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Your very last chance to join a Childcare Vouchers scheme

Posted on 12 March 2018

Update: Since this article was originally published the government has extended the deadline to join a Childcare Vouchers scheme to October 2018. The precise date in October is yet to be confirmed by HMRC. All other information provided in this article remains relevant.

 

Childcare Vouchers is closing to new joiners from 6th April 2018, and you will need to be in receipt of your first vouchers by 5th April 2018. However your last date to apply in your organisation will almost certainly be before April.

Childcare Vouchers could help your family save up to £933/year per parent on your childcare costs.

To join (or rejoin) the Childcare Vouchers scheme, speak to your employer or HR department immediately – they will also be able to advise you when the cut-off date for applying is in your organisation.

What’s changed?

Childcare Voucher schemes are closing to new joiners due to the roll-out of the government’s new Tax-Free Childcare (TFC). With TFC, the government tops-up £2 for every £8 you put into an online account, up to an annual limit of £2,000 in top-ups. However you can only receive the maximum savings if you have childcare costs of £10,000/year.

Many families will be better off with Childcare Vouchers, and in fact research has shown that around 57% of families would be worse off with TFC than with Childcare Vouchers.

I’m already on a Childcare Vouchers scheme; do I need to do anything?

The good news is if you are already on a Childcare Vouchers scheme you can continue to benefit from the savings for as long as:

• You remain with your current employer

• Your child is eligible

• You receive at least one voucher payment within a 12 month period

However, if by the 5th April 2018, you will not have been in receipt of any vouchers for 12 months or more, you will need to be in receipt of new vouchers before this date to remain eligible. Similarly, if your 12 month break in payments is due to end after this date, you will need to have received at least one voucher payment before the 12 months is up. Speak to your employer today to arrange new vouchers.

I haven’t joined a Childcare Vouchers scheme yet; what should I do?

The cut-off date for joining Childcare Vouchers is different in every organisation, but you will need to be in receipt of your first vouchers by 5th April 2018. If you would like to join the scheme, please speak to your employer or HR department straight away to confirm your cut-off date and to apply.

If your employer has yet to start a Childcare Vouchers scheme you can recommend it to them simply by clicking here. We’ll take care of the rest!

Can my partner join a Childcare Vouchers scheme?

Unlike Tax-Free Childcare the savings from Childcare Vouchers are per parent – so if you and any partner join you could double your savings!

Remember – your family cannot benefit from both TFC and Childcare Vouchers at the same time, so you cannot join Childcare Vouchers if your partner has successfully applied for TFC.

If your partner, or in fact any other working parent doesn’t have a Childcare Vouchers scheme at their workplace then you can help them be financially better off in seconds:

  1. Forward this article to any parents who could benefit
  2. They click here to recommend Childcare Vouchers to their employer
  3. We’ll take care of the rest!