Funding and Tax Saving Opportunities for Parents:Funding and tax saving opportunity to reduce childcare cost

 

 

2-Year-Olds

 

You may qualify for free early education and childcare for your 2-year-old if you receive any of the following: 

  • Income Support
  • Income-based Jobseeker’s Allowance (JSA)
  • Income-related Employment and Support Allowance (ESA)
  • Universal Credit
  • Tax credits, and your annual income before tax is under £16,190
  • The guaranteed element of State Pension Credit
  • Support through part 6 of the Immigration and Asylum Act
  • Working Tax Credit 4-week run-on

Alternatively, your 2-year-old may also be eligible for free early education and childcare if they fall into any of the following categories: 

  • Looked after by a local authority
  • Have a current statement of special educational needs (SEN) or an education, health and care (EHC) plan
  • Receive Disability Living Allowance
  • Left care under a special guardianship order, child arrangements order or adoption order

To check your eligibility for the entitlement to Early Years Education Funding, you will need to provide your National Insurance number, date of birth, name, and your child’s details. You can do this online by visiting: https://www.gov.uk/help-with-childcare-costs or by calling 0345 155 1013. 

3- and 4-Year-Olds

 

All 3- and 4-year-old children are entitled to 15 hours of free childcare per week based on the Hampshire council term calendar of 38 weeks per year. Privett offers 39 weeks of childcare per year, so an additional week will fall outside the period. 

A child becomes eligible for the funding the term after their 3rd birthday. For instance, if your child was born in January, they will be eligible for free funding in the Spring term. 

Working families with 3- and 4-year-olds can receive up to 30 hours of free funding. To check if you are eligible, you and your partner must be in work and each earning at least the National Minimum Wage or Living Wage for 16 hours a week, with a combined income of less than £100,000 per annum. 

To check your eligibility, visit: https://www.childcarechoices.gov.uk/. 

Other Options 

Tax-Free Childcare:

If eligible, parents can pay fees through a Tax-Free Childcare account. For every £8 you pay in, the government will add an extra £2, up to £2,000 per child per year, which is up to £500 every three months. 

To see what help with childcare you are eligible for, visit: https://www.gov.uk/tax-free-childcare. 

Once you have successfully registered and will need our details, which are: Privett Montessori Nursery School, Privett Village Hall,  Fawley Ln, Privett, Alton GU34 3NU, Ofsted Registration number: 2595673

Tax Credits:

You may be able to access help with the cost of childcare if you’re working for a minimum of 16 hours per week. Tax credits are available from HM Revenue and Customs based on your household’s circumstances. 

For further information and eligibility, visit: www.hmrc.gov.uk/taxcredits. 

Childcare Vouchers:

We accept childcare vouchers from employers who offer this benefit to their employees. Vouchers are non-taxable and exempt from NI contributions for employees, while offering NI savings for employers. Both parents are eligible to claim as long as they are both in employment. Please let us know your childcare voucher provider, so we can set this up for you. 

 

Useful articles 

The 2023 March budget is cause for optimism for parents as it aims to extend the current in place 15 hours universal funding for 3-4 year old to 2 year olds.  Privett Montessori Nursery will offer the same funding flexibility for 2 year olds as was is in place today for 3 to 4 year olds (see Dates & Fees).

Privett Montessori nursery school will closely monitor developments and updates will be posted on our website accordingly. We found the following publications informative and in case you have any questions, please email  veronica@privettmontessori.co.uk

Home Page Dates & Fees