Tax Free Childcare – Are you missing out? - Once upon a time

Tax free Childcare
Are you missing out?

Tax Free

If you don’t currently use Childcare Vouchers through an employer, you could be eligible for Tax Free Childcare to help reduce the cost of your fees.

How much can you save?
The government will pay £2 for every £8 you pay via an online account.

The maximum you can save per month is £666.67 per child. HMRC will top that up with £166.67.

The maximum you can save in any three-month period is £2,000, with £500 being added by the government.

Who is eligible?
You will qualify for Tax Free Childcare if you (and your partner, if you have one) are:

  • In work (or getting parental leave, sick leave or annual leave)
  • Each earning at least the National Minimum Wage or Living Wage for 16 hours a week (this does not apply if you’re self-employed and started your business less than 12 months ago)
  • Each earning a taxable annual income of less than £100,000.

Once you’ve applied and been accepted, you will be given a TFC reference. You’ll need to let us know what this is as it will appear on our bank statements when you instruct HMRC to make a payment to us.