Smart 11+ Tuition recently completed registration for Ofsted. This allows us to offer more choice when it comes to payment using a childcare scheme and also gives you the peace of mind about the standard of education that your children will receive.
Since 2018, the childcare vouchers scheme has been closed to new applicants. However there may still be some parents who are claiming childcare vouchers through their employers. If you are registered for this scheme, we will be able to accept the childcare vouchers you receive from your employer. The scheme works by giving tax relief. The cost of the voucher is deducted by the employer before tax and national insurance is taken. This means that the person claiming the vouchers is getting the benefit of paying less tax on their earnings and therefore saving money. If you are receiving government benefits like Tax Credits or Universal Credit, you can still claim for childcare vouchers.
Tax-Free Childcare Scheme
The initiative which replaced childcare vouchers is the Tax-Free Childcare scheme. Tax-Free Childcare is a scheme run by the government instead of the employer. You can’t claim the support, money is placed into an HMRC bank account which is then topped up by the government. The government contribution is 20% so for every 80p that is put in by the claimant, the government will put 20p in the HMRC account. This scheme can’t be used in conjunction with any government benefits. A claim for this scheme would stop any benefit claims so it’s definitely something to think about.
Which Scheme Is Right?
If you aren’t already claiming childcare vouchers, you haven’t got any choice, particularly if you claim benefits. However, if you are already getting childcare vouchers, you may be better off on the new scheme. If you’re thinking about changing schemes, do this online calculator to see what’s best for you.