Tax-Free Childcare is for working families, including self-employed, earning under £100,000 and at least a weekly amount equivalent to 16 hours a week at the National Minimum Wage or National Living Wage over the next three months each.
Tax-Free Childcare is available for children aged 0 to 11, or 16 if disabled. For every £8 parents pay into their childcare account, the government will add an extra £2, up to a maximum of £2,000 per child per year, or up to a maximum of £4,000 per year if your child is disabled.
Eligibility
To be eligible for Tax-Free Childcare you, and your partner (if you have one), must:
- be at least 16 years old
- be in the UK, or treated as being in the UK
- be responsible for the child you are applying for
- be in qualifying paid work, which can include being:
- self-employed
- on shared parental, maternity, paternity, or adoption leave
- on sick leave or annual leave
- expect to earn on average at least a weekly amount equivalent to 16 hours a week at the National Minimum Wage or National Living Wage over the next three months
- not have adjusted net income (ANI) of more than £100,000 per year. If you or your partner has an expected ANI income over £100,000 in the current tax year you will not be eligible. Foreign income is part of adjusted net income calculation, so worldwide income must be included when assessing ANI.
- not be in receipt of:
- Universal Credit
- Childcare Vouchers.
If you’re not currently working, you may still be eligible if your partner is working, and you get any of the following:
- Incapacity Benefit
- Severe Disablement Allowance
- Carer’s Allowance or (in Scotland only) Carer Support Payment
- contribution-based Employment and Support Allowance
- national insurance credits on the grounds of incapacity for work or limited capability for work.
How it works
Set up an online childcare account and search for your childcare provider. Deposit money into the account, for every £8 you pay into this account, the government will pay £2 to use to pay your childcare provider.
Reconfirm your eligibility for Tax-Free Childcare every three months. You’ll get a reminder and it’s easy to do through your online account.
Complete a childcare search of Ofsted registered providers in Warwickshire