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Tax-Free Childcare calculator
Tax-Free Childcare tops up a government childcare account by 20% — for every £8 you pay in, the government adds £2 — up to £2,000 per child a year. This calculator works out your top-up across all your children using the published 2026 scheme year (England) figures.
How much is the Tax-Free Childcare top-up worth?
Tax-Free Childcare adds 20% to what you pay for registered childcare — for every £8 you pay in, the government adds £2 — up to £2,000 per child a year (£4,000 for a disabled child). You reach the maximum top-up once your childcare costs £10,000 a year per child. Source: GOV.UK.
Tax-Free Childcare calculator
Work out your total government top-up across all your children. The government pays 20% of registered childcare costs, capped at £2,000 per child a year (£4,000 for a disabled child).
| Total childcare cost (1 child) | £6,000 |
| Government top-up (20%) | £1,200 |
| Top-up per 3-month period | £300 |
| You pay (after top-up) | £4,800 |
Estimate only. Top-up caps apply per child per 3-month entitlement period, and you cannot use Tax-Free Childcare at the same time as Universal Credit, tax credits or childcare vouchers. Uses the published 20% top-up and per-child caps (£2,000 a year, £4,000 disabled). Open your account at gov.uk/tax-free-childcare. Source: GOV.UK, Open Government Licence v3.0.
Tax-Free Childcare caps (2026 scheme year (England))
| Child | Max top-up per quarter | Max top-up per year | Costs to reach the cap |
|---|---|---|---|
| Non-disabled child | £500 | £2,000 | £10,000 a year |
| Disabled child | £1,000 | £4,000 | £20,000 a year |
The top-up is the government’s 20% share, applied per child per 3-month entitlement period. Tax-Free Childcare covers children up to age 11 (16 if disabled). Source: GOV.UK — Help paying for childcare (HM Government / DfE / HMRC / DWP).
Who can use Tax-Free Childcare
You and any partner must each usually expect to earn at least the equivalent of 16 hours a week at the National Minimum/Living Wage over the next 3 months. The thresholds depend on your age band:
| Your age | Minimum you must expect to earn (next 3 months) |
|---|---|
| Aged 21 or over | £2,643.68 |
| Aged 18 to 20 | £2,256.80 |
| Under 18 or an apprentice | £1,664.00 |
- Neither parent can expect an adjusted net income over £100,000 a year.
- Your child must be 11 or under (under 16 if disabled), and childcare must be with a registered/approved provider.
- You cannot use Tax-Free Childcare at the same time as Universal Credit, tax credits or childcare vouchers.
Minimum-earnings thresholds are based on the April 2026 National Living/Minimum Wage. Check your eligibility and apply at gov.uk/tax-free-childcare.
Tax-Free Childcare or Universal Credit?
You cannot use both for the same child. Universal Credit can reimburse 85% of childcare costs (up to £1,071.09 a month for one child, £1,836.16 for two or more), which is often worth more for lower earners, while Tax-Free Childcare gives a flat 20% top-up regardless of income (within the limits above). Work out both and choose whichever leaves you better off.
Tax-Free Childcare — FAQ
- How is the Tax-Free Childcare top-up calculated?
- The government pays 20% of your registered childcare costs through the top-up — the same as adding £2 for every £8 you pay into your childcare account. So if your childcare costs £5,000 a year, the government adds £1,000 and you pay £4,000. The top-up is capped at £2,000 per child a year, which you reach once costs hit £10,000 a year.
- Is there a quarterly limit on Tax-Free Childcare?
- Yes. The top-up is applied per 3-month entitlement period, capped at £500 per child each quarter (£1,000 for a disabled child), which adds up to the £2,000 (£4,000) annual maximum.
- How much more do I get for a disabled child?
- For a disabled child the annual top-up cap doubles to £4,000 a year (£1,000 a quarter), and you can use Tax-Free Childcare until the September after the child's 16th birthday instead of their 11th.
- What are the earnings limits for Tax-Free Childcare?
- Each parent must usually expect to earn at least the National Minimum/Living Wage for 16 hours a week over the next 3 months — about £2,643.68 if aged 21+, £2,256.80 if 18–20, or £1,664.00 if under 18 / an apprentice. Neither parent can expect to earn over £100,000 a year.
- Can I get Tax-Free Childcare and Universal Credit together?
- No. You cannot claim Tax-Free Childcare and the Universal Credit childcare element for the same child at the same time. Universal Credit can reimburse 85% of childcare costs (up to £1,071.09 a month for one child, £1,836.16 for two or more), which is often worth more for lower earners. Use whichever leaves you better off.
Related on GeraJobs
- UK childcare costs help — free hours, Tax-Free Childcare and Universal Credit in one place.
- UK benefits: Universal Credit & Child Benefit rates — standard allowances and a monthly UC estimator.
- Browse jobs with salary ranges — flexible and part-time roles hiring now across the UK.
2026 scheme year (England). Tax-Free Childcare is UK-wide. Source: gov.uk/tax-free-childcare and gov.uk/tax-free-childcare/check-if-youre-eligible. Contains public sector information licensed under the Open Government Licence v3.0 (OGL v3.0). GeraJobs presents these published figures and the calculator is a guide only — no figure is modelled or invented. For your eligibility and to open an account, use gov.uk/tax-free-childcare.