NI credits for childminding Grandson

parkerparker

I'm a bit confused by this.

My Wife looks after Grandson twice a week (12 hours per day) while his Mum (our Daughter) works part time.

Filled in the on-line NI credit form OK. But at the end it requires Daughter's signature and an agreement "to the applicant receiving the credits for the period(s) shown in this application"....

Does this mean that the credits are taken from our Daughter and given to my Wife? Or do they both receive NI for the applicable period(s)?

Thanks in advance.

pmlindyloo

I am wondering if the OP is referring to this:

https://www.gov.uk/government/news/looking-after-the-grandchildren-make-sure-it-counts-towards-your-state-pension

or is this no longer applicable?

p00hsticks

These credits are only available if

"the child’s parent (or main carer) is entitled to Child Benefit and has a qualifying year for National Insurance without needing the parent’s class 3 NI credits which they receive automatically from Child Benefit"

(quoted from https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/237239/specified-adult-childcare-credits.pdf )

so effectively it's transferring the NI credits relating to Child Benefit that are not needed by the Child benefit recipient (because they are working and so get NI credits via work) to another relative who is caring for the child so that they can do that work...

p00hsticks

pmlindyloo wrote: »

I am wondering if the OP is referring to this:

https://www.gov.uk/government/news/looking-after-the-grandchildren-make-sure-it-counts-towards-your-state-pension

or is this no longer applicable?

It's applicable, and that's what I've assumed the OP is referring to in my response above.

parkerparker

p00hsticks wrote: »

It's applicable, and that's what I've assumed the OP is referring to in my response above.

Yes that's what I am referring to.

I was sure I knew how it worked.........until I read the declaration at the end which gives the impression that the Parent transfers their NI to the qualifying Carer (Grandmother).

Many thanks to all for taking the time to reply.

sammyjammy

Be sure to check your daughter is actually paying NI in her part-time job otherwise she will lose the NI protection towards her own pension.

p00hsticks

sammyjammy wrote: »

Be sure to check your daughter is actually paying NI in her part-time job otherwise she will lose the NI protection towards her own pension.

According to the document I quoted above, if the daughter ISN'T earning enough through work for it to count as a qualifying NI year for her pension then the grandmother won't be entitled to the Adult Childcare credits either.

I'm no expert but I think that the important figure when considering if you earn enough to be building up NI years for a state pension is the Lower Earnings Limit (LEL) - it's possible to earn over above this limit but not enough to actually have to pay NI.

p00hsticks

parkerparker wrote: »

I was sure I knew how it worked.........until I read the declaration at the end which gives the impression that the Parent transfers their NI to the qualifying Carer (Grandmother).

They do - they are transferring the NI credits that come automatically with Child Benefit to the carer. But as per my previous post, they can only do this if they don't need them because they are getting a qualifying NI year via their paid work anyhow.

parkerparker

p00hsticks wrote: »

According to the document I quoted above, if the daughter ISN'T earning enough through work for it to count as a qualifying NI year for her pension then the grandmother won't be entitled to the Adult Childcare credits either.

I'm no expert but I think that the important figure when considering if you earn enough to be building up NI years for a state pension is the Lower Earnings Limit (LEL) - it's possible to earn over above this limit but not enough to actually have to pay NI.

My daughter (NHS Staff Nurse) pays NI contributions.

The declaration wording just seemed a bit odd.......sounding like my Daughter would automatically lose her NI contribution for the year(s) claimed by me Wife. I guess it's a one size fits all circumstances declaration.

Thanks for the explanation.

CathA

parkerparker wrote: »

I'm a bit confused by this.

My Wife looks after Grandson twice a week (12 hours per day) while his Mum (our Daughter) works part time.

Filled in the on-line NI credit form OK. But at the end it requires Daughter's signature and an agreement "to the applicant receiving the credits for the period(s) shown in this application"....

Does this mean that the credits are taken from our Daughter and given to my Wife? Or do they both receive NI for the applicable period(s)?

Thanks in advance.

Hi hope you don't mind me asking, but I'm in the same position. i. e. I will be looking after my grandson again when my daughter starts work later this year.
Is your wife a registered child minder and does your daughter give her anything for doing it?
Thank you.

parkerparker

CathA wrote: »

Hi hope you don't mind me asking, but I'm in the same position. i. e. I will be looking after my grandson again when my daughter starts work later this year.
Is your wife a registered child minder and does your daughter give her anything for doing it?
Thank you.

Sorry, only just seen this.

My wife is not a registered child minder and doesn't get paid for doing it.