What is Tax-Free Childcare?
Tax-Free Childcare is a government scheme where for every 80p you put into a childcare account, the government adds 20p. The maximum top-up is GBP 500 per quarter per child, or GBP 1,000 per quarter for disabled children.
Can I use Tax-Free Childcare and free hours together?
Yes. The 15 or 30 hours of free childcare funded by government is separate from Tax-Free Childcare. Eligible working parents can use both for the same child.
Can I use Tax-Free Childcare and Universal Credit together?
No. You cannot claim Tax-Free Childcare at the same time as the childcare element of Universal Credit. UC childcare can be more generous for lower-income families with high childcare costs.
Related calculators:
- Universal Credit Calculator
- Child Benefit Calculator
- Take Home Pay Calculator