Childcare Voucher Scheme is closing on 4th October 2018 – last chance to make savings!

Childcare Vouchers allow you to pay up to £243 per month to a childcare provider: the £243 is deducted from your gross pay. Therefore you save tax and Employees National Insurance, and the employer saves Employers National Insurance. This means the employee saves up to £933 per year in cash terms (£1,866 for two parents). It is more beneficial than the replacement scheme which is called Taxfree Childcare. This saves tax but not National Insurance. A family can save up to £2,000 under tax-free childcare, but to do that you would need to be paying £10,000 for childcare. For most lower income people, the savings are greater under the Childcare Voucher Scheme. So if you are not already doing it, I encourage you to sign up now! Get in touch if you want to know how, or contact one of the providers, such as Edenred.

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