Busy bees Childcare Vouchers are public funds?

[Cosmos]

Hi there,

I wonder if anyone could please advice.
My husband was offered the vouchers at work to pay for our child after school scheme. We used them for about a year, would this affect our application to ILR next year?

Please help!

Many thanks

C

[alikhan28]

Hi there,

I wonder if anyone could please advice.
My husband was offered the vouchers at work to pay for our child after school scheme. We used them for about a year, would this affect our application to ILR next year?

Please help!

Many thanks

C

No

This is not public funds.

Ali

[John]

Cosmos, what will be the basis of your ILR application. And will it matter that you have sacrificed some salary to take the childcare vouchers?

[Cosmos]

Dear John,

I am in a work permit and husband is a dependant on October 2011 will be our 5th anniversary and will be applying.
He was offered the vouchers at work and after asking them if we were allow getting them they said yes, that is why we took them and trust them.
Is this recurring to public funds? And if yes, can we refund the money straight away and be clear before the application?
Many thanks in advance

Regards

C

[John]

It is not Public Funds! But you have sacrificed some salary in order to get those vouchers, so will the fact that you are getting a lower salary cause you any problem when applying for ILR?

[Cosmos]

Ah I get your point and I think the answer is no because I am the permit holder and was my husband who got them but I think the did not discount any money from his salary, I may be wrong thou

Thanks for your time John and alikhan28


BR

C

[John]

I think the did not discount any money from his salary, I may be wrong thou

I would be surprised if that was the case. That is not the way it tends to work. That is the vouchers are given in exchange for a reduction of salary, and of course the reduction of salary means a reduction of tax ..... otherwise why would someone take the vouchers?

Good to hear you are the Tier 2 visa holder, and your husband who got the vouchers is your dependant. That cuts out any possible problem.

[alikhan28]

Ah I get your point and I think the answer is no because I am the permit holder and was my husband who got them but I think the did not discount any money from his salary, I may be wrong thou

Thanks for your time John and alikhan28

BR

C

In simple words these vouchers are free of cost to employees without any duction.I doubt that.

One thing is dam clear this is not a public funds.

Ali

[Cosmos]

Thanks John, you are right, I've just confirmed with husband and yes, they deducted £100 each month from his salary but the good thing is they did not specified on his payslip what was about it at all, just showed the 100 quid less in the total

Your help it's been great, I appreciate it a lot

BR,

C

[John]

they deducted £100 each month from his salary but the good thing is they did not specified on his payslip what was about it at all

Without necessarily realising the implication your husband signed a form agreeing to his salary being reduced by the £100 per month, otherwise the arrangement would not have been effective for tax purposes. That is, he agreed a variation of his contract of employment. And of course he started to get the childcare vouchers ... very handy, and tax effective!

[manojk005]

Thanks John, you are right, I've just confirmed with husband and yes, they deducted £100 each month from his salary but the good thing is they did not specified on his payslip what was about it at all, just showed the 100 quid less in the total

Your help it's been great, I appreciate it a lot

BR,

C

Home Office will consider your gross salary before any deductions including those for salary sacrifices. Recently I got my Tier 1 visa, where my gross salary was considered by HO. I was in salary sacrifice arrangement for pension and HO included these amount in my gross salary. Before application, HO also confirmed using salary sacrifice as part of gross salary. Also, many other people got their tier 1 visa with salary sacrifice. Further, if you want to know what is "Gross salary" for HO then I will suggest looking into glossary term on UKBA website. If you are sacrificing salary and you need to produce pay slips to HO then I will suggest to get a letter from your employer fully explaining meaning of term related to Salary sacrifice and it must say that it was deducted from your gross salary for child care purpose.

I have seen one respondent to your poster strongly opposing exclusion of salary sacrifice in gross salary repeatidly in this forum. I do not know reason but that is definitely misleading. Here, discussion is focussed on HO not HMRC. Evenif mortgage application consider gross salary including salary sacrifice.

[mrafeeq]

This link from the UKBA site clearly says that child care vouchers fall under public funds. i wonder what is the basis so many people are telling they dont fall under public funds

http://www.ukba.homeoffice.gov.uk/sitec ... iew=Binary


I am in a similar situation i availed 550 GBP worth voucher, my employer gave this as a benefit under salary savings scheme,I am due forextension in a month. There should be some way if we return the vouchers our innocent mistake should get corrected.

Dont dare not to disclose this in the application as the child care voucher vendor has our NI number and this transaction may be tracked by the HMRC.

BTW i am under Tier 1 (general). I am going to contact a immigration lawyer to help me out.

[John]

This link from the UKBA site clearly says that child care vouchers fall under public funds.

Where in that document? A quick search of that document produces no hits!

So which page number are you referring to?

[mrafeeq]

I am referring to Page 7 of 57,

mine is a salary savings scheme benefit extended by my employer as a employment benefit

[mrafeeq]

looks like child care voucher is different from child credit tax, in the above doc only child credit tax is classified as a public fund .nothing is mentioned about child care voucher.

Child care voucher comes under salary savings scheme which is legitimate , we take money out of our salary and dont depend on government to give us the money, it is a perk extended by the employer.

sorry if i confused anyone ( if i did)

[John]

looks like child care voucher is different from child credit tax

Yes, very different!

[mrafeeq]

This link from the UKBA site clearly says that child care vouchers fall under public funds. i wonder what is the basis so many people are telling they dont fall under public funds

http://www.ukba.homeoffice.gov.uk/sitec ... iew=Binary


I am in a similar situation i availed 550 GBP worth voucher, my employer gave this as a benefit under salary savings scheme,I am due forextension in a month. There should be some way if we return the vouchers our innocent mistake should get corrected.

Dont dare not to disclose this in the application as the child care voucher vendor has our NI number and this transaction may be tracked by the HMRC.

BTW i am under Tier 1 (general). I am going to contact a immigration lawyer to help me out.

I have updated my comments above please see