childcare help

paberley1

Hi my husband has just left me leaving me with 2 little kids 3 and 9 months!
I work part time 24 hrs and earn approx 18k just been reading that although I have childcare vouchers from work obviously saving me the tax and NI on the £243 I could be better off by claiming the tax credits. Used the ready reckoner on here and if def looks that way.

The kids go to nursery 2 days per week costing £62 each day. My husband is continuing to use his voucher entitlement to pay £243 per month but would I really be better off using the benefits?

Any wizz kids on this please let me know
thanks

mummy_Jay

From the HM revenue and custom website

"
Your family will generally be worse off or, at best, no better off accepting childcare vouchers in return for a salary sacrifice if you can answer 'yes' to both of the following:

• You are receiving tax credits of more than £545 per year (or £1090 per year if you have a baby aged under one) and you are claiming for your childcare costs.
• Your eligible childcare costs are no more than £175 per week if you have one child or £300 per week if you have two or more children. "

Have a read through the whole page yourself, it will give you a better understanding.

http://www.hmrc.gov.uk/childcare/interaction-tc-cv.htm

Ama

paberley1 wrote: »

Hi my husband has just left me leaving me with 2 little kids 3 and 9 months!
I work part time 24 hrs and earn approx 18k just been reading that although I have childcare vouchers from work obviously saving me the tax and NI on the £243 I could be better off by claiming the tax credits. Used the ready reckoner on here and if def looks that way.

The kids go to nursery 2 days per week costing £62 each day. My husband is continuing to use his voucher entitlement to pay £243 per month but would I really be better off using the benefits?

Any wizz kids on this please let me know
thanks

Hi
I'm sorry to hear about your husband leaving.

I think the ready rekoner is correct and more than likely you would be better off claiming tax credits. Have you contacted revenue and customs yet?

You need to let them know what you earned in the financial year 0809. The information will be on your P60. The figure on your P60 is what you need to give to them. If you were on maternity leave, then you need to let them know as they disregard some of your income.

It is important to be aware that if your husband is paying for part of your childcare costs, then you cannot claim that part from revenue and customs. Can he give you cash instead? as revenue and customs will not take that into account.

Hope this helps but feel free to post any further questions and I will respond if I have anything sensible to say.
Best wishes