If you have kids below the age of 16, this could save you up to £1,196 per year.
If your employer offers Childcare vouchers as part of a salary sacrifice scheme you can choose to have up to £243 of your monthly salary in vouchers which are free from Income Tax and NI. If you are a higher rate tax payer this could save you £100 per month (net cost of the voucher being £143).
You are probably aware that the vouchers can be used towards childcare including preschool and before and after school provision for children under 16.
What is less well known is that they can also be used for extra curricular activities. These include:-
> Activity holidays e.g. Camp Beaumont, PGL, Supercamps
> Qualifying childcare in maintained and independent schools e.g. Early Years Foundation Stage (EYFS), extra curricular activities, for example music lessons, football clubs
> Independent nursery schools
> Day nurseries
> Play groups
> Out of school clubs
> Au pairs
> Holiday clubs or schemes
> Workplace or partnership nurseries
You do not have to spend the vouchers in the month that you get them, you can save them up to use when you want to use them. You do not have to commit to have them for a long period etc.
My company use Computersharevouchers but the info would be equally relevant to your employers provider.
IMPORTANT - If you are a higher rate tax payer the rules change wef 6 April so you need to act quickly - basic rate tax payers are unaffected.