Childminder claimed incorrectly for funding- £2k bill

[Newstart2024]

My childminder just contacted me saying that my eligibility code for my 2 year old has been declined and she hasn't got the funding. She said for the term just gone and the term ongoing I owe her £2k.

I've looked back at my text messages, her claim for September onwards I gave her a temporary code that the childcare service gave me. In October and again in December I sent her the permanent 11 digit code on text. All my eligibility has been up to date and my funding/tax free childcare has been paid for my other two kids and tax free going through for my 2 year old. I've asked her which code she used and forwarded when I gave her the permanent one but not heard back (she's busy with all the kids today!).

I have contacted the childcare service who said all looks good. So I have contacted the council and asked if there has been an admin error and waiting to hear back.

If she has used the wrong code does anyone know if they will reclaim using correct one? £2k because of her admin error seems mad but I will have to pay she's only a sole trader and not fair she takes the hit either really... maybe she'll suggest we go halves on the error. (She's a great childminder too).

Speak to the LA and see if they’ll pay her based on you having a code. If not, there’s a way you can claim direct from hmrc I think.

I don’t think she’ll suggest you go halves on your child
care bill

Well exactly, she shouldn’t go halves, the childminder should be covering the cost herself by not charging for those hours. She was given the funding code in time but didnt apply; this is her error. Parents are responsible to pay if they don’t provide the code, but the OP did. The childcare setting need to cover this expense.

I wouldn’t pay this if she has indeed used the wrong code.

Gosh what a nightmare.

There is no way the childminder will work for free even though it seems it was entirely her mistake.

I think you should contact the funding team at the
local authority and see what can be done. The fact you had a temporary code shows that you were eligible for funding so they may be flexible in allowing the childminder to put in a late claim. Although if she's missed the initial data input most local authorities have an actual headcount day and an amendment day when you can add a child and just receive the funding payment late. If the childminder did mess up the least she can do is get paid the funding late so you don't lose all your funding for this term.

Mac56
I am a childminder who offers funding.
When you enter the code on headcount day it doesn't submit successfully if it's the wrong one, so not sure how she hasn't noticed before now.

Not sure how this can have happened as if she entered an incorrect code or the temporary one ran out then she should have been alerted.

As a parent I wouldn't pay for an admin error that is no fault of your own though that might mean you'll need to find new childcare.

What do you mean by permanent code? Do they not have to be re issued every 3 months or something?

My friend has to look out for emails from HMRC every 3 months and can’t miss it or she’ll lose out.

Depends on the system, there isn't a universal portal for all LAs.

The code itself stays the same though, it just has the expiry date extended each time.

Some people were given 'temporary' codes when the scheme was first rolled out because the system was overwhelmed and they could not deal with all the applications on time.

My friend still gets a different code every three months and needs to refresh her funding application with it.

In the dozens of children's funding accounts I've processed, not one gets a new code every three months. Yes they have to reconfirm their eligibility every three months, but the 11 digit code is the same and the dates on the code just change. The code is written on their paper declaring as well with the setting. It would be a nightmare for cms or nurseries to get these updated every 3 months bearing in mind each families 3 month cycle is different!

It's her job to sort this so l wouldn't be giving her any money, never mind £1k or £2k. . It sounds like she hasn't been doing her admin properly which isn't your problem. I think you have done enough from your side

Any update @Newstart2024 ?

@ScrewedByFunding

Oh I see! Thank you for clearing that up, I’m not familiar with the funding, just what my friend has told me.

@BernardButlersBra

presumably the CM has some kind of terms and conditions to protect her from people like you that wouldn’t pay for services rendered. The funding has been accepted by the CM but in the case it doesn’t materialise the parent would still have to pay.

If this is down to human error on the part of the CM, it still needs to be paid by the parent regardless. Hopefully though funding department might be able to help out.

I don't know why you are trying to infer lm encouraging a fast one being pulled. Either the childminder doesn't know what she's doing or she's trying to pull a fast one, either way l don't see why it's OP issue. For clarity l have had a few childminders over the years and none of their contracts made any mention of subsidising their inability to do their paperwork properly!

If someone has put in the hours and made £2000 of work you don’t just say “oh you’ve made an admin mistake so I’ll have that childcare for free thanks! Your fault” Get real.

Why on earth would it still need to be paid by the parent if the costs are higher due to the CM’s error?
“People like you who didn’t pay for services rendered” what?!! The OP paid exactly what she agreed to pay and provided all the information for the CM to agree to funding.

This is like a building project on a fixed fee but the builder takes longer to do it. Sure they earn less per hour now but it’s their own fault.

You clearly don’t understand anything about the funding so it’s ridiculous for you to weigh in with your judgey and incorrect opinion.

If the childminder has used the wrong code, and hasn’t followed it up correctly with the funding team, in spite of having been given the correct code by the OP, then it is entirely the childminder’s mistake. There is no way the OP should be asked to pay by the childminder.

@Sofiewoo well, quite. Not sure why they were commenting as they don't even understand how the system works anyway

@Sofiewoo

I didn’t say she should pay over the odds, she should pay the usual childminders rates.

Working for free because of an admin mistake is t on but as I know from your other threads you’re all for under paying.

OP other funding experts on this thread are saying a wrong code would be flagged when entered.

Have you been on to the funding team at your council to see what’s gone on and why am incorrect code was entered and seemingly accepted.

I remember making a colossal accountancy error at an accounting firm I worked for when I was young. Human error, and thankfully I was shown mercy!

If you’re running a business then your admin mistake is on you.
You can’t go back and charge a client more for a service in the past because you made an admin fee.
OP signed up the childminder for a set number of hours using the funding she was eligible for. If the OP was ineligible for the funding it would be different.

Should OP transfer the CM money when she gets a late fine on her taxes too?

The system for the childminder to get paid is by submitting the correct code to the local authority and checking that it has been accepted. If the childminder did not submit that information correctly, then it is her responsibility. In my county, it’s very clear when you input the information whether the code is correct or not. I think it’s highly likely that most systems work similarly.