childcare vouchers

Killmark

I'm trying to work out whether childcare vouchers would be worthwhile for us for the 2012-2013 tax year.

2011-2012 gross earnings £9,600 + £13,940 = £23,540
2012-2013 gross earnings £23,000 + £17,000 = £40,000 (£15,562 + £11,940 = £27,502 net after childcare vouchers )

£27,502 - £12,350 (childcare costs) + £5832 (childcare vouchers) + £1,762 (CB) = £22,746 net

As opposed to going down to one gross income of £23,000 (17,282 net), I'm estimated that CTC+CB for two children would be approx £5,200 so £22,482 net)

This is based from what I've seen when trying to look for info on tax credits for 2012-2013 so not sure if I've made a flaw in my calculations but the net difference between the scenarios is +£262 per year if both parents work full time.

Judith_W

There's a calculator you can use: http://www.hmrc.gov.uk/calcs/ccin.htm for the childcare element of working tax credits, dunno about the rest