Only the biological parent(s) or legal guardian(s) can salary exchange nursery fees for their children (regardless of their gender). This would therefore exclude grandparents, stepparents and anyone else who does not have legal responsibility for the child from participating.

No, we can salary exchange any amount of childcare fees as long as the salary deductions do not take you below the National Minimum Wage.

YellowNest works with an ever expanding list of nurseries across the UK. You can take a look at our list of existing partnerships here.

Absolutely, YellowNest onboards new nursery partners all the time. We have a 95% success rate, so we would be happy to speak with your nursery if we don’t already work with them.

We aim to onboard new nursery partners within 7-10 days. However, should the process take longer, we will keep you updated on progress.

The care has to be for children aged 0-5 and provided on commercial premises (a non- private, non-domestic dwelling) by a care provider that is Ofsted registered. For more information, please contact us at earlybird@yellownest.co.uk

No, an individual cannot enter into two 'childcare' salary exchange benefits simultaneously, due to the potential of receiving double taxation relief. However, in the case of a two parent family, one parent could take childcare vouchers through their employer, and the other could use the YellowNest Workplace Nursery benefit through their employer.

Yes, this is fairly common. Once you have enrolled your child into nursery, we can set up the agreement well ahead of time - salary deductions will then begin once your child starts school.

You will be required to give YellowNest no less than one calendar month written notice to terminate your existing salary exchange agreement. If your new nursery is already partnered with us, or is open to establishing a partnership, YellowNest will then issue a new salary exchange agreement for you and your employer to complete.

Yes, YellowNest can salary exchange any outstanding nursery fees after the 15/30 free hours have been taken into account on the nursery invoice. However, you need to choose between using our salary exchange scheme and the Tax-Free Childcare scheme as you can't use both at the same time.

Yes, we would require a separate salary exchange agreement per nursery to be set up and the nurseries will receive separate payments.

There is no limit to how many children you can salary exchange nursery fees for as long as you remain above the National Minimum Wage. If both children are in nursery from the start of the salary exchange agreement then both children will be added into one contract. If one child starts later than the first child then two separate salary exchange agreements are set up and the nursery will receive two lots of payments.

If you both work for the same company then this is certainly an option. If your partner works for a different company who would also like to benefit from the savings available, they can refer their employer to YellowNest by completing this form.

Pension contributions may decrease during salary exchange arrangements as a result of reduced gross pay, of which pension calculations are based. Your employer will be able to confirm the rules of their pension scheme.

Mortgage lenders will take various criteria into account when assessing an applicant’s income levels. This will vary across financial institutions. For instance, some lenders may consider the reduced gross income after salary exchange, potentially affecting the amount that can be borrowed; others may assess the applicant’s borrowing capacity based on their original gross income before salary sacrifice. It’s always prudent to seek professional advice before applying for a mortgage.

Student loan repayments are calculated at 9% of earnings above £21,000 for most people (individuals should check their personal circumstances). Student loans are repaid from Net pay and therefore do not need to be taken into account when performing a National Minimum Wage check. Salary sacrifice will reduce gross pay, therefore may reduce the amount of student loan repayments due as the gross salary has been reduced on which the 9% is calculated.

No, nursery fees can vary month to month

We can amend the fee schedule to reflect these changes

On a monthly basis, we will pay your nursery the amount specified in your salary exchange agreement. If the value of your invoice is different to this then we would ask you to settle any additional monies owed directly with your nursery. If you have overpaid then please ask your nursery to credit this against your next invoice.

Your nursery will receive an uncapped amount of additional funding which works out to be up to 7% on top of your normal monthly fees.

As long as the employee is still earning more than the National Minimum Wage, salary exchange can continue. If your salary falls below the National Minimum Wage during parental leave, you will be required to give YellowNest no less than one calendar month written notice to terminate your existing salary exchange agreement. Upon your return to work, you can start a new salary exchange agreement.

Only the biological parent(s) or legal guardian(s) can salary exchange nursery fees for their children (regardless of their gender). This would therefore exclude grandparents, stepparents and anyone else who does not have legal responsibility for the child from participating.

Yes, YellowNest can salary exchange any outstanding nursery fees after the 15/30 free hours have been taken into account on the nursery invoice. If you have outstanding childcare fees that are not covered by salary exchange, you can certainly use Tax-Free Childcare to pay the balance of fees due. Please note that YellowNest cannot pay outstanding nursery fees on your behalf through Tax-Free Childcare accounts.

On a monthly basis, we will pay your nursery the amount specified in your salary exchange agreement. If the value of your invoice is different to this then we would ask you to settle any additional monies owed directly with your nursery. If you have overpaid then please ask your nursery to credit this against your next invoice.

As long as the employee is still earning more than the National Minimum Wage, salary exchange can continue. If your salary falls below the National Minimum Wage during parental leave, you will be required to give YellowNest no less than one calendar month written notice to terminate your existing salary exchange agreement. Upon your return to work, you can start a new salary exchange agreement.

YellowNest doesn’t qualify as a benefit in kind and therefore there is no P11d reporting requirement.

For a change in employer, a new salary sacrifice agreement will have to be agreed with your new employer. When your employment is ended due to redundancy, your salary sacrifice agreement will also end on your leave date.