Childcare vouchers

[jofeb04]

My dh's work is starting childcare vouchers. Does anyone know anything about them?

Thanks

look at this link
DH and i use them and you can get up to £55 per week taken out of your pre-tax pay up to a maximum of £243 to go to your childcare provider
we find it worth it

he can take upto £55 a week in chaildcare vouchers. this is instead of £55 in his wage. he doesn't pay tax on the £55 so therefore it is worth 22% (assuming he pays basic tax not higher tax rate) more. does that make sense?

the vouchers can then be used to pay childminder or nursery. often the system is all online, so his work pay into an online handler's account, who then pay the nursery.

I use Busybees ones. See Busybees Basically Busybees childcare take £243 (current maximum) directly from my salary every month, before tax, and then pay my DS's nursery that portion of the fees. It's all done from source, so when I get my pay cheque, it's already gone. I then pay nursery the rest by direct debit.

It means that you don't pay tax on that £243 portion of your salary. Definitely worth doing as over a year, that works out to be quite a bit of money...

Also, if you work, your employer can do it too, so both you and DH could pay £243 each directly from your salary before tax.

Does that make sense???!!

I think that also you don't pay National Insurance on it either. Accor childcare vouchers have a thing where you can calculate your savings on their website

Thanks for the info. We are going to look in to it!

Does anyone have any information on which childcare voucher providers offer best value for a single employee company?

I have my own business, which can pay me in vouchers... but because it's my business, the admin fees are effectively coming right out of my pocket!

Childcarechoice take a 6% admin fee which is just outrageous in my book. Kiddivouchers are just 2.5%. Most others, e.g. BusyBees, don't publish rates on their website, which makes me very suspicious of them.

Anyone who has experience of setting this up with their own company - who did you use, and what admin rate to you pay?

Thanks,

Clive

No idea about costs etc, but just another company to look into (which is the one DH's firm use) - Imagine, which is run by the co-op. www.imagine.coop