30 hour childcare and salary
Discussion
Hi-we used 30 hour free childcare earlier in the year and we qualified as none of us earned more than £100,000. We stopped taking benefit in August as son started school. Since then I have changed my job and looking at current projections I will exceed 100,000 net adjusted income. I am looking to see how can I come under the income by increasing pension but does anyone know if qualification for free childcare is based in salary at time of getting benefit or is it based on whole tax year?
Thanks
Thanks
I believe that it is whole tax year - i.e. you can put a lump sum into your pension to bring yourself under the 100K limit at any time before April 6th.
This is what many people do in order to retain the 30hours, otherwise you might well find yourself paying an effective rate of >100% .
e.g by creeping over the 100K, first losing the tax free allowance, and then losing the 30 hours of childcare..... Worth triple checking your numbers!!
This is what many people do in order to retain the 30hours, otherwise you might well find yourself paying an effective rate of >100% .
e.g by creeping over the 100K, first losing the tax free allowance, and then losing the 30 hours of childcare..... Worth triple checking your numbers!!
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