Childcare voucher schemes are a Tax and NI free way to meet all, or some, of your childcare costs.
Using childcare vouchers supplied to you by your employer is a simple and easy way to pay for childcare with Tax and NI free funds and helps to make childcare more affordable. It is a non-taxable benefit and a very flexible system normally accounted for by salary sacrifice, salary addition and flex benefits packages.
Vouchers can be requested from your employer who will processes the request through payroll, enabling the amount to be Tax and NI free.
How much can I save?
Each parent that takes their maximum allowance (£243 per parent per month) can save up to £1196 on Tax and NI per year. You can use the link below to help you calculate your savings.
How easy is it?
Speak to your employer to find out if they already have a voucher scheme in place and they will be able to advise you further.
For further information on setting up and managing your childcare vouchers, please refer to our handy factsheet attached.