The childcare voucher scheme allows
you to take a portion of your salary as vouchers, which are not subject to tax
and National Insurance deductions. A salary sacrifice scheme' is what this is
referred to as.
If you joined the scheme after the
6th April 2011 date, an earnings assessment will be carried out at the start of
each tax year to determine your allowance for the year ahead. Your employer
will do this automatically. Depending on the tax brackets you are in, you may
be limited to the number of vouchers you are eligible for. The current rates
are shown.
After the Fideliti childcare
vouchers have been deducted, your salary cannot drop below the national minimum
wage or national living wage and it is important that your salary does not drop
below the lower earnings limit as this could affect other.
If the child is disabled, the
vouchers can be used to make full or part payments for up to the 1st of
September after the child's 15th birthday or if the child is 15 years old.
They are able to be used to pay for
any form of registered childcare, including nurseries, childminders, breakfast
clubs, and school after-school day clubs. It is possible for them to be used
for private tuition if the site is registered with the inspectorate.