Employer-Supported Childcare gets a reprieve

Many employers help employees with childcare costs, often by providing childcare vouchers by way of salary sacrifice. Following the roll out of Tax-Free Childcare (TFC), the new government scheme to help working parents, existing Employer-Supported Childcare (ESC) schemes were expected to close to new joiners from April 2018.

However following the Chancellor’s Spring Statement, Education Secretary Damian Hinds, made a concession to delay scrapping the scheme by six-months.

The Childcare Choices website which provides useful guidance to parents on the childcare options available to them including ESC, TFC and other free entitlements has been updated to show that childcare vouchers will be available to new joiners until the end of September 2018.

Under the rules employees already using ESC can choose whether to remain in existing schemes or switch to TFC, but parents cannot be in both TFC and ESC at the same time.

Internet link: GOV.UK Childcare Choices

For more information please do not hesitate to contact the team at Ward Williams Financial Services Ltd on 01932 830664 or by email on wwfs@wardwilliams.co.uk.

Income tax changes from 6 April 2018

The personal allowance for 2018/19 is £11,850. However, some individuals do not benefit from the full personal allowance. There is a reduction in the personal allowance for those with ‘adjusted net income’ over £100,000, which is £1 for every £2 of income above £100,000. So for 2018/19 there is no personal allowance where adjusted net income exceeds £123,700.

The basic rate of tax is currently 20%. From 6 April 2018 the band of income taxable at this rate is £34,500 so that the threshold at which the 40% band applies is £46,350 for those who are entitled to the full personal allowance. Additional rate taxpayers pay tax at 45% on their income in excess of £150,000.

The tax on income (other than savings and dividend income) is different for taxpayers who are resident in Scotland to taxpayers resident elsewhere in the UK. The Scottish income tax rates and bands apply to income such as employment income, self-employed trade profits and property income.

In the 2018/19 Scottish Budget, the Finance and Constitution Secretary for Scotland, Derek Mackay announced significant changes to income tax bands and rates for Scottish resident taxpayers, introducing five possible income tax rates. The income tax rates range between 19% and 46%. Scottish taxpayers are entitled to the same personal allowance as individuals in the rest of the UK.

Scottish Bands £	Band name	Scottish Rate
0 - 2,000	Starter	19%
2,001 - 12,150	Basic	20%
12,151 - 31,580	Intermediate	21%
31,581 - 150,000	Higher	41%
Over 150,000	Top	46%

From April 2019, the National Assembly for Wales has the right to vary the rates of income tax payable by Welsh taxpayers.

For more information please do not hesitate to contact the team at Ward Williams Financial Services Ltd on 01932 830664 or by email on wwfs@wardwilliams.co.uk.

Easter Charity Bake

On Monday 26^th March 2018 we held an Easter Bake in aid of our sponsored charities, Surrey Wildlife Trust and Lymphoma Association, at our offices in Weybridge and Sunninghill.

The theme this time was “The Big Easter Bake”.  Savoury and sweet entries were encouraged and there were an impressive array of entries, many with Easter themes – a lot of little chicks, eggs and a couple of savoury pies.  All the entries were judged using strict criteria and after a tough marking session, the winner from each office received a large Easter Egg prize!

We would like to say a massive Thank You to all the Ward Williams employees who made such an effort and baked the wonderful array of Easter treats.  We thought the whole spread looked amazing and we are always so impressed and grateful for all the energy, time and resources that they put into their creations.  Thank you also to everyone who bought the cakes – you were all very generous.

The day was enjoyed by bakers and tasters alike and we managed to raise £150.00 that we have split between Surrey Wildlife Trust and Lymphoma Association - both very worthy causes.