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Original poster

Universal Credit & Nursery Costs

9 replies

Jolly10 · 19/07/2020 13:14

Hi all, my husband and I currently get a small amount of help from UC (I only work PT). We have now had to put our 23 month old son into nursery starting beginning of August (my parents used to look after him before lockdown, but now feel they can no longer help out). The nursery costs £561 a month for two days a week (we are in London). Can someone tell me if we will get the full 85% childcare costs help as we are already on UC? I have already paid the nursery deposit and registration fee of £250.00 and I have to pay nursery costs monthly in advance. I am nervous that if we start the nursery process and UC will not pay the full 85% childcare costs we will be stuck with a lot of money to payout before I can pull my son out of nursery. I will then have to leave my job as the nursery fees are just too high without getting help from UC. Is anyone is a similar situation or has any advice? Thank you.

OP posts:

Babyroobs · 19/07/2020 17:36

The childcare element is paid as another element of UC. I don't think there is any help available for what you have paid upfront. You need to report what payments you have made before the end of you assessment period and then that is reflected in the payment seven days later.

Original poster

Jolly10 · 19/07/2020 18:22

Babyroobs, thank you for your reply. I don't mind the £250.00 up front cost as I would get the £200.00 deposit back if I give enough notice. My worry is if I pay the monthly fee of £561.00 and do not get help for the maximum amount of 85% back (this is what UC will help with). Say I pay £561.00 but only get back £250.00. Is it a definite 85% or is it calculated in some weird way? Thank you.

OP posts:

Babyroobs · 19/07/2020 18:57

@Jolly10

It is 85% up to a certain amount, sorry I can't remember the exact amount but don't think you will exceed it. So you should get 85% of £561 so £476.85 as another element of Uc, so yes I guess you will get that in addition to what you normally get from UC. hopefully someone who actually claims it will be able to confirm this. I don't claim UC myself.

Lougle · 19/07/2020 19:19

The limit for one child is £646.35 per month.

How much help you get towards childcare depends on your income.

You get £594.04 as a couple
£235.83 for your child
Possibly an amount for your rent?
Then £476.85 for your nursery fees (85% of your fees).

The work allowance is £292 or £512 if you don't get help with housing costs.

So, say you get £1306.72 (no housing help). Your work allowance is £512. After that, every £1 gets £0.63 deducted.

If, between you, you got £1267.04 + £566.80 = £1833.84 (minimum wage full time + minimum wage 15 hours).

You get The first £512 free, then £1321.84 x 0.63 = £832.76 deducted from your claim.

So you'd end up with £1306.76-832.76= £470 Universal Credit. So you wouldn't 'see' any of the childcare money, even though it was in your claim.

If you can give some numbers, we might be able to help you work it out.

Lougle · 19/07/2020 19:21

Sorry that should be £512, because that's the base allowance.

Babyroobs · 19/07/2020 19:33

@Lougle