MSE News: Childcare Vouchers scheme to be extended

Former_MSE_Callum · 14 March 2018 at 9:35AM

Plans to end the Government's Childcare Vouchers scheme will be delayed by six-months, ministers have announced...

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'Childcare Vouchers scheme to be extended by six months'

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skybluearmyontour · 14 March 2018 at 2:17PM

As we are expecting our first child in May - this is big news...I think....

We won't be needing childcare until around the same time next year so will have to look into whether stockpiling is a good idea... It would help if I knew how much roughly we would spend a year on costs!!

Mrs_Cheshire · 14 March 2018 at 10:07PM

I contacted my husband's childcare voucher supplier yesterday to be told that we would't be able to do it, as we'd previously got vouchers 5 years ago and they aren't able to let us rejoin if we've not made a salary sacrifice in the last year. Has anyone else found this.

njc80 · 15 March 2018 at 2:25PM

This is great news as we're due to have our first child in July.

Childcare vouchers work out much more beneficial than the Tax Free Childcare. I'm a higher rate tax payer and my partner may not work the number of hours required to qualify for Tax Free Childcare. There's also the further benefit of receiving them until the child is 16 rather than 11.

As soon as the child is born we will apply for childcare vouchers, but can we request a small sacrifice to be taken immediately (£100 one-off, or £10 per month) so we can simply 'get the foot in the door' to qualify? We could either get a head start by building these vouchers up until childcare is needed when the baby is 9 months, or up the amount being sacrificed when the time is right?

Geht_fit · 15 March 2018 at 4:12PM

Great news! I am currently engaged in a dispute with payroll as I had applied during maternity leave.

My baby was born at the end of November and my husband applied for the full £243 pm from January - no problem.

For maternity leave it is a little more complex, as you are not able to sacrifice Statutory Maternity Pay, so the first 6 weeks at 90% or the weekly pay thereafter. If you receive Occupational Maternity Pay, this should be able to be sacrificed.

Interestingly, my payroll have declined to sacrifice my Occupational Pay as they do not want to continue with an employers contribution (at no cost to me) for the rest of my statutory leave. As at least one payment needs to have been made to qualify, I hope this announcement eases the discussion. It was heading towards me complaining about discrimination, so not sure whether to pursue or not...

Geht_fit · 15 March 2018 at 4:44PM

skybluearmyontour As we are expecting our first child in May - this is big news...I think....

We won't be needing childcare until around the same time next year so will have to look into whether stockpiling is a good idea... It would help if I knew how much roughly we would spend a year on costs!!

It might help to consider whether you will require term time or year round care. Year round sometimes excludes Christmas, so multiply costs by 50 weeks for the rough cost of a year. For term time only, multiply costs by 39 weeks.

This is what my local nursery charges:
Morning [8.30 to 1.30] £33.50 £36.00

School Day [8.30 to 3.30] £41.25 £44.25

Long Day [8.00 to 4.30] £46.50 £49.50

Full Day [8.00 to 5.30] £52.50 £55.50

CHILDREN must attend for at least TWO sessions each week (on TWO separate days).

This calculator is a great tool to work out how CCV and potential reduction in working hours could affect your income:
thesalarycalculator.co.uk

Hope this helps!

Geht_fit · 15 March 2018 at 4:52PM

njc80

As soon as the child is born we will apply for childcare vouchers, but can we request a small sacrifice to be taken immediately (£100 one-off, or £10 per month) so we can simply 'get the foot in the door' to qualify? We could either get a head start by building these vouchers up until childcare is needed when the baby is 9 months, or up the amount being sacrificed when the time is right?

As long as you're not requesting to sacrifice your Statutory Maternity Pay, you should be able to request up to the maximum amount to be sacrificed from Occupational Pay. Some employers limit the number of times in a year when the amount can be amended, so this might be worth checking with your employer? Usually you are allowed to request a change if there has been a significant change to your circumstances, so returning to work might count.

Hope this helps!

sheramber · 15 March 2018 at 8:24PM

njc80 wrote: »

This is great news as we're due to have our first child in July.

Childcare vouchers work out much more beneficial than the Tax Free Childcare. I'm a higher rate tax payer and my partner may not work the number of hours required to qualify for Tax Free Childcare. There's also the further benefit of receiving them until the child is 16 rather than 11.

As soon as the child is born we will apply for childcare vouchers, but can we request a small sacrifice to be taken immediately (£100 one-off, or £10 per month) so we can simply 'get the foot in the door' to qualify? We could either get a head start by building these vouchers up until childcare is needed when the baby is 9 months, or up the amount being sacrificed when the time is right?

You cannot apply until your first child is born

Icequeen99 · 16 March 2018 at 9:49AM

Mrs_Cheshire wrote: »

I contacted my husband's childcare voucher supplier yesterday to be told that we would't be able to do it, as we'd previously got vouchers 5 years ago and they aren't able to let us rejoin if we've not made a salary sacrifice in the last year. Has anyone else found this.

They have informed you incorrectly. That rule doesn't kick in until after October 18 now. So anyone can join before October 18, afterwards only those who have had a voucher in the last year.

IQ

KatTiddy26 · 16 March 2018 at 1:15PM

Hey!

If I contribute into the childcare voucher scheme but I don't have to pay for child-care out of term time as my child minder is a term time only contract... can I opt out during the 6 week holidays and opt back in?

Also if I manage to stock pile extra into my account if it is a half term included month of pay, can my child care provider take more than the £243 maximum in a month to use up the stock pile??

Help! :money:

Paparika · 16 March 2018 at 2:45PM

KatTiddy26 wrote: »

Hey!

If I contribute into the childcare voucher scheme but I don't have to pay for child-care out of term time as my child minder is a term time only contract... can I opt out during the 6 week holidays and opt back in?

Also if I manage to stock pile extra into my account if it is a half term included month of pay, can my child care provider take more than the £243 maximum in a month to use up the stock pile??

Help! :money:

As long as you are signed back up to take a voucher for September yes.

You decided how much you want to pay your carer, if you have £1000 and want to pay them then that's absolutely fine.

MSE News: Childcare Vouchers scheme to be extended

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