by Bobby Mills

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by Bobby Mills

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HM Revenue and Customs Tax-Free Childcare is available to most working families in the UK, including employed and self-employed parents.

In general, parents may be eligible if:

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  • They have a child aged 11 or under (or up to 16 if the child has a disability)
  • The child usually lives with them
  • Both parents are working, or the sole parent is working in a single-parent household
  • Each parent earns at least the equivalent of 16 hours per week at National Minimum or Living Wage rates
  • Neither parent earns more than £100,000 per year
  • They have a National Insurance number

Parents can still qualify in some situations where they are temporarily not working, such as: maternity or paternity leave, Adoption leave or Sick leave

Tax-Free Childcare for self-employed parents

Self-employed parents can also apply for Tax-Free Childcare. When first becoming self-employed, there may be a temporary “start-up period” where the minimum income requirement does not apply.

Parents are generally not eligible if:
  • They already receive Universal Credit or Tax Credits as those schemes are more beneficial
  • One parent earns over £100,000 per year
  • The child is no longer within the eligible age range

Related Frequently Asked Questions

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