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Childcare voucher changes 2018


childcare voucher changes 2018

Both schemes can be used to pay for childcare including clubs, tutors and childminders Credit: Bubbles Photolibrary/Alamy Stock Photo.
Changes to childcare vouchers, from, childcare voucher schemes will close to new applicants.
It depends on your situation.
Childcare vouchers are good for : Couples where one parent does not work, as they are not eligible for Tax-Free Childcare, but the employed parent is eligible for vouchers (provided their employer offers the scheme).Both parents (if they are together) must be working 16 hours a week and paid at least the national living wage.20 an hour.If you have already signed up to this scheme you do not need to do anything.How are the two schemes different? If you have not yet signed up you will need to do so before April 2018 or you could miss out.The new scheme will be open to single parents/couples who work eight or more hours a week, including self-employed, and who pay for Ofsted registered childcare for a child under the age of 12, or under 17 if the child is disabled.At the other end of the scale, if either parent earns more than 100,000, both parents are disqualified.Which scheme will be better for you - childcare vouchers or Tax-Free Childcare?The vouchers are also not offered by all employers, meaning that many people miss out.On the other hand, families with many children are more likely to benefit from the new scheme, as the system works on a per-child basis rather than per fahrenheit 451 book cover contest parent.It may be that case that youre eligible if you have a partner and one of you receives any of the following benefits: Carers Allowance, employment and Support Allowance, incapacity Benefit.Severe Disablement Benefit, the information above was from the Governments website to find out more click here.



Launching in April 2017, parents who opt into the scheme will give eligible families an extra 20 towards their childcare costs.
This could mean up to 2,000 per child as the scheme assumes a maximum of 10,000 per year childcare costs per child.
With childcare vouchers, each parent can spend 243 on childcare using vouchers each month no matter how many children they have, as long as the parent is a basic-rate taxpayer.
If you already get childcare vouchers, youll be able to continue to get them for as long as your employer runs the scheme, or as long as you stay with your employer.Tax-Free Childcare is once again intended to help parents with the cost of childcare, though it goes about it in a different way.Under the new tax-free childcare scheme, parents will have 20pc of their childcare costs each year met by the government, up to a limit of 2,000 a year per child.Anyone can apply, you do not have to earn any minimum amount and only one parent needs to be working.The childcare voucher scheme will close to new entrants in April 2018 but is likely to keep running for existing members after that this will be at the discretion of the employer.Are you eligible for Tax-Free Childcare?The new scheme that is set to replace is called Tax-Free Childcare.Eligibility for the Tax-Free Childcare scheme is much the same as for the outgoing childcare vouchers scheme.Childcare vouchers, ask your employer if they offer a childcare voucher scheme.


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