Government funding

[Indiraa83]

Anyone know why I can’t use the top up amount and can only withdraw what I put in? My lo is 3 months in and I’m not sure why I can’t use the £18 from gov.
there were a few teething issues to start where I put too much money in the account at the start of 3 month period and so withdrew it back but obviously the government took their % back too. Surely that wouldn’t cause this though? This is for January fee is that why I can’t use top up?

Hi, you won't be able to "withdraw" the £18 to your bank account because it's the govs money, I believe. However, your cleared funds is showing £135 which is your £117 and the govs £18, so you should be able to pay your childcare provider directly through the childcare account with the £135?

Are you trying to pay your nursery bill? You don't withdraw the funds to pay your bill - you go to the bit that says "set up a one off payment" further down the same page you have taken the screenshot from and pay nursery directly from the tax free childcare account. Then you can use the full £135.

In future if you put too much money in, don't withdraw it unless you really have to. Just leave it in there and put in a bit less the following month. It will all even out.

The top up is paid quarterly to a maximum of £500. A yearly max of £2k. So it’ll restart whenever your next quarter does (assuming that’s 1st January). Our nursery fees are so high that the top up only covers 2 months in 3, so we are usually needing to pay in the full amount with no top up funds left in the final month of the quarter.

Thanks all the one off payment never worked so I transfer the amount into the account each month and then withdraw to the nursery’s bank account, it works as they tell me it goes in.l but maybe they don’t get the government part and that goes back to government without me realising?? I have to withdraw it as it’ll just remain in the account if I don’t.
I think that’s what is most likely happening whatanidiot although I had to top it up again myself to £153 (added another £18) to actually clear and withdraw £135 so I’m so confused! I know I can’t withdraw the gov cash to my own account and it goes back to them.

If you aren't using the bit of the website in my screenshot below then you won't be getting the top up. If that part isn't working for you, you might need to phone the taxfree childcare people and ask them why, as otherwise you are going to lose out.

The withdraw bit isn't how you pay the provider - that's just for if you want to take out money you have put in (which I've never done - if I pay too much one month I just pay in less the month after)

You have to set the nursery up as one of your childcare providers within the account and you pay them directly from the account.

If you pay in £100 to the childcare account the childcare account will show as having £120 in. You can pay that £120 to the provider but you could only withdraw your original £100 into your own bank account again if you wantes it back for any reason and not the £20 the government added to the pot.

So this is the set up I have, when there is money in then it says withdraw money and I then send it to her nursery, I don’t make regular payments as in a standing order to this account as the amount changes now and again (5 week month etc) and I then have to add more to it so I do it monthly when the nursery send the next months fees. I don’t know perhaps I need to call gov childcare and see what’s happening because nursery are definitely being paid when I withdraw and send it to this account on the screenshot. It’s just the amount the gov put in isn’t being used/included. 🥴

Here’s the screenshot

When you pay them, do you click on the link that says "set up new payment" each month?

No, because if you withdraw the money, you don't get the top-up anymore.

You need to pay via one-off payment; so yeah, give them a call and get that bit fixed. Otherwise you can set up a "regular payment" for your usual amount, and then top that up with a one-off payment when you need to, which is what my nursery prefer - that way they've always had the bulk of the payment ready.

You can't withdraw the money (take it out of the account) - you need to pay it to the nursery. Make a payment.

Ooohh right! Goodness I bet you think I’m a right thicko. I will sort it thank you so much! Appreciate all the responses on this!

So you have been putting the money into the childcare account and then just withdrawing the same amount back into your personal bank account, then doing a BACS payment from your personal account to the nursery?

And expected the government amount to be paid somehow to the nursery as well somehow?

Surely you must have realised that you were still paying the full amount to the nursery from your account? Or have you been paying them 20% short each month?

Even I'm confused!

Hey no, not at all. Im putting my money into the childcare account and I’m able to withdraw the money TO the nursery from that account. It says manage then withdraw money and then I have the nursery name and it sends to them. They get it, they have that money each month. However the top up isn’t being used at all so I’m using my own cash without that top up being included
and that was my concern so I need to set this up with the gov. It’s just being sent back to them. I’ll sort it out:)

Have you set up the nursery to make payments to? You need to search for them using their registration number or postcode.