HOW CARE-4 WORKS FOR EMPLOYEES
Although it’s known as a childcare voucher scheme, care-4 is actually run through an easy to use website, so you can access your account online, any time and anywhere.
Once your employer is registered to provide childcare vouchers, you can arrange to have an agreed amount of your pre-tax salary paid into your own care-4 account. You then use this secure online account to pay for qualifying childcare, up to £55 a week of which is exempt from income tax and National Insurance Contributions (NIC).
- You can pay in up to £243* to your care-4 account each month, saving up to £77.76* per month.
- You can access your care-4 account online at any time.
- You can make payments to your nominated Registered or Approved carer via BACS
care-4 also provides you with access to:
- a confidential 24/7 childcare helpline
- an emergency childcare website, enabling you to find quality emergency childcare (some of which can be paid for using your care-4 account)
- childcare provider discounts (subject to availability)
To work out how much better off you will be with care-4, use our care-4 calculator.
These calculations are for illustration only, based on:
- The information you provide
- Our understanding of employer supported childcare legislation
- An assumption that your hourly pay after salary sacrifice remains above the National Minimum Wage (NMW) / National Living Wage (NLW)
Your actual savings will depend upon your individual tax and National Insurance circumstances:
- If your pay is close to the NMW/NLW you may not be able to save through the scheme.
- Your personal allowance will reduce by £1.00 for every £2.00 earned over £100,000.
- Earnings over £150,000 are subject to the additional tax rate of 45%.
You may be eligible for other childcare options from the Government. Visit www.childcarechoices.gov.uk and use their calculator to work out the best option for you. Remember to calculate the projected costs over the lifetime of your childcare needs and bear in mind that savings will vary depending on the age of your child.
REMEMBER: The savings are per employee and so if you and your partner are both eligible to join care-4, you should both sign up!
*Depending on the rate at which you pay income tax:
Basic rate taxpayers can contribute up to £243 per month
Higher rate taxpayers can contribute up to £124 per month
Additional rate taxpayers can contribute up to £110 per month
You can join the scheme if you are an employed UK tax payer, who is a parent or legal guardian of a child, and your employer has registered with us. If they haven’t, you may want to send them our details, or complete the CONTACT US form.
You can use your care-4 account to pay for Registered or Approved childcare for children up until the end of the August after their fifteenth birthday; or if they have a disability, up until the end of the August after their sixteenth birthday. Full details of the type of care which is registered or approved can be found in the Parent Frequently Asked Questions
Other questions? Call the care-4 helpline: 0344 800 1444 (Monday to Friday 9am – 5pm).
ADDED VALUE SERVICES FOR CARE-4 PARENTS
Confidential Childcare Helpline
Available 24 hours a day, 365 days per year to provide parental support on every aspect of your child’s wellbeing.
Access to Emergency Childcare
Free for the first 3 months of joining, then provided at a 20% discount on the standard £9.60 per month fee of £7.68 thereafter. You can book emergency childcare places for children for the next day or up to three weeks in advance. Registered childminders and nursery places can be booked through Emergency Childcare and paid for through your care-4 account or by card.