020 8959 0099 payroll@quickpaye.co.uk

ARE YOU GETTING THE RIGHT AMOUNT OF HELP WITH YOUR CHILDCARE COSTS?

The cost of childcare eats up a large part of your budget so have you checked to see if you are getting what you are entitled to from the government?

All three and four year olds are entitled to 570 hours of free early education or childcare per annum, which most people take as 15 hours each week over 38 weeks.

You can use these free hours at Ofsted registered childcare providers like the following:

An additional 15 hours of free childcare for three and four year olds is also now available nationally from this month.

Those eligible will get a total of 30 hours for 38 weeks a year.

To be eligible for the additional 15 hours of free childcare:

  • The child needs to be 3 or 4 years of age when the local scheme begins.
  • Both parents must be working – or the sole parent must be working in a single parent family.
  • Each parent must earn on average at least the equivalent of 16 hours a week at the National Minimum Wage or National Living Wage.
  • Each parent must earn less than £100,000 per annum

If you want to find out what free early education and childcare is available in your area, then look on the UK website.

 

Is the Budget good news in Payroll Land?

Is the Budget good news in Payroll Land?

So the Chancellor has raised the Higher Rate income tax personal allowance threshold from £45K to £46,350 from April 2018, and the Lower Rate Threshold will increase by £350 to £11,850.

This means that the new tax codes will increase from 1150L to 1185L in April 2018.

For a typical worker who pays tax in 2018-9, this will be a £1075 reduction in their tax paid, and a Full time Worker who is on the National Living Wage will take home more than £3,800 extra in their wage packet.

But is this good news for the typical worker? Well, the increase in personal allowance may be less generous than you think, since at just over 3%, it was only just in line with inflation!

Given that National Insurance is payable at a rate which is more than £3K below that of income tax, the lowest paid taxpayers may query whether the increase in personal allowance is the right way to support them?

Let me know your thoughts!