Universal credit and childcare

[ffsrainagain]

Can anyone help me out with this? Is this actually worth it?
I'm looking at potentially getting some extra work, on top of my first job. I'm entitled to UC which I receive and they have said if I put my two DC (under 3) into childcare they pay 85% of the cost. However, if I'm earning more (already earn a FT wage at min. wage) and it tips me over the threshold for UC, presumably they would no longer fund the 85% cost of child care so I would be working to pay for someone else to look after my children and probably worse off?
Is this really how it works?
But then if I don't do the extra work I will be back eligible for UC but no worse off because I will receive the UC without spending out for child care which then quadruples in cost when I am no longer eligible for UC even by a pound? I'm really confused by this whole thing 🤦‍♀️
The government want more women back in the work force.... presumably why they are trying to sell this "we will pay most of the child care" thing to me but I'm struggling to understand the logic and practicalities of it

For childcare the amount they pay is added onto your elements.
so for example
rent
childcare
adult
child
=total.
Then your take home pay you take away 379 and then multiply by 0.55 to get the amount taken off your UC amount.

So as long as your amount is less than your total you will still get UC.

I worked out I could earn nearly £3000 per month(I wish!) and still get a small amount of UC. It’s a sliding scale based off your circumstances rather than a cut off.

If you are only earning full time minimum wage then surely you would have to earn quite a bit more before you would lose all UC.

@ffsrainagain

Universal Credit will simply add 80% of your childcare costs to whichever allowances /elements are part of the Max UC amount in your monthly payment calculation. The three things that make a big difference are:

1. Do you rent your home and if so how much is your rent?
2. Do you have a partner and if so what are their earnings from work?
3. How much would you pay for childcare?

The answer to those questions should allow us to give a ballpark number for how earnings from job #2 interact with childcare costs.

Ok so own my home (well, the bank do), don't have a partner, I have 50/50 care with good shift working between us. Childcare for two under three is about fifty pound per day per child or ish

OK, quick and dirty calculation assuming kids are in childcare for 2 days at cost of 2x50x2=200/week and combined gross weekly earnings of £550 gives:

SA - 368.74
CRE - 539.16
Care - 736.66
Max UC 1644.56

Earnings £1954.90 less work allowance of £631 = £1323.90 * .55 = £728.14

UC payable would be £916.42.

Does this help?