| Start new thread in this topic | Watch this thread | Flip this thread | Refresh the display |
This is page 1 of 1 (This thread has 4 messages.)
This topic is for discussing childcare options. If you want to advertise, please use your Local site.
This is a Premium feature
To use this feature subscribe to Mumsnet Premium - get first access to new features see fewer ads, and support Mumsnet.
Start using Mumsnet Premium30 hrs free childcare - 100k before tax?
(4 Posts)Hi,
We are currently paying 3 x childcare, my youngest is 3, me and my husband work long hours so we pay a lot on childcare. Infact, my full salary goes straight to my childminder.
Could someone tell me whether this 100k criteria is household income before tax or after tax? I think it's before but thought I double check before filling in the form for my childminder!
Is this 100k limit also applies to tax free childcare too?
Many thanks in advance.
Em
The 100k limit is the gross income before deductions for each parent. So one parent might be earning 10k and the other 101k and they wouldn't qualify. However a couple where the parents earn 99k each, 198k combined, would.
The tax free childcare is the same as childcare vouchers.It's nothing to do with the 30 hours.
www.gov.uk/government/news/tax-free-childcare-launches-today-for-children-under-four
The 100k taxable income also applies to tax-free childcare eligibility and it is per parent, not household.
If someone earned £101k gross the family would not be eligible but they should keep in mind that it is taxable income, so there can be ways of reducing that (such as increasing pension contribution deducted at source).
With three children, tax-free childcare could be worth up to £6000 (max contribution of £2000 per eligible child). To get £6000 contribution, childcare cost (which can include employers NI if employing a nanny) would need to be £30k+.
| Start new thread in this topic | Watch this thread | Flip this thread | Refresh the display |
This is page 1 of 1 (This thread has 4 messages.)
Join the discussion
To comment on this thread you need to create a Mumsnet account.
Join MumsnetAlready have a Mumsnet account? Log in
Compose Message
Please login first.