Tax-free childcare and nanny (multiple children)

[Merrow]

I'm in the process of employing a nanny to look after DS2. She's Ofsted registered and accepts payment via tax-free childcare. Once a week she'll pick DS1 up from school and also look after him during school holidays.

Does anyone know what the policy is on paying from different tax free childcare accounts? During term time I imagine that it would have to be DS2's account, but could I apportion part of the payment from DS1's account during the holidays?

There would be a financial benefit to me in that the cost will mean that I hit the £2000 top up ceiling for DS2 before the year is out. However, I've no interest in breaching any rules!

Hey! Did you ever get an answer for this? We’re in a similar position and can’t find any information!

@nannynick. Can you advise

No I can't 'advise' as I don't work for TFC, HMRC, OFSTED or any Government department.

If nanny is providing care of the children, then use TFC account to pay towards that care. I doubt TFC cares or would do any checks on the specifics of how payments are split between children in the same family. When a school aged child is at school, nanny is still on-call. Nanny has an employment contract to provide care for all children in the family, so split the cost between all eligible children in the family.

You are usually a fountain of knowledge

@JWood92 I looked into it further and it comes down to the TFC guidance, which I can't remember exactly but is basically if you're paying for childcare so you can work then you can use tax free childcare. I personally apportion payments so that it reflects the time our nanny spends with both children, but I can see how there's an argument for a 50:50 split with the "on-call" logic.