The Childcare Voucher scheme offers working parents the opportunity to swap part of their pre-tax salary to pay for registered childcare (including breakfast and after school clubs, some holiday schemes, childminders and day nurseries). Two parents using the scheme can save up to £1,866 a year. Parents can join the scheme from when their child is born, and can sacrifice a nominal amount, for example £1, up to £243 per month.
Remember, even if you aren’t paying for childcare now, you may need to do so in the future if your circumstances change. To give yourself the option of using Childcare Vouchers you will need to have joined the scheme before it closes to new entrants.
Those who have temporarily opted out of using Childcare Vouchers, but want to have the option of using the scheme in the future, just need to have made at least one salary sacrifice (even £1 is sufficient) in the 52 weeks before it closes to new entrants. To remain in the scheme, parents need to make at least one salary sacrifice per year.
Anyone interested in joining the scheme, needs to do so now, as it is due to close to new entrants from 4 October.
Childcare Vouchers are an important means of financial support for working parents and Employers For Childcare campaigning to secure the long term provision of the scheme, alongside Tax-Free Childcare, as part of a comprehensive and flexible package of childcare support for working families. You can support the campaign by lobbying your MP and telling him/her why Childcare Vouchers should be kept open to new entrants – find out how on our website.
For further information on what financial support might be available to you, or to join the Childcare Voucher scheme, contact our Family Benefits Advice Service on 0800 028 3008 or email email@example.com