Money and Finance

Money and Finance

Fostering is a professional job and involves a great deal of hard work and dedication. That’s why we offer attractive and competitive fostering allowances.

How much will I receive?

The amount you receive in fostering allowance varies from placement to placement. Some children have more challenging needs than others and this will be reflected in the allowance you receive.  Allowances for older children are generally higher than those for children.  Weekly allowances range from £300 to £750.
Your fostering allowance covers both income to you for your time and effort and the costs of looking after a foster child. These include:

  • Food
  • Clothing
  • Travel
  • Household bills
  • Everyday living

You know the needs of the child placed with you best and so you’ll be able to choose how to spend your fostering payment.

Tax information for foster carers

When you foster with the Foundation you’ll be classed as self-employed.  This means you’ll be entitled to tax relief on your fostering income and you’ll pay very little, or no, tax and national insurance. The tax relief you’ll receive depends on your financial circumstances and you’ll still need to complete a tax return.
For further information about working out your taxable income and eligibility for claiming working tax credit, visit: http://www.hmrc.gov.uk/individuals/foster-carers.htm
HMRC has also created a dedicated Foster Care eLearning package which offers Foster Carers guidance, advice and practical tips relating to tax and National Insurance: http://www.hmrc.gov.uk/courses/syob/fc/index.html

/ Articles

Share the Post