Ltd company and childcare vouchers

bengal128

Hi, I have recently transferred from sole trader to ltd company and I have been told I can claim childcare vouchers by setting up scheme through company, is it easy and can anyone recommend a childcare voucher company? Many thanks

Brighty

You don't need a voucher company. You make your own voucher (my accountant sent me a word template), give one copy to your childminder, keep one for your records, pay for childcare the out of the company account, then your accountant will take care of adjusting your tax bill accordingly.


Brighty

superbigal36

kiddivouchers.com
I heartily recommend both from employee and employer perspective

bengal128

Thanks guys, Brighty, did you just do paper voucher, file it yourself and then accountant takes £234 a month off before your salary paid? Will look at tat website also. Thanks again.

Brighty

Back when I did it (stopped being self employed end of 2012) I just created a paper voucher, signed it, scanned it, gave paper copy to childminder for her records, filed the scanned pdf for mine. Paid the childminder as usual, then emailed vouchers to my accountant each month with my expenses etc, they then worked it all out.
Think it's best you pay the childminder out of the company account rather than your personal one nowadays according to a few websites I've seen



Voucher companies charge fees, usually between 3.5-10% of voucher value, so why pay if you don't need to.


A few links
http://a4cgroup.co.uk/childcare-guide-for-contractors/
http://www.sjdaccountancy.com/about/ourservices/childcare_vouchers_contractor_guide.html
http://www.contractorcalculator.co.uk/contractor_childcare_costs_throughlimited_company.aspx


Brighty

superbigal36

And your accountant does not charge fees ?

Brighty

Not additional fees for the vouchers, no. Even if you use a voucher company, you'd still need an accountant to do your company books and calculate how much tax to pay, unless you do it yourself, in which case you still don't need a voucher company.
Why pay a voucher company out of your company account, just for them to take a cut and forward what's left to your childminder, that's all they would be doing, you'd still have to do the accounting yourself, or pay an accountant.


Brighty

bengal128

Brighty, you're a star. I've spoken to my afterschool club and they're happy for me to set up my own vouchers. Is there anything in particular I need to put on the voucher? Obviously my child's names, amount, date and month. Signed by my company. I take itthat woukd cover it? Thanks again.

NYM

If your limited company is making its own vouchers, here are a few HMRC rules to abide by:

• Contain company name and logo
• Voucher’s value
• A statement that the voucher is non-transferable
• The employee’s name/payroll number and a number unique to each voucher
• Instructions for how the child carer can claim payment
• A space for the child carer’s name and postal address, bank address and account number for making payment.

*edit* Any invoice issued by the provider must be in the name of the Company.

The Childcare provider must be registered or approved.
https://www.gov.uk/childcare-tax-credits/eligibility