There are now only 14 days for employers and working parents to make the most of their savings through childcare vouchers. We have written several blog posts on the topic and I can’t stress how important it is that if you’re a higher rate tax payer – or one of the 750,000 who will be bumped in to that bracket after 6th April – and you have childcare requirements, you should sign up to childcare vouchers before the deadline.
After April 5, any new entrants to voucher schemes on higher rate tax will only be able to claim up to £28 per week and additional rate tax payers only £22, when currently it’s £55 for everyone.
Employers can benefit from joining a scheme before 6th April too. If they don't, they could miss out on up to £241 per year in NI savings for any higher and additional rate employees. But, if higher and additional rate employees are able to join an employer’s scheme now and claim the maximum £55 per week, employers will save up to £402 per employee claiming the full amount of vouchers once NI increases by 1% in April.
For more information and to act now, visit our website.