How Workplace Nursery Benefit can help nursery providers

The Workplace Nursery benefit allows your nursery parents’ employers to work in partnership with a chosen nursery like yours. This then enables the parents to save Tax and NI on ALL of their nursery fees from birth up to the age of 5. Enjoy Benefits have been offering the workplace nursery benefit since 2004.

How will offering the Workplace Nursery benefit to your nursery clientele help your business?

  • Parents using your nursery will save significant sums off the cost of their monthly nursery fees. This may then allow them to book in extra days of childcare with you

  • You receive one payment at the start of each month, for the full months nursery fee

  • You receive additional financial support for your nursery from the companies that you partner with. This is £1200 per contract per year. You will receive £100 per month in addition to the monthly fees. You can spend this on the running and upkeep of your nursery

  • This benefit makes a huge difference to the finances of the parents using your nursery and will attract new parents to your nursery

Workplace Nursery Schemes – More background for Nursery Providers

  • The benefit has been around since 1988 and was widely used before childcare vouchers came into play in 2005.
  • Parents save more than they ever could with childcare vouchers because they can have the full cost of their nursery fees deducted from their gross salary. This gives them a huge saving in Income Tax and National Insurance payments.
  • Tax Free Childcare launched by the UK Government in 2018 – isn’t to be confused with either the Childcare Voucher Scheme or Workplace Nursery scheme as all three benefits are completely separate.

Annual Benefit

1 Child £1,200.00
2 Children £2,400.00
3 Children £3,600.00
4 Children £4,800.00
20 Children £24,000.00
1 Child £1,200.00
2 Children £2,400.00
3 Children £3,600.00
4 Children £3,634
20 Children £4,800.00

More detail on running this benefit

Workplace Nursery Provision

A network of nurseries

We work with nurseries across the UK and are adding new ones all the time.

We have a network of nurseries that we currently work with to offer this benefit to companies and this list grows daily. If a parent would like to use a nursery that we don’t currently partner with, we will contact them to discuss how the benefit can help them and their nursery parents.

Key details in creating a Workplace Nursery

For HMRC to be happy that the benefit is compliant, and Income Tax and National Insurance savings can be made, there are a few points that need to be adhered to:

  • The benefit must run over a set period (Enjoy Benefits run contracts for a minimum of 12 months) and there must be a partnership between the nursery and the parent’s employer. This partnership is facilitated by Enjoy Benefits who organise the contract paperwork, confirm fees payable to the nursery and the amount of additional funding.

  • The employer must ‘partially or fully fund’ the chosen nurseries during the contract. Based on a parent with fees of £850 per month, your nursery will receive £1200 over 12 months (this will be sent to you as a payment of £100 per month as well as the nursery fees). EB will invoice the employer for the fees and then transfer the money into the nursery account at the beginning of every month. We deal with all the admin and we ensure you receive one payment for fees at the start of the month which cuts down on payments you have to reconcile for each child you take care of.
  • There are meetings which must be held at the nursery between EB, the nursery and the parent. These meetings commence at the beginning of the contract and further meetings will be managed by EB to ensure that the employer and the nursery are working in partnership . The initial meeting will last up to one hour and this is to discuss and agree on how you would like to spend the additional funding within the setting. EB will arrange and attend all the meetings and note down/send all the minutes to each party afterwards.

  • As long as these ‘key pegs’ are in the ground then the benefit is reflecting the requirements of Section 318 of the Income Tax (Earnings and Pensions) Act 2003

Nursery feedback

All payments came through quickly and with no trouble. The scheme has been great and i highly recommend it. The staff are great to work with and the scheme was quick, simple and efficient. Thank you!

Ms Pate, Nursery Manager, London

The workplace nursery benefit scheme appears to work well and was administrated very efficiently from your (Enjoy Benefits) end. Any queries were dealt with promptly and parents appeared happy with the ease of setting everything up. We also enjoyed the benefit of the additional money that we received each month for the nursery

Mrs. Morgan, Nursery Manager, Manchester

We feel very fortunate to be able to work with Enjoy Benefits and be part of this scheme. It was easy to sign up to the scheme and Enjoy Benefits were happy to set up a new partnership with my company. Comms with the Enjoy Benefits team was always very efficient clear. It is also great to know that our nursery were given additional funding each month just from working in partnership with the scheme. We made a substantial saving and will be looking to work with them in the future once we have relocated.

Katie Garvey, Wetherby Preparatory School
need help? get in touch

Queries are dealt with within 1 working day.

Contact Form

talk to our team

0800 088 7315

need help?
get in touch

Queries are dealt with within 1 working day.

Contact Form

talk to our team

0800 088 7315