The Senate sat late into Thursday night to pass federal government’s childcare package, which they claim will benefit one million families.

Under the $1.6 billion package, a family earning less than $65,000 a year will pay just 15 per cent of their childcare fees with taxpayers footing the remainder of the bill.

The means-and-activity tested subsidy, which requires both parents to work, study, volunteer, or search for work for at least eight hours a fortnight, tapers down to 20 per cent for those earning $340,000.

All subsidies cut off for families earning more than $350,000.

Here’s what you need to know about the changes to childcare fee subsidies:

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