Childcare Voucher Savings

Childcare Vouchers are a simple, straightforward way to pay for quality childcare that saves you money. That’s because you don’t pay tax or National Insurance on childcare vouchers up to specified limits – so working parents can save up to £1,000 a year – or double, if both parents sign up for a Childcare Voucher scheme.

Most employers who provide Childcare Vouchers do so through a salary sacrifice scheme. This means you agree to reduce your gross salary by a certain value, and receive Childcare Vouchers to the same value, but pay no tax or National Insurance on those vouchers.  So you save the tax and NI you would have paid on your salary.

The table below shows the savings you could make taking Childcare Vouchers through a salary sacrifice scheme.

  Weekly Monthly Annual

Basic rate taxpayer tax and NI exempt maximum

£55

£243

£2,916

Potential savings  £18 £78 £933

Higher rate taxpayer tax and NI exempt maximum

 £28  £124  £1,484
Potential savings £12 £52 £625

Additional rate taxpayer tax and NI exempt maximum

 £25  £110  £1,325
Potential savings £12 £52 £623

To establish what rate of tax you pay and how much tax and NI exemption you are entitled to, your employer will perform a ‘basic earnings assessment’ (see FAQs for more information).  

To join the scheme please speak with your employer.

To find out more click the FAQs tab above, or visit Edenred’s virtual event: 
www.workingparentszone.co.uk to see videos and webinars about saving money on childcare.

Login and manage your Childcare Vouchers account

Get in touch


To make sure your enquiry is dealt with by the correct team, please
select the appropriate telephone number below:

 

Customers, parents and childcare providers:

0800 247 1233

 

Employers looking to start a childcare vouchers scheme or
to switch supplier:

0843 453 4406*

 

If for any reason you have cause to complain about the service offered by Edenred please follow our complaints procedure which you can access
here >

Interested in Childcare Vouchers as an Employee Benefit in your business?

*Calls cost 5p per minute plus your phone company's access charge.