Striking the right balance between work and family life is never easy, and now even more parents are feeling the squeeze in the wake of the government’s recent child benefit cuts.
Childcare is becoming a real headache for parents who want to send their little ones to nursery or fund after school activities for older children.
According to recent figures compiled by the Daycare Trust, nursery care costs have shot up by nearly 6% over the past year, at a rate that is well above inflation.
At the same time salaries have almost frozen, rising a mere 0.3% on last year, with the result that families are losing out.
In some cases, where wages fail to balance out the cost of childcare, it’s become uneconomical for both parents to go to work.
With a full-time nursery place costing an eye-watering £11,000 a year, how can you save on childcare?
Here are a few free tips that could help you manage your expenditure:
Government support- find out if you’re eligible
For families where both parents are in work, funding is available from the coalition’s proposed new childcare system, which offers financial support of up to £1,200 a year per child. This could amount to a significant 20% off annual childcare costs, and is estimated to support 1.2 million families in the UK.
You can find out if you’re eligible for government support by visiting the HMRC website, however there’s a long wait; as this scheme won’t kick in until 2015.
Share childcare with grandparents
The trend of ‘Grandparenting’ is growing fast, and is an easy way to reduce costs. Charities like The Grandparents’ Association offer excellent advice for grannies and grandpas who help out with childcare; including suggestions for activities, how to create discipline and boundaries, and what to do if you’re feeling overwhelmed by the level of support expected by parents.
Besides being a great opportunity for your children to spend time with their grandparents, there’s also an important financial incentive. Grandparents under state pension age who look after a child under the age of 12 can now apply for national insurance credits towards their state pension using the HMRC form CA9176, so this is well worth exploring.
Know your rights- ask for flexible working hours
For working mums, it’s also possible to request flexible working hours. If you have a part-time job, you could save on childcare by working on days where nurseries offer cheaper rates- some nurseries cut their rates on quieter days.
After a year’s employment parents are also entitled to 18 weeks of unpaid parental leave to care for a child under the age of five, so you don’t have to worry about missing out on your child’s early years.
Nanny share
Finally, it helps not to do it alone. Sharing a nanny or childminder with a friend who also has children will help spread the costs. This option not only has the advantage of lowering costs, but it can also offer your child extra company and play opportunities. For older children, exploring shared school runs could help to take the pressure off.
