Change is coming…are you ready?
Do you have
staff with children requiring childcare?
Do you provide them with a Childcare Voucher scheme to help them save
money on their childcare costs?
Did you know
that it’s all change in the autumn? The Government
is launching the new Tax-free Childcare scheme, which will be available to
working parents to help make their childcare costs more affordable and to
encourage more parents back to work after having children.
If you
already offer Childcare Vouchers to your staff or are considering setting up a
scheme, now is the time to maximise savings for your organisation and employees.
Act NOW before it’s too LATE!
1. Tax-free
Childcare will see the Government subsidising 20% of an employee’s childcare
costs, providing a saving of up £2,000 per child, each year. To access
these savings, parents must spend £8,000 per year.
The
current Childcare Voucher system can save each parent up to £933 per
year for an outlay of only £2,916, therefore many parents will be better off
continuing to use Childcare Vouchers, especially those falling into the
categories below:
a. Middle-low earning parents
b. Basic Rate tax payers spending less
than £9,336 on childcare each year
c. Families with only one working parent
d. Families only using childcare a few
days a week
e. Families using before and after
school care and holiday clubs
f. Families using Childcare Vouchers for
activities and additional lessons through an Ofsted registered childcare
provider or the Independent School sector
g. Families with children using
childcare over the age of 12
h. Families who want to start saving
towards childcare costs as soon as their baby is born
i. Family run businesses where savings
can be made on PAYE, Employers and Employee National Insurance and Corporation
Tax
j. Families wanting to keep their Child
Benefit payments
Even
if employees will be better off using Tax-free Childcare, they could save up to
£77* per month using Childcare Vouchers before the new scheme is
launched. This could be even more if both parents join their employer’s
Childcare Voucher scheme. Employees only need to have a deduction of £10 a
month to remain on the scheme, which will give them the right to choose which
scheme will be most beneficial for their family.
Why introduce a Childcare Voucher scheme today
Retaining
skilled staff is a must for organisations.
With many now offering a range of employee benefits, making your company
look as attractive as possible is key.
The way to do this is to introduce employee benefits which will be
valued by staff, especially Childcare Vouchers.
Childcare
Vouchers are must have for working parents, with many believing they influenced
their decision to return to work, to remain with their current employer or to
change jobs to benefit from their savings.
Is the Childcare Voucher
scheme stable?
With the
introduction of Tax-free Childcare, many Childcare Voucher providers will be
disappearing from the market, especially those only specialising in Childcare
Vouchers. Rest assured Busy Bees
Benefits are not going anywhere! As an
employee benefits provider offering an array of salary sacrifice, lifestyle and
business benefits, we will continue to provide Childcare Vouchers to organisations
as long as they are required by working parents. Our association with
Busy Bees Nurseries, the largest nursery network in the UK with over 230
settings nationwide and 60 settings in South-East Asia, means our financial
stability will be supported throughout the changes and beyond.
Funds are
safe with us. All funds are ring-fenced and as such, they
are not used to fund our operating expenses. There are few providers that
can give you such a guarantee.
Already offer Childcare Vouchers – switch to Busy Bees Benefits in a
matter of minutes
It is a common misconception that it is difficult to switch Childcare
Voucher providers. It is actually very
easy, only taking a few minutes. By
switching to Busy Bees Benefits, they whole process will be managed for you and
you will benefit from:
- First month's service charge free
- We guarantee to match any service charge you are currently paying
- Employees and scheme administrators get free access to a variety of discounts to be used on the high street or online
- Employees using Busy Bees Benefits Childcare Vouchers in a Busy Bees nursery, automatically receive 5% credit on top of their voucher values
- Employees will get free access to the Emergency Childcare scheme to help solve any sudden childcare issues – reducing employee absence
- You and your employees will get access to the Busy Bees Benefits online portal where you can view and access all of our employee benefits and see where else you and your staff can save money
Spread the word
Employees
that do not have a requirement for childcare vouchers at the current time, from
April 2015 they only need to have a deduction for as little as £10 to join your
Childcare Voucher scheme….and vouchers can be saved up to be used when they are
required.
If you would
like some more information about the changes and how they will affect your and
your staff, please click the image below to download a useful guide for
employers.
For more
information or to discuss your organisation’s options, please contact Busy Bees
Benefits on employer@busybeesbenefits.com or call 0330 333 9100.
www.busybeesbenefits.com
*Basic Rate tax
payers. Higher rate can save £52 and
additional can save £51.67 per month.
