{"id":4294,"date":"2021-09-03T16:43:01","date_gmt":"2021-09-03T16:43:01","guid":{"rendered":"https:\/\/www.bainesjewitt.co.uk\/blog\/?p=4294"},"modified":"2021-09-03T16:43:04","modified_gmt":"2021-09-03T16:43:04","slug":"personal-tax-thousands-of-parents-missing-out-on-tax-free-childcare","status":"publish","type":"post","link":"https:\/\/www.bainesjewitt.co.uk\/blog\/personal-tax-thousands-of-parents-missing-out-on-tax-free-childcare\/","title":{"rendered":"Personal tax: Thousands of parents \u201cmissing out\u201d on Tax-Free Childcare"},"content":{"rendered":"

HM Revenue & Customs (HMRC) has reminded parents that they may be eligible for Tax-Free Childcare ahead of the new academic year.<\/p>\n

The tax authority said thousands of families may be missing out on thousands of pounds in tax relief every year.<\/p>\n

If you are a working parent, here\u2019s what you need to know.<\/p>\n

What is Tax-Free Childcare?<\/strong><\/p>\n

Launched in April 2017, the initiative is designed to support working parents to pay for essential childcare services, such as childminding and after school clubs.<\/p>\n

How does Tax-Free Childcare work?<\/strong><\/p>\n

For every \u00a38 you pay into your childcare account, the Government will pay in \u00a32 to use to pay your childcare provider.<\/p>\n

You can get up to \u00a3500 every three months (up to \u00a32,000 a year) for each of your children to help with the costs of childcare. This goes up to \u00a31,000 every three months if a child is disabled (up to \u00a34,000 a year).<\/p>\n

How do I open a childcare account?<\/strong><\/p>\n

You can use this link<\/a> to apply for a childcare account.<\/p>\n

What can Tax-Free Childcare be used to pay for?<\/strong><\/p>\n

The cash can be used to pay for approved childcare, such as childminders, nurseries and nannies, as well as after school clubs and play schemes.<\/p>\n

Your childcare provider must be signed up to the scheme before you can pay them and benefit from Tax-Free Childcare.<\/p>\n

Am I eligible for Tax-Free Childcare?<\/strong><\/p>\n

To claim relief, you \u2013 and your partner if you have one – need to expect to earn at least the National Minimum Wage or Living Wage for 16 hours a week on average over the next three months.<\/p>\n

If you or your partner have an expected \u2018adjusted net income\u2019 over \u00a3100,000 in the current tax year you will not be eligible. This includes any bonuses you expect to get.<\/p>\n

The full eligibility criteria can be found here<\/a>.<\/p>\n

Can I claim Tax-Free Childcare and 30 hours of free childcare?<\/strong><\/p>\n

Yes, you can claim both schemes at the same time if you are eligible for both.<\/p>\n

Get advice today<\/strong><\/p>\n

For help and advice with related matters, please get in touch with our team today.<\/p>\n","protected":false},"excerpt":{"rendered":"

HM Revenue & Customs (HMRC) has reminded parents that they may be eligible for Tax-Free Childcare ahead of the new academic year.<\/p>\n","protected":false},"author":2,"featured_media":4296,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24,28,41,114,7,27,32],"tags":[],"_links":{"self":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/4294"}],"collection":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=4294"}],"version-history":[{"count":1,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/4294\/revisions"}],"predecessor-version":[{"id":4295,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/posts\/4294\/revisions\/4295"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/media\/4296"}],"wp:attachment":[{"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=4294"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=4294"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bainesjewitt.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=4294"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}