Fact Sheet on Child Care
Save money with childcare assistance -
Your employer saves - as well!
A tax and NI free allowance of £55 per week (£243 per month) is available towards th cost of childcare and can be claimed by all parents. Both parents can claim the allowance, even if they
work for the same employer.
This is normally provided by your employer by way of a salary sacrifice arrangement, and saves your employer £373 per annum per employee.
The saving to you is £943 per annum if you are a 20% tax payer and £1172 if you pay tax at 40%.
To qualify for this tax and NI free benefit your Childcarer must be registered under the appropriate legislation, which includes registered Nurseries and Preschool organizations and Nannies.
It should be noted that your employer does not need to subscribe to a Voucher scheme, but may enter into a contract direct with the Childcarer and pay them monthly against an invoice.
Further information is available from Nationwide Payroll Company:
Tel: 01536 262 100 Fax: 01536 262 601
Email: info@nationwidepayroll.co.uk
Further information can be obtained from:-
http:/ www.hmrc.gov.uk/wtc5.pdf
http:/www.ofsted.gov.uk
