Help needed -can I get benefits due to high childcare costs?

[Zara87]

I've spent so long on the hmrc website trying to work this out but to no avail.
I work 31 hours a week and earn £27k before deductions
Dh works 40 hours and earns around £33k before deductions.
I'm currently on mat leave. I go back to work in March. Unfortunately my MIL passed away unexpectedly a few weeks ago and the plan had been she would be looking after our dc 2 days a week, and then be in nursery the other 2 days.
We are now faced with very high childcare costs for the next 18 months- double what we had budgeted and therefore our childcare bill will be my entire wage of around £1600 per month
This is with ds1 having his funded hours.
I cannot quit my job because long term it is beneficial for me to stay, I love it there and once ds1 starts school it will get better.
So basically - does this sound like we would be entirely to any help? We have never claimed benefits in our lives so I have no idea how it works. The calculators I find confusing because they all ask about my 2017/18 situation however I am thinking ahead to next year, in March when I'll have had no income for a year barr mat pay and will be faced with extortionate childcare costs. Any help will be great. Thank you

Ps. Please don't read the above like the only bad thing about MIL death is our childcare costs as that isn't the case at all. We are devastated and the financial implications are just extra stress particularly on dh.

As you each earn less than £50k, you will be entitled to claim Child benefit, which is about £140 pcm IIRC.

With those incomes I very much doubt you will get any financial help with childcare. One person's salary covering the childcare bill and nothing else is pretty standard for the first couple of years

You earn too much for entitlement for any childcare benefits but as pp suggested, you'll get child benefit and it's worth checking out your entitlement to tax free childcare Read this

Unfortunately 2 at nursery is expensive (I had twins so had a shock when I looked at childcare costs) but it's only for a couple of years.

Unfortunately aside from child benefit you'll be deemed to be earning too much. We had the same issue. Can you go part time thus keeping your job but reducing childcare costs?

No, but have a look to see if your employers do voucher schemes. They are closing soon if they haven’t already, so sign up ASAP if you can.
You can each claim around £250 of your salary a month in vouchers, before deductions, so you don’t pay tax on that part of your wage.
It means you each save around £65 a month, or £130 between you. It’s not megabucks, but it all helps.

Sorry - just googled. That scheme is now closed but you can look into tax free childcare.
I’m sorry to hear about MIL.

Try tax free childcare. And child benefit. Also remember you are only responsible for half of the nurseru costs, your DH should be paying the other half, so you will have money each month if you want to stay ft

I think you should be able to get tax free childcare if/when you’re both in work. Not 100% sure how it works with 2 children - whether it’s per child or a capped amount - but I think it’s per child. We get £2K per year for DD which is basically 1.5 months free. Every little helps. The online system is rubbish but they’ve been helpful when I’ve called. Good luck - I’m expecting DC2 currently and dreading the childcare bills despite both DH & I being on good salaries.

Can one or both of you do compressed hours to reduce the nursery to 3/4 days a week? Eg one do Monday to Thursday and the other do Tuesday to Friday and you only need Tues - Thursday in nursery, not full time.