Weekly attendance register · funding claim
What is the nursery actually going to cost?
Enter the hours and the rate below. This takes off the government funded hours your child is entitled to, then works out the weekly, monthly and annual total and what Tax-Free Childcare pays back on top.
Cost
Each parent, or the only parent in a single parent household, earns at least 16 hours a week at the National Living Wage and neither earns over £100,000. The same test decides both the 30 funded hours and Tax-Free Childcare.
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Multi-child calculator
Costs for more than one child, each on their own hours, rate and funded entitlement
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Provider comparison
Compare up to three providers side by side on the hours and rates they quote you
Compare up to 3 providers
These are gross costs before funded hours. Funded hours come off whichever provider you choose, so they do not change which one is cheapest, but a provider that charges for meals or consumables on top will.
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Help
What this calculator does, and what it doesn't
It takes the hours you enter, deducts the funded hours a child of that age is entitled to in term time, and multiplies what is left by your rate for a week, a month and a year. It then works out the Tax-Free Childcare top-up on the annual figure. That is all it does.
- Deducts 15 or 30 funded hours a week over 38 weeks, based on the child's age and whether you meet the working parent test
- Weekly, monthly and annual totals for what you are left paying
- Tax-Free Childcare top-up at 20% of the bill, capped at £2,000 a year for each child
- Saves scenarios so you can put two nurseries next to each other
- Compares up to three providers on the rates they quote you
What it cannot know. Whether your provider offers funded places at all, and what they charge on top for meals, nappies and consumables. Many providers charge those separately because the funding rate does not cover them, and on a full time place that can run to several hundred pounds a year. Ask for the invoice, not the headline rate. Check your own entitlement on Childcare Choices, which is the government service rather than this page.
All calculations are performed in your browser. No personal data is stored or transmitted.
What childcare actually costs
Childcare is one of the biggest expenses for working parents in the UK. Costs vary significantly depending on location, type of care, and the age of your child. This calculator helps you budget accurately and understand potential savings.
Average childcare costs (2026)
| Type of care | Typical Cost Per Hour |
|---|---|
| Nursery (under 2 years) | £7.00 - £9.00 |
| Nursery (2+ years) | £6.00 - £8.00 |
| Childminder | £5.00 - £7.00 |
| Pre-school / Playgroup | £4.00 - £6.00 |
| After-school Club | £4.00 - £6.00 |
| Nanny (share of salary) | £8.00 - £12.00 |
Note: Costs vary significantly by region. London and the South East tend to be more expensive.
What is Tax-Free Childcare?
Tax-Free Childcare is a government scheme that helps working parents pay for approved childcare. For every £8 you pay into your account, the government adds an extra £2, up to £2,000 per child per year (£4,000 for disabled children).
Who qualifies for Tax-Free Childcare?
To be eligible, you must meet all of these criteria:
- Your child is under 11 (or under 17 if disabled)
- You (and your partner if you have one) are in work
- Each parent earns at least £203.36 per week (16 hours at the £12.71 National Living Wage)
- Neither parent earns more than £100,000 per year
- You're not already receiving Tax Credits, Universal Credit (with childcare element), or childcare vouchers
- Your childcare provider is registered or approved
Free Childcare hours
Don't forget - you may also be entitled to free childcare hours from the government:
- All 3-4 year olds: 15 hours per week during term time (570 hours per year), whatever the parents earn or do
- Working parents, 9 months to 4 years: 30 hours per week during term time (1,140 hours per year). The expansion down to 9-month-olds completed in September 2025
- Disadvantaged 2 year olds: 15 hours per week during term time, based on the benefits the household receives rather than work
Tips for reducing Childcare costs
- Use your free hours: Make sure you're claiming all the free childcare hours you're entitled to
- Compare providers: Childminders are often cheaper than nurseries
- Share care: Consider a nanny share with another family
- Flexible working: Adjust your hours to reduce childcare days
- Family support: Ask grandparents or relatives to help on certain days
- Holiday clubs: Use holiday schemes during school breaks
- Employer schemes: Check if your employer offers childcare vouchers or salary sacrifice
Frequently asked questions
Can I use Tax-Free Childcare with free hours?
Yes! You can use Tax-Free Childcare to pay for additional hours on top of your free entitlement.
Does Tax-Free Childcare work with all childcare providers?
Only with registered or approved providers, including nurseries, childminders, after-school clubs, and some nannies. Check with your provider.
What if I'm self-employed?
You can still qualify for Tax-Free Childcare. You need to expect to earn at least £203.36 per week averaged over the year, which is 16 hours at the National Living Wage.
Can I get help if I'm on Universal Credit?
Yes, but through a different scheme. Universal Credit can pay up to 85% of childcare costs (up to £1,071.09 per month for one child, £1,836.16 for two or more).
How do I apply for Tax-Free Childcare?
Apply online at www.childcarechoices.gov.uk. You'll need to reconfirm your eligibility every 3 months.
Important
This calculator gives estimates based on the figures you enter and the published rates for government childcare schemes. It is general information, not financial advice, and it cannot confirm whether you are eligible for any scheme. Check your own position on gov.uk or Childcare Choices before committing to a provider. This site is not affiliated with HMRC or any government body.