tax-free childcare Archives | Little Acorns Nursery School https://www.littleacornsnursery.school/tag/tax-free-childcare/ Mon, 15 Apr 2024 12:34:15 +0000 en-GB hourly 1 Childcare Funding Options (a Quick Guide) https://www.littleacornsnursery.school/childcare-funding-options-guide/ Thu, 15 Dec 2022 08:00:09 +0000 https://www.littleacornsnursery.school/?p=5433 We explain the various childcare funding schemes in England, including an at-a-glance overview of what's available, eligibility and how to apply.One of the first challenges when considering childcare for your little one is how to fund it. If you're an affluent family, then great. However, if childcare costs will be a more significant hurdle to overcome, the good news is that there are lots of options available. Either way, it will help to be well-informed about the various childcare funding schemes on offer from the Government. There are quite a few of them and some are extremely generous and surprisingly easy to obtain. Today's Quick Guide to Childcare Funding Options in England will give you an at-a-glance overview of what's available, the key eligibility criteria and how to apply. Note, though, that they generally fund in-person childcare only from approved providers (like Little Acorns). Take a look at the many options ...]]> Are You Due £2,000 in Help for Childcare? Rough Guide to Tax-Free Childcare https://www.littleacornsnursery.school/tax-free-childcare-guide/ Wed, 13 Jul 2022 15:02:39 +0000 https://www.littleacornsnursery.school/?p=4374 Each year, around 1 million families miss out on thousands of pounds in free childcare funding, despite being eligibleEach year, around 1 million families miss out on thousands of pounds in free childcare funding — despite being eligible through the Government's Tax-Free Childcare scheme. Are you one of them? In today's guide, we take a look at Tax-Free Childcare, which could effectively contribute anywhere from £2,000 to £4,000 per child, per year, towards childcare costs for eligible families. Those are significant sums, which could really help families, especially with the rising cost of living. The funding is there for for the taking if you're eligible So, don't miss out! Let's take a look.

What is Tax-Free Childcare?

In effect, the Tax-Free Childcare scheme subsidises childcare costs by utilising the tax that eligible families would ordinarily have pre-paid on the taxed income they use to pay for childcare. Specifically, the Government will add an extra £2 for every £8 that eligible families pay into a special account used childcare costs — even more if the child has disabilities. We'll explain more about the childcare account later, but the good news is that you can get as much as £2,000 per child per annum if you're eligible, or up to twice that if your child has disabilities. That's a lot of money!

Who is Eligible for Tax-Free Childcare?

We explain who is Eligible for Tax-Free Childcare.Families, including single parent families, are usually eligible for tax-free childcare scheme if they meet the following criteria:
  • The claimants are working (employed or self-employed) in the UK;
  • They each earn under £100,000 per annum;
  • They each earn at least £152 per week, which is £1,976 over the next 3 months (the equivalent of 16 hours per week at the National Minimum Wage or National Living Wage at time of writing);
  • They are not in receipt of childcare vouchers (which are closed to new applicants anyway), Universal Credit, Tax Credits or a childcare bursary/grant;
  • Parents/carers/guardians are over 16;
  • Children for whom they are claiming tax-free childcare is/are no older than 11 years of age or, if they have disabilities, no older than 16;
  • They should usually be living with the parent/carer/guardian(s) making the claim.
The above list represents the key rules governing eligibility for most families. However, there are some additional rules around eligibility — and some welcome exceptions to the above. For example ...]]>