Ridiculous Childcare costs!

Maniza

I’m at my wits end with the sky high childcare costs we have for a 1 year old in nursery and a 5 year old in after school club.  My husband and I have a joint income of around £42,000, but childcare costs of around £900 a month.  I work 3 days a week and feel that all my salary is just paying the costs for the childcare and nothing left over after that.  We use the government scheme where we get 20% help for them, however I wonder if I should just reduce my hours for the next few years at work and see if I can get some sort of help from benefits or or universal credit or something else I don’t know about.  I’ve never claimed in my life, but at the moment it feels that me working just isn’t worthwhile, but I don’t want to quit either.
Thanks for your help in advance!

poppy12345

Use a benefits calculator to check entitlement to UC. https://www.entitledto.co.uk/benefits-calculator/Intro/Home?cid=78253e71-ed31-4df7-81d2-991f6817f788

If you have savings/capital of more than £16,000 you're excluded from claiming. UC can also pay up to 85% of child care costs.

See link. https://www.gov.uk/help-with-childcare-costs/universal-credit

You would need to claim as a couple because it's a means tested benefit. Do be aware also that the standard allowance has been increased by £86 per month due to Covid which is expected to be reduced from October 2021.

TELLIT01

You don't say how many days child care and after school you are paying for,  but my nephew and his wife pay £720 per month for 3 days per week, for one child.  On that basis the amount you are being charged actually potentially looks low by comparison.

Sncjw

You would only get the two year funding on a strict criteria. 

sheramber

How much do you think a person qualified to be responsible for your children's  safety and welfare  should be paid?

Clouds88

How much do you earn a month? If for example its £1200 and you factor in commuting ect even without help from government it doesnt really seem working currently.

How about doing something like cleaning/care work in the evenings? You could probably earn £3-600 or however much a month by working a few evenings and doing all of the childcare yourself, plus obviously you have the added benefit of being with your baby more.

Thrugelmir

Everybody deserves a living wage. Having children is expensive and requires both sacrifices and forward planning. Enjoy the moment. As they'll soon grow up. Plenty of time in the future to enjoy yourself freely.  

kaMelo

Maniza said:

I’m at my wits end with the sky high childcare costs we have for a 1 year old in nursery and a 5 year old in after school club.  My husband and I have a joint income of around £42,000, but childcare costs of around £900 a month.  I work 3 days a week and feel that all my salary is just paying the costs for the childcare and nothing left over after that.  We use the government scheme where we get 20% help for them, however I wonder if I should just reduce my hours for the next few years at work and see if I can get some sort of help from benefits or or universal credit or something else I don’t know about.  I’ve never claimed in my life, but at the moment it feels that me working just isn’t worthwhile, but I don’t want to quit either.
Thanks for your help in advance!

You're thinking in the here and now rather than the longer term. Currently you feel like you're working to just pay childcare but this is only temporary, they grow up and go to school very quickly. When that happens you will still be working as you are so much better off financially going forward.
If you drop hours temporarily will the opportunity to increase them be there in the future, will you take them? As your income drops so will your pension contributions, both yours and your employers, will you ever be able to make that up?
These are the kind of choices that people, usually women, make as working to fund childcare seems not worth it at the time. It's also the classic mistake that in ten years time leaves the person who made that choice, usually women, still in insecure part time work with a pension worth a fraction of what it would otherwise have been.

It may not seem worth it currently but it is in the long term. 

Mizydoscape

kaMelo said:

Maniza said:

I’m at my wits end with the sky high childcare costs we have for a 1 year old in nursery and a 5 year old in after school club.  My husband and I have a joint income of around £42,000, but childcare costs of around £900 a month.  I work 3 days a week and feel that all my salary is just paying the costs for the childcare and nothing left over after that.  We use the government scheme where we get 20% help for them, however I wonder if I should just reduce my hours for the next few years at work and see if I can get some sort of help from benefits or or universal credit or something else I don’t know about.  I’ve never claimed in my life, but at the moment it feels that me working just isn’t worthwhile, but I don’t want to quit either.
Thanks for your help in advance!

You're thinking in the here and now rather than the longer term. Currently you feel like you're working to just pay childcare but this is only temporary, they grow up and go to school very quickly. When that happens you will still be working as you are so much better off financially going forward.
If you drop hours temporarily will the opportunity to increase them be there in the future, will you take them? As your income drops so will your pension contributions, both yours and your employers, will you ever be able to make that up?
These are the kind of choices that people, usually women, make as working to fund childcare seems not worth it at the time. It's also the classic mistake that in ten years time leaves the person who made that choice, usually women, still in insecure part time work with a pension worth a fraction of what it would otherwise have been.

It may not seem worth it currently but it is in the long term. 

This ^

If your lifestyle is affordable now and you can pay all the bills on your husband's salary then perhaps consider the long term benefits of staying employed. It's much harder to get back into the job market when you've taken time out for any reason. It might feel like you're just working to pay for childcare right now but you're investing in your future.

[Deleted User]

The people who are providing you with childcare also have bills and need to eat. 

Mrs_Soup

Is there any scope for you and your partner to flex your hours enough to avoid or reduce the after school club costs, eg work uneven length days, shorter lunch break etc. Depends what type of work you both do but you both have the right to request flexibility and at least have it considered.