GP Care launches a new Child Care Voucher Scheme

GP Care’s HR Service is pleased to announce the introduction of a new Child Care Voucher scheme that can save practice employees over £1,000 where they incur qualifying child care costs.

The Service is provided and supported by GP Care’s HR Service and can be operated by practices online. It is simple to administer and is at a £nil net cost to the practice.

In essence, employees are paid up to £2,916 pa of their salary in Child Care Vouchers. The value of the Vouchers is not subject to PAYE tax or National Insurance and therefore delivers the following savings:

  • Employees will save – tax at the rate paid by the employee (typically either 20% or 40%) plus Employee’s National Insurance (typically 11% on wages between £5,720 and £43,888pa; and then 1% on wages over £43,888pa);
  • Employers will save – Employer’s National Insurance which is currently 12.8%; this equates to a saving of £373 per employee (if the employee takes their full voucher entitlement) and more than covers the cost of setting up and administering the Service
At a challenging time in the economic cycle this could be a very cost effective way of giving employees an effective pay rise.
 
If you would like more information regarding the scheme then click on the Child Care Vouchers link. If you have any questions or would like a meeting to discuss the scheme or our wider HR Consultancy Services then please call the GP Care HR Service on 0333 332 2100 or email us at info@gpcare.org.uk.

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