remain eligible in CWW due to continuing to meet financial and nonfinancial requirements, and her authorization must remain in place (unless Sarafina requests that the agency worker end the authorization).  

 

Parent Share  

Destiny has two (2) children, Laylah and Malik, who attend Smiles R Us in Milwaukee County for 25 hours per week each. Laylah is four (4) years old and her total Wisconsin Shares monthly subsidy amount is $1,007.69. Malik is two (2) years old and his total Wisconsin Shares monthly subsidy amount is $1,115.75. Smiles R Us is a Licensed Group center and charges $1,521.84 per month ($350 per week) for four-year-old children and $1,717.51 ($395 per week) for two-year-old children.   

Destiny is responsible for paying the provider the difference between the subsidy amount and the amount the provider actually charges. Destiny’s monthly subsidy amount for both children is $1,007.69 + $1,115.75 = $2,123.44 and the provider’s actual price for both children is $1,717.51 + $1,521.84 = $3,239.35. The provider price of $3,239.35 minus the subsidy amount of $2,123.44 equals $1,115.91. Destiny can expect to pay a total “parent share” of $1,115.91 to the provider for the month. The provider may choose to charge Destiny a lesser amount, but this is a decision between Destiny and her provider. 

The calculation details are:  

Copayment Per Hour for 175% FPL: $1.24   

Laylah’s Monthly Hours: Full-time authorization based on a child care need of 25 hours per week. 35 weekly hours (full-time conversion) x 4.348125 = 152.18 (153 monthly subsidized hours, 152 copayment hours)  

Malik’s Monthly Hours: Full-time authorization based on a child care need of 25 hours per week. 35 weekly hours (full-time conversion) x 4.348125 = 152.18 (153 monthly subsidized hours, 152 copayment hours)  

Total Family Hours for Copayment: 152 + 152 = 304 

Total Family Copayment: $1.24 x 304 = $376.96   

Amount distributed to each child: $188.48 (50% of the sum is applied to each child because each is enrolled for the same number of hours)  

Laylah’s Authorization: 153 hours per month  

Milwaukee County Licensed Group Hourly Maximum for 4yo: $7.86   

Monthly Maximum for Licensed Group for 4yo in Milwaukee County: $1,196.17   

Monthly Provider Price for 4yo at Smiles R Us: $350/week x 4.348125 = $1,521.84  

Laylah’s Subsidy Amount after Copayment: $1,196.17 - $188.48 = $1,007.69  

Expected Parent Share for Laylah: $1,521.84 - $1,007.69 = $514.15     

 

Malik’s Authorization: 153 hours per month  

Milwaukee County Licensed Group Hourly Rate for 2yo: $8.57   

Monthly Agency Ceiling for Licensed Group for 2yo in Milwaukee County: $1,304.23  

Monthly Provider Price for 2yo at Smiles R Us: $395/week x 4.348125 = $1,717.51   

Malik’s Subsidy Amount after Copayment: $1,304.23 - $188.48 = $1,115.75   

Expected Parent Share for Malik: $1,717.51 - $1,115.75 = $601.76  

 

This section last updated 10/1/2023