HMRC Calculator

To find out the impact of Childcare Vouchers and tax credits, please refer to the HMRC's calculator below:

Childcare vouchers and tax credits - better off calculator

The table below will give an indication of the annual savings available if you take the maximum amount of tax and NI exempt Childcare Vouchers: 

 Status  Annual Tax exempt amount*  Savings*
Basic rate (contracted out) 20% tax 10.6% NI  £2,916  £892
Basic rate (contracted in) 20% tax 12% NI  £2,916  £933
Higher rate category 40% tax 2% NI  £1,484  £623
Additional rate category 45% tax 2% NI  £1,325  £623

If you are found to fall into the higher rate category (as a rough guide this is likely to be those earning between £44,781 and £151,484) you will be able to get £124 a month tax and NI exempt (£28 a week).