Are you and your employees benefiting from tax-efficient childcare costs?
Childcare vouchers allow working parents to save up to £933 in tax and National Insurance (NI) contributions, and they benefit employers by reducing NI contributions.
It's a simple scheme – employees exchange part of their normal salaries for the vouchers and can save up to:
|Basic Rate Tax Payer (20% PAYE & 12% NI)||Higher Rate Tax Payer (40% PAYE & 2% NI)||Additional Rate Tax Payer (45% PAYE & 2% NI)|
|Max monthly vouchers||£243||£124||£110|
|Max annual vouchers||£2,916||£1,484||£1,325|
|Monthly tax & NI saving||£78||£52||£52|
|Annual tax & NI saving||£933||£625||£620|
|Employer NI saving at 13.8%||£402.41||£205.34||£182.16|
It makes childcare cheaper for the employee and reduces costs to the employer.
For more information about our services or to speak to one of our consultants, simply complete our enquiry form, send us an email or call our Cambridge office on 01223 720209 or our Norwich office on 01603 692733.