use the money saved by not paying tax and NI to go on holiday...
savings
see how much you could save in tax and NI each year by using the v-payplan
Working families could save up to £2,392 a year on their childcare costs — simply by joining the v-payplan
how much can you save?
Savings arise from substituting part of your gross salary – up to £243 per month with childcare vouchers. Taking this from your gross salary means that this amount is deducted before tax or national insurance is applied. So, a parent paying tax at 22% could save up to £933 per year, whilst a 40% tax payer will make savings of up to £1,196 per year.
Using the v-payplan, the table below shows typical annual savings realised for both employee and employer.
salary
employee’s saving
employer’s saving*
£5,000 - £33,500
£933
£155
£33,501- £38,500
£642
£155
£38,501 and over
£1,196
£155
*minimum savings per employee after administration costs of scheme - based on a voucher payment of £243 month. costs vary according to number of employees.
employer savings
By making childcare vouchers available to all employees, your employer will save on Employers NI contributions. After the administration costs of the scheme have been deducted this saving will be at least £155 a year per employee.
