Parents may be missing out on thousands

Category: Money
Date: 6/26/2009

Many parents could be unaware that they could be entitled to hundreds of pounds from the Government to help fund childcare costs.

With the economic downturn affecting many parents' finances, the July and August break could prove to be a tricky time, with money to be found for childcare, days out and the like.

Currently, 470,000 families are taking advantage of the childcare element of Government tax credits, but many families could be unknowingly missing out.

Tax credits could add up to £240 a week onto a family's budget. Single parents who work more than 16 hours a week, or couples paying any form of childcare who both work more than 16 hours a week with combined earnings of under £40,000, have been urged to check the tax credit entitlement.

Parents should also check with their employer whether they are entitled to childcare vouchers. Received from your employer, the vouchers can be worth up to £55 a week, or £243 per month and is not subject to tax or national insurance. These can be used to pay for Ofsted registered childcare for children up to the age of 15.

Parents have also been advised to check out the clubs and activities that are provided at local schools. There are over 14,000 extended services schools that offer childcare, as well as breakfast, homework and study support clubs.