Aunty childcare

[Irishaunt]

Hey, I will be looking after my niece three days a week as her mummy goes back to work. I once read about grandparents being able to claim ££ if looking after grandchildren. Is there any truth for relatives looking after a baby? Any advice would be great as this is the first baby of the family. Thanks.

Claim money from whom?
The parents definitely, you can come to an arrangement between yourselves.
I'm not sure who else would give you money for looking after a child

You might be thinking of grandparents being able to claim financial help if they are fostering the children? I’ve never heard of any government funding for relatives who are babysitting.

I don't know, you are right about grandparents though. I don't know much about it because it's no use to me but it's something like grandparents can claim towards their ni contributions if they look after their gc while their parents work.

What do you mean by claim money?
If you are Ofsted registered you can be paid by childcare vouchers and or tax credits but if you are talking about 2 and 3 year old funding then no. although you can work in a nursery room with a relative who receives funding the scheme seems to assume that childminders wont be as professional with their own families as with others.
Obviously close family looking after children for reward would still have to register for tax, and the payment would come from the parents.
I would advise setting clear boundaries as many childminders have learned the hard way that friends and families are very hard to work with and preserve a good relationship as the saying never mix business and friendship says. Agree hours, payments, what's included, parenting styles, and think about family events where little one as they grow older may come running to you and upset mum and dad. You have to be ultra careful to make sure you don't step on toes as your so used to being in charge on a work day, and Lo can get confused.

I'm not sure you can claim money for looking after a child. I think you may be thinking of national insurance credits:

www.gov.uk/government/news/looking-after-the-grandchildren-make-sure-it-counts-towards-your-state-pension

Or Specified Adults Childcare Credits:

www.gov.uk/government/publications/national-insurance-credits-for-adults-who-care-for-a-child-under-12-fact-sheet/specified-adult-childcare-credits-fact-sheet

I've (well my DM) used the former, but only as a grandparent so not sure about other relatives.

I've just looked it up, the parent claiming cb can give up the ni protection for the pension that comes with it and give it to the grandparent, so that the grandparent is still paying ni contributions towards the state pension.

It's not actual money.

I think you mean credits for National Insurance like these specified adult childcare credits.

Are you a childminder? Do you work?

If it’s the first baby of the family then presumably you aren’t a sahm fitting niece in with your own kids.

Is your sister going to pay you? There are complications around that i believe.

Hi guys, thanks for all the replies so far! No child of my own. My employer has recently went bust so I’ll be unemployed by the time she goes off maternity. It just seemed like a good idea. Was wondering if there’s benefits for SIL for me minding the child so I would have an income as such. Thanks for the replies I’ll have to do a bit more research and make sure there are boundaries!

You'll have to register as a childminder if you're receiving payment.

Your SIL would pay you for minding the dc. If she wants to claim the childcare element of working tax credits then you would need to be a registered provider.

Please tell me you nmand her have discussed payment? Why would you provide the childcare instead of working?

ofcourse only if Op is minding the child at her home.

If the op minds the baby at the baby's home then that doesnt apply.

O/p please be careful with this.

Will you be looking for a job? If you aren’t registered as a childminder you will need to look after the child in her own home, as a “babysitter”. There is no tax advantage or other financial benefit for your sister.

Can she afford to pay you enough? If this is going to be your sole income can you survive on it? If you are being paid is your sister then classed as your employer, and what about the tax implications of that.

If you are offered a job then what? Childcare isn’t easy to find and you might have to leave your sister in the lurch, then what? Or what happens when the child gets her free nursery place or goes to school, or your sister just decides not to use you for childcare.

Will you get holiday? What if you’re sick?

Have a really good think. Especially if this is going to be a full time arrangement.

That would depend on your agreement... and I've never heard of any government program about grandparents, given salary for being a childminder.

I don't get why you would think any scheme would pay you enough to live on while looking after a family members child. If this was the case nobody would use registered childcare an we would have loads of people effectively living on benefit. Childcare costs someone can your family really afford to pay you £10 an hour which as a nanny type arrangement is would easily cost to cover NI, Pension and a wage? If they use registered childcare who are experienced and trained they will only pay about half of this and can then use tax credits/childcare vouchers or tax free childcare so could potentially save 20 to 70% of the fee.