Making savings for both you and your employees
Would you like to offer your staff a way to save money on their childcare costs, as well as saving you money on National Insurance Contributions? Employers For Childcare can help through our salary sacrifice Childcare Voucher scheme, which helps parents to meet the cost of childcare.
Put simply, the Childcare Voucher scheme enables parents to swap part of their monthly salary, tax and National Insurance Contributions free, for Childcare Vouchers. In addition to savings being made by the parents, the employer also makes a saving as the amount each parent swaps from their salary is exempt from National Insurance Contributions.
By offering the Childcare Voucher scheme to your employees you will:
- Make savings on Employer’s National Insurance Contributions
- Reduce absenteeism and increase staff morale, motivation and productivity
- Save your employees money on the cost of childcare
- Be seen to be supporting your staff and helping them to achieve a better work-life balance
Childcare Vouchers due to close to new entrants in October 2018
The Childcare Voucher scheme is due to close to new entrants in October. This means working parents who wish to join the scheme need to do so as soon as possible by making a salary sacrifice from their pay prior to the closure date. As an employer, the more staff you have who are benefitting from Childcare Vouchers, the greater the saving to you through reduced Employer’s National Insurance Contributions.
Remember, parents who are already using Childcare Vouchers when the scheme closes can continue to do so. If you have any staff who are new parents and are on maternity or paternity leave, it is important that they join the Childcare Voucher scheme in time to salary sacrifice ahead of the October closure date. Equally, you may have staff who do not realise they could be benefiting from Childcare Vouchers, for example, parents who are paying for afterschool or breakfast clubs for their older children. You could use the checklist below to ensure that you and your staff are prepared!
Checklist: Next steps
- Tell all your staff about these changes and communicate details of your Childcare Voucher scheme with them (contact us if you would like support with this)
- Advise all your staff they can call our Family Benefits Advice Service for free, confidential and impartial advice on 0800 028 3008 to ensure they are receiving all the financial help they are entitled to
- Ensure all staff who want to use Childcare Vouchers have salary sacrificed in their pay cheque before October 2018
- Ensure staff who have opted out of Childcare Vouchers temporarily have made at least one salary sacrifice in the last 52 weeks to remain in the scheme
Interested in setting up a Childcare Voucher scheme?
If you don’t already offer Childcare Vouchers to your employees, but would like to set up a scheme, we are here to help. Our team of Client Account Managers will guide you step by step through the registration process and are available daily from 8am-5pm to provide you, the employer, with all the technical support you need to run the scheme efficiently in your workplace.
Our Childcare Voucher scheme is the only scheme that is a Social Enterprise which distributes 100% profit for social good.
We are a founding member of the Childcare Voucher Providers Association which sets the standards for the Childcare Voucher industry in the UK, so you can have confidence in our service. We are also very proud to hold both ISO 27001 and ISO 9001, the globally recognised Information Security and Quality Management standards.
Get in touch for more information or call 028 9267 8200.