Childcare voucher scheme providers fees

[theridersofrohan]

Hi all,

I'm interested in joining a childcare voucher scheme through my ltd; before you ask why not pay the nursery directly, my child is almost two months old and her mother is currently taking care of her :-) But I think it's still worth for be to get and save the vouchers for when they're needed. I struggle to see which scheme provider to pick, as far as I can see only kiddivouchers have their fees on their website (4.5%), which seem a bit high. Which other schemes do other people use and how expensive are there?

Thank you

[Lance]

You don’t need to save any vouchers. Just don’t exceed the annual limits.
You really don’t need more than that as they get 15hours a week for free from age 3 I think, and then they start school.
You can’t redeem the vouchers back into cash and you’ll have to pay a fee to a voucher provider.
It’s a waste of time/ money.

[theridersofrohan]

but I won't spend them for at least another year while mum is on leave, so I want to bank them if you will. I
don't think my company can run its own scheme, at least not according to my accountant. That's why i'm looking at scheme providers, but I can't find information on the fees.

You don’t need to save any vouchers. Just don’t exceed the annual limits.
You really don’t need more than that as they get 15hours a week for free from age 3 I think, and then they start school.
You can’t redeem the vouchers back into cash and you’ll have to pay a fee to a voucher provider.
It’s a waste of time/ money.

[SeanT]

I use https://www.applechildcarevouchers.co.uk/

They charge 4% + VAT and were the cheapest I found in my search (although they used to charge less than this apparently) - I've never had any issues and got my missing carer added on easily enough.

Get in quick before you miss the boat!

[Lance]

but I won't spend them for at least another year while mum is on leave, so I want to bank them if you will. I
don't think my company can run its own scheme, at least not according to my accountant. That's why i'm looking at scheme providers, but I can't find information on the fees.

I understand all that.

When the mother goes back to work she can access a childcare scheme that won’t cost you/her a percent.
Add into that what your company can provide and you’ll have more than you need. Is what I’m saying.
Someone else says 4% and IMO that’s an awful lot unless you’re absolutely certain you need the extra ones banked now.

[SeanT]

Someone else says 4% and IMO that’s an awful lot unless you’re absolutely certain you need the extra ones banked now.

Have you seen the price of childcare? You know you can't just pay the whole bill (over c. £3k a year) without incurring BiK right? And that the voucher scheme is about to close forever next month?

[Lance]

Have you seen the price of childcare? You know you can't just pay the whole bill (over c. £3k a year) without incurring BiK right? And that the voucher scheme is about to close forever next month?

I didn’t know it was going to close.


I was sharing my experience.
Yes I do know the price of childcare.
And 2 parents (that’s the required number as I recall) can pay nearly £6k.

[theridersofrohan]

Yeah, sorry I wasn't very clear (newbie poster, and newbie at contracting too!). The scheme is about to close (I need to sign up and receive my first voucher before the 4th of April) and by the time mum goes back to work she won't be able to sign up to the scheme (as it will have closed).

So that's why I'm looking for a provider to sign my ltd with urgently, and I'm asking about the fees.

I didn’t know it was going to close.


I was sharing my experience.
Yes I do know the price of childcare.
And 2 parents (that’s the required number as I recall) can pay nearly £6k.

[theridersofrohan]

Thank you - that's very useful. When did you conduct your search?

I use https://www.applechildcarevouchers.co.uk/

They charge 4% + VAT and were the cheapest I found in my search (although they used to charge less than this apparently) - I've never had any issues and got my missing carer added on easily enough.

Get in quick before you miss the boat!

[Lance]

Yeah, sorry I wasn't very clear (newbie poster, and newbie at contracting too!). The scheme is about to close (I need to sign up and receive my first voucher before the 4th of April) and by the time mum goes back to work she won't be able to sign up to the scheme (as it will have closed).

So that's why I'm looking for a provider to sign my ltd with urgently, and I'm asking about the fees.

To be clear though. Vouchers are closing but tax free childcare isn’t. It’s changing so for every £8 you pay the govt pays £2. Make sure you look at the whole picture over many years.