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Higher Rate

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Maximum voucher

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per annum

An employee benefit that enables employers to support parents with the cost of childcare


About Childcare Vouchers

Today around 350,000 employees use childcare vouchers, a cost-saving employee benefit available to working parents and carers via their employer.

While the scheme closed to new entrants in October 2018, existing users can still take advantage of the vouchers to pay for childcare up to the age of 15.

Childcare vouchers can also be used for registered childminders nurseries, before- and after-school clubs, holiday camps and some elements of independent school fees.

Childcare vouchers work through salary sacrifice Where you swap part of your salary for a childcare voucher, saving Tax and National Insurance in the process.

The highest yearly amount you can save is £933 per year but exact savings will vary among individuals depending on the rate of tax you pay and the total value of vouchers required each year.

Employers who maintain Childcare Voucher schemes also make NI savings.

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