You are here: Home - Retirement - Retirement planning - News -

Grandparents providing childcare can claim NI credits

0
Written by: Emma Lunn
05/10/2020
Family members providing free childcare for working parents can apply for National Insurance (NI) credits to their State Pension for the previous tax year from today.

NI credits were introduced in April 2011. You may be entitled to receive these if you are a grandparent, or other family member, who cares for a child under 12 – usually while their parent, or main carer, is working.

Each credit currently buys £260 of annual State Pension, payable for life from State Pension age.

To be eligible, both parents must be working for at least 16 hours per week and earning at or above the national minimum wage. The carer must be under State Pension age and the child must be under 12, or 17 if they have disabilities.

Called the ‘Specified Adult Childcare Credit’, those carers not paying National Insurance themselves can claim these valuable top-ups to their State Pension.

Kay Ingram, director of public policy at national financial planning group LEBC, says: “HMRC believe that this benefit is underclaimed, and many who are eligible are therefore missing out.

“Those who have been providing childcare in earlier years can backdate their claim to the point at which the scheme started i.e. in 2011. This could mean claiming up to nine years’ credits, currently worth £2,340 of annual State Pension.

“During lockdown many relatives have been unable to see their families, but the government have confirmed that carers who have continued to provide childcare remotely will still qualify for these credits.”

Claims can be made on the DWP website, form CA9176 or by calling 0300 200 3500.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

5,000 Lloyds current account holders to receive £200 bonus

Lloyds Bank will randomly select 5,000 current account customers to receive a bonus £200 payment to help with...
5,000 Lloyds current account holders to receive £200 bonus

NS&I to delay phasing out of Premium Bonds prize warrants

National Savings and Investments (NS&I) is postponing the phasing out of Premium Bonds prize warrants unti...
NS&I to delay phasing out of Premium Bonds prize warrants

Savings rates carnage: Six alternatives to holding cash

The pandemic has seen many people have more cash to save than normal. But with savings accounts paying paltry...
Savings rates carnage: Six alternatives to holding cash

Ryanair jetting towards US flights for £10

Ryanair is on course to achieve its long-held ambition of offering transatlantic flights to the US – and the...

Investing in car parks: a good vehicle for income seekers?

As the search for income continues, many investors are turning to alternatives, with car parks becoming increa...

A quick guide to guarantor loans – in association with Guarantor Loan Comparison

Considering a guarantor loan or becoming a guarantor yourself? Read our essential guide...

Results round-up: Companies to watch this week

Mulberry and more will face the music this week.

Product launches of the week

Select Property Group, Schroders, Leeds Building Society and more have exciting news this week.

Money Tips of the Week

Read previous post:
TSB customers report mobile banking issues

Long-suffering TSB customers were unable to login to the bank’s smartphone app or online banking this morning.

Close