To draw your attention to closure of childcare vouchers scheme

[Rainatnight]

The existing childcare vouchers scheme is closing to new entrants. The replacement scheme will be less beneficial for some people. If you want in to the old one, you need to act now, because your employer needs to process it in time for April.

This is particularly relevant to new parents. I'm on mat leave at the moment, but my employer is letting me 'buy in' to the old scheme with a nominal sum, just so I can get in under the wire.

This explainer from Money Saving Expert is very helpful in deciding which is the best scheme for you.

www.moneysavingexpert.com/news/family/2018/02/want-childcare-vouchers-apply-now-to-make-sure-you-beat-the-april-deadline

Thank you for this. I have joined just in time as a result of your post and am very grateful.

Oh brilliant! Good for you.

You have to receive a pay cheque in March and sacrifice some salary to be eligible to join so it really is the last chance. I was told by my employer that I can't sign up as I'm currently only receiving SMP. Which means actually I would have had to have signed up 6 months ago when I was still being paid. My scheme would be Edenred too.

Check it now if you're planning to use it!

For those paying preschool childcare, you will get more in the new scheme. Isn’t it? You get at most £1866 for two basic tax payers. In the new scheme it is £2000 per child but it is 20% of total paid. Given nursery is most likely above £833 a year (which is £10k over 12 months), most who have young children will get more in new scheme. Especially if you have more than one in nursery or one in nursery and additional in full wrap around care.

FYI DC1 in full time nursery goes over the £500 rebate every quarter.

For what it is, most struggles to pay the early years the most. This is a help to most with preschool childcare.

Headdreamer - I have two preschoolers but better off with the vouchers (we don't need full time childcare and benefit from the 30 hours funding). Not by much but does depend. Thankfully my work set up a voucher scheme last summer at long last! OP - good reminder. Edenred keep messaging but obviously you only get those messages if signed up.

bella must be the difference between part time and full time. I have one in nursery with the 30 hour funding and one at school. I had a compensation claim for jan childcare because HMRC made a mistake of not paying. It was £250. And Jan is a cheap month because there are no school holidays. Napkin maths tell me I must be getting more from the new scheme.

I switched quite late after our nursery told us about the 30 hour funding and how most parents will get more from the new scheme. (Based on the fact one child will get £2000 already). Obviously I will lose out once both are at school. But I just want to get through these hard early years.

One of my DC2 friends have 3 in nursery!

Head in a two parent family (BR taxpayers) for the first £486 a month of childcare, vouchers will save you 32% compared to only 20% with tax free childcare.

Overall, if your childcare costs are less than £778 a month, you're better off with vouchers.

Something to bear in mind is your future childcare as you'll not always have pre-schoolers. If your childcare costs aren't that much more than the £778 a month now, you may be a bit worse off for a couple of years with vouchers. BUT after full time care comes years and years of afterschool/holiday care only which will probably be less than £700 odd a month - and for all those years you could be saving 32% as opposed to 20%, which may well make vouchers cheaper in the long run.

Simply is right. Most families will save more with vouchers. www.moneysavingexpert.com/family/childcare-vouchers

However, I thought the idea was that vouchers will be phased out so I'm not sure how much benefit there is to planning many years ahead. Saying that though, you obviously can't opt in to vouchers after next month but you can switch to tax free childcare if it saves you more.

Overall, if your childcare costs are less than £778 a month, you're better off with vouchers.

It was way more than double that before Jan when DC2 turned 3. It’s still more than that now. Childcare costs are crippling.

However I really dislike how HMRC runs the scheme. I don’t understand why they are taking business away from private providers and moving it to public? It’s not very conservative is it?

I agree the old voucher scheme will die because people change jobs. So you get less and less people in the schemes. And the children grow up too.

I feel you are on a low income you can use vouchers and child tax credits. You can't use tax free child care if you claim wtc.

If , not I feel.

I’m pregnant but not a parent yet... anyone know whether I’d qualify?

There is a helpline but I’ve not told work yet as it’s early days so a bit nervy about being overheard etc.

We’d appear to be better off with the new version though... we’ll have one baby at a childminder at about 500 quid a month as far as I can see - so 607 toward it with tax-free childcare and 312 with childcare vouchers.

Am I missing anything? We both work, after maternity I’ll be going back 4 days if not full time, dh will also try for 4 days but may stay 4 days too.

• 5 days

UPDATE the vouchers scheme will now not end for new claimants until October.

Thats great news as I just saw this thread and thought I've missed out for my twins, thank you for the update

Or possibly September depending if its 6 months from now or 6 months from April.

I've just had an email from my CCV provider telling me new joiners have an extra 6 months...I can see the thread has already been updated but thought I would bump again for anyone that missed it.