Do UC actually pay 85% towards childcare?

[Em94]

I’ve been claiming childcare through UC now for a few months, my bill for nursery is 1500 a month. I’ve never ever had 85% of this back, I’ve had a statement for this month saying I’m getting £326 towards childcare.
I was told by UC that your earnings weren’t used to deduct childcare and this would remain 85%.

does anyone know how this works and how to actually claim the 85% as in worrying that I won’t be able to work much longer

As far as I am aware it’s up to 85% and they do take into account your wages. I’ve never got full amount normally around 30%

It reduces according to income - otherwise you would have people suddenly becoming not eligible and losing huge amounts of money due to a tiny pay increase. You get 85% up to a maximum of 950 a month for 1 child. You can’t get 85 % of £1500 unless you have 2 children in childcare.

It doesn’t say that thought on your statement, there’s no deductions on childcare and UC have advised this isn’t that case.

are the deducting before they add this amount to your statement?

I do have two children in childcare, I have twins.
but I was told you get the childcare at 85% and then they use your earnings to make a deduction.

they have taken £600 off my final UC entitlement which is fine but where is the number what they’ve taken from childcare? How do you know what percentage you’re going to get?

Your statement should show a reduction.
It should show your claim total - including childcare amount which is specified separately?
Then income reported and therefore how much is deducted.
I often have to remind DWP they have not included the childcare costs I submitted and this is usually amended quite quickly.

It does show a reduction but my childcare costs in whole show as £300 on my statement. But I’ve paid and sent the invoice for £1500.

The childcare element is added to your total award before any deductions. They then deduct the amount of your income. They don't deduct 'from childcare' as it's not a separate payment, it forms part of your overall entitlement. E.g personal rates 200, + childcare 200 = entitlement 400, less wages deduction 250 = uc payable of 150.

I have just had a look at mine. There is a line “children in childcare” Below “children” and before total entitlement. Then the deductions section.
does the amount by “children in childcare” look right?

Sorry have just re read your messages. you need to ask how they calculated £326 childcare.

It’s up to 85% not definitely 85%.

You can get up to 85% of childcare costs paid back to you. The maximum amount a month is:

• £950.92 for one child
• £1,630.15 for 2 or more children

I have always had 85% exactly and have wondered how they decided when they pay a smaller percentage. I think possibly linked to costs versus hours worked/income. Hopefully they will have a clear rationale as to how they arrived at that figure.

I’m gonna have to ask them for a breakdown of costs I think, if they’re not paying 85% I need to know what percentage they are paying! Very confusing

Is the bill you submitted entirely for the costs within your assessment dates? So if you submit a £1500 bill from 1-31st March, but your assessment period is 20march-19april you will only get the money back for 20-31 in that assessment period

This is the impression I was under too, but my total childcare is £300 and then I’ve had my total deductions on top of that.
so surely the childcare amount is wrong, well I would think so anyway

Yes my full bill is submitted so I should have revived half of last months invoice which is from the first half of my statement period. Then I should have half of this billing period too, the invoice was submitted 8 days ago

I don’t think they carry over last months, I think you have to submit it in the assessment period. Put a note on the journal and say your costs are wrong and ask what extra info they need.

I’ve already submitted last months on the 1st of feb, then submitted another on the 1st march

The "up to" 85% goes on your elements, if you earn more then obviously you have deductions.

Our childcare element is 85% of what we pay, but we don't see that money in our actual payment cos we both work to so earnings are deducted.

Yep but they obviously haven’t paid you it, so I’d submit the costs you are entitled to, within the correct assessment period. If you submit costs for 2 assessment periods at once they will just process what you are entitled to in that assessment period and disregard the rest. I don’t no how they are suppose to do it, but they do it the quickest and laziest way they can in my experience. You had to make it clear and idiot proof for them.

Yes so I’ve already had deductions on my statement so the payment of £300 must be wrong unless they’re deducting before they add it to the statement.

ive had about £600 taken due to my earnings but I take the childcare element out as the amount it says and put it into a seperate account to pay nursery.

Thankyou for your help I will contact them and ask if they need anymore costs proving.
its so tricky when the assessment period is 15th to 15th but we’re paying nursery 1st -31st

Just pop a message on your journal and ask them to recalculate the childcare. This month will be slightly less because Feb is 29 days. Mine was £30 less than usual

I no what you mean OP, mines wrap around care but it’s a pain. I pay my invoice in 2 payments, and just make them straight after each other so I can show UC 1 clear correct payment for each assessment period, and I draw on my invoice to show them the payments for which dates. If I don’t make it clear they screw it up. But if I post in my journal in both payments and work coach someone usually gets back to me quite quickly

Apologies OP I didn't RTFT properly.

If you have two kids in childcare at £1500 a month then your "children in childcare" (element) should be roughly £1275 before deductions. This obv isn't the exact amount because you'll be getting half of one month and half of the current month if your assessment period is 15-14th. Once you've been paying for a few months then this should even out, but if you've only been paying it for a month or two then you will see less for the first payment.

£300 could be correct if you've only paid Feb and March, Aprils UC should be adjusted with the correct amount.

As others have said, add a message on your journal for them to clarify. If you're submitting on the 1st of every month with evidence then it shouldn't be as low as £300.

Sounds complicated

My friend applied for costs as now a single parent

She is se so May be slightly diff

She found it was better to pay for the childcare herself as came under an expense which then got her income down and meant she received her full uc which was around £683 (single and one child)

As seemed when she applied for childcare she def didn't get 85% of costs and was less then the uc of nearly £700

Guessing if employed can't do that ?