Childcare options so confusing!!

fionah82

Can anyone help me work out whether childcare vouchers or Tax-free childcare is better for my situation.

I have a 5 year old (started school) and 6 month old. I will be returning to work next year working 25-30 hours. My husband is self-employed. We're both basic rate tax payers.

Up to this point I have been on the childcare voucher scheme via work but my husband isn't eligible for this. Now that we have two children I'm wondering if we'd be better off in the Tax-free childcare scheme.

Our childcare costs will be around £100 per month for the 5 year old and between £600-£750 for my daughter depending on what hours I do on my return.

I'm finding the calculators and various guides very confusing to work out which scheme we'd be better off under...

Thanks in advance for any advice!!

pmlindyloo

https://www.moneysavingexpert.com/family/childcare-costs

Does this article help?

fionah82

Not really. I did find a calculator on kiddivouchers website that seemed to suggest we may be better off on tax free childcare as the maximum we can get in vouchers is £933 whereas through the other it is up to £2000 per child.

I just hoped that someone may have been in a similar situation or know the ins and outs better than I...?

spadoosh

Its a pretty comprehensive article that covers the ins and outs. If you read it theres links that go to other articles in which you can find further information which im certain should clarify a few things for you.

Unless your willing to divulge all your financial affairs no one can tell you which option will be best.

Darksparkle

https://www.gov.uk/childcare-calculator