Is this right? Can someone please check for me?

machairs

I'm just about to go on ML and have just found out that the Nursery I use is increasing its prices by £4 per day which, with ds2 and baby due to attend from December, will cost me £64 per day. I am toying with returning 4 days a week so the weekly cost will be £252. Combined with ds1 after school care at £8 per day and £32 per week this gives me the eyewatering total of £288 to shell out weekly for childcare :eek:

Inputting last years salaries of £12000 and £18800 respectively with this figure for childcare (ignoring new baby allowance of £545), it looks like TC will cover a fair whack of the childcare bill. The figure I got came out around £12000.

It would be brilliant to get that figure but it seems overgenerous. Is anyone in a similar position and can confirm figures are wrong or correct? Am I missing something very obvious here.

I'm aware that the figure I have got is for the year; baby won't be in Nursery 'till December; etc. I've not taken into account the SMP I will receive this year as I have been advised to leave off telling TCO 'till closer to the year end. No member of the family is disabled.

Any help appreciated.

DaisyFlower

It doesnt sound right at all on a joint salary of over 30k - there is usually little help available after £25k with childcare costs. I would phone tax credits and ask them direct.

machairs

Thanks Daisyflower. I will phone them but will wait until the new baby arrives.

Just done the calculation onsite again and the following results are given;

Based on the information you have entered, your [URL="javascript:DoGlossary('household')"]household[/URL] may be entitled to the following tax credits award:- [URL="javascript:DoGlossary('childtaxcredit')"]Child Tax Credit[/URL]£6642.96Childcare element of Working Tax Credit£6306.76Sub total£12949.72[URL="javascript:DoGlossary('workingtaxcredit')"]Working Tax Credit[/URL] (less the childcare element of Working Tax Credit)£0.00Note: The childcare element of Working Tax Credit will always be paid direct to the person who is mainly responsible for caring for the child or children, alongside payments of Child Tax Credit.Total£12949.72This is based on your [URL="javascript:DoGlossary('householdincome')"]household income[/URL] of £31613.00.

woozywendy

Hi
Our household income is about £15000 and we get £84 ctc and £3.70 wtc a week. We have 2 children. Your figures do seem a little high.

mitchaa

Is your income of £31613 through employed earnings or made up of benefits?

I say that as you said (ignoring new baby allowance of £545) Does that mean you have included CTC in your income?

I cant see how you can be earning £31613 and be eligible for a further £13000 in benefits. That would put you on an equivelant salary of about £50k.

Just to confirm, you have 3 children, and all in childcare will cost £288.

You have an income solely from employment of £31613

machairs

mitchaa wrote: »

Is your income of £31613 through employed earnings or made up of benefits? Joint employed earnings

I say that as you said (ignoring new baby allowance of £545) Does that mean you have included CTC in your income? No

I cant see how you can be earning £31613 and be eligible for a further £13000 in benefits. That would put you on an equivelant salary of about £50k.

I'm puzzled too.

Have put the same figures into entitledto.co.uk and it has also come up with similar figures.

machairs

Just to confirm, you have 3 children, and all in childcare will cost £288. I will have 3 children in childcare from 1 December. No3 is due on Monday and I'm just playing about with figures. At present I have 2 in childcare and the cost is £108pw - I get about £266 per month from TC at present.

You have an income solely from employment of £31613[/quote] Yes, between the 2 of us.

mitchaa

I put in similar numbers to you and got the same figures so it does seem very generous indeed.

How much do you actually pay in childcare over the year? How many weeks would they require childcare? Does this matter when entering your weekly figure?

Do you childcare paid regardless of if they are actually there? Ie summer holidays when you're off work etc?

machairs

mitchaa wrote: »

I put in similar numbers to you and got the same figures so it does seem very generous indeed. So it's not my pregnancy brain!

How much do you actually pay in childcare over the year? How many weeks would they require childcare? Does this matter when entering your weekly figure? I have to sit and work this out carefully later. I had done it but then my nursery bumped up the prices which threw my calculations out. The £288pw, once I put in out of school care for ds1, will not change much though.

Oh well, you'll be loaded then haha Just dont get too used to the additional money as when they come to school age, obviously you wont get childcare costs

It seems so. I had expected to be very poor but now it looks like we are being rewarded for working and putting our children into childcare. I will be interested to see what I am told verbally when I phone them to update on birth.

machairs

Do you childcare paid regardless of if they are actually there? Ie summer holidays when you're off work etc?[/quote]

2 of the children will be entitled to 4 weeks off for holidays and I won't have to pay for them. The eldest will have out of school care for the weeks/days school is closed. I pay nursery for sick days or if I don't give 4 weeks notice of holidays. I took all that into account when I did the calculations before nursery price hike and it works out much and such when you consider out of school care for ds1 is £20 per day (£8 after school).

A

mitchaa

So your yearly bill will be approx 48x £288 = £13,824

You'll get approx £13000 of this back through tax credits meaning basically your childcare is free