Childcare vouchers calculator

Childcare vouchers closed to new members on 4 October 2018. If you joined before then and stayed with the same employer, you can keep them, and they can still be worth more than Tax-Free Childcare.

Old Oak explains

In MY day everyone had vouchers. Now only the old members do.

Your tax bandParents with vouchersChildren in paid childcareChildcare bill per year

How much vouchers save

Vouchers are a salary sacrifice: you give up part of your salary before tax and National Insurance, and your employer pays it to your childcare provider. HMRC sets a limit on how much is tax-free each month, by tax band:

Tax band	Weekly limit	Monthly limit	Saving a year, per parent
Basic rate (20%)	£55	£243	£816
Higher rate (40%)	£28	£124	£625
Additional rate (45%)	£25	£110	£620

Saving = monthly limit x 12 x (income tax rate + employee National Insurance: 8% for basic rate, 2% above the upper earnings limit), using 2026/27 rates for England, Wales and Northern Ireland. Scottish income tax bands differ.

Vouchers or Tax-Free Childcare?

Vouchers are per parent, whatever the number of children. Tax-Free Childcare is worth up to £2,000 per child. With one child and two basic-rate parents on vouchers, vouchers can win. With two or more children or a large bill, Tax-Free Childcare usually does. You can't use both: once you get Tax-Free Childcare, you have to leave your voucher scheme and can't rejoin it.

If you're on Universal Credit, it won't help towards costs you pay with vouchers, but it can help with costs above what the vouchers cover.

Sources

Checked October 2026. Every figure on this page comes from these sources.

This site gives estimates. For a final answer on what you can get, use the GOV.UK childcare calculator.