Did you know about the Government tax free childcare scheme? Not everyone entitled to it is aware of the scheme, so check out the guide below and see if you’re eligible.
What is it?
It’s a scheme where the government will top up your childcare costs up to £2000 per year, per child. Basically, every £8 you spend on your childcare provision, the Government will add £2. You can apply for the scheme here and check if you’re eligible. It can be used for a range of childcare activities, not just usual childminder or nursery fees. It can also be used to pay towards after school clubs, play schemes and home care agencies.
Do I Qualify?
The scheme is open to working parents, with children under the age of 12, or under the age of 17 if your child is classed as disabled. You and your partner must earn (on average) £131 per week, which is around 16 hours at the National Minimum Wage. You could still be eligible if your or your partner are on maternity, paternity or adoption leave, or if you can’t work through disability or caring responsibilities. You can check the full list of eligibility here.
If you earn over £100,000 per year, you won’t be eligible.
You can use your tax free childcare alongside 15 or 30 hours free childcare. But, if you receive tax credits, childcare vouchers or universal credit, you cannot get tax free childcare at the same time, but check on the calculator in case you would be better off on a different scheme.
Check the details on the Government website – you can apply directly from there. It’s quick and easy to set up if you qualify. You just then reconfirm your situation every 3 months to continue to receive the additional funds from the Government.
So, what’s this got to do with The Wage Shop?
Our great advice is just part of your simple, flexible service. With The Wage Shop, we make sure you’re paid on time and take care of your Tax and National Insurance contributions, leaving you to focus on other important things.