How much does fostering pay?
People become foster carers to help children and young people, but receiving their fostering fee stops them having to worry about the practical things in life, like paying bills and buying groceries.
As we are a charity any surplus we make is put straight back into the children and young people we work with.
Fostering allowances with St Christopher’s
We generally pay around £420 per week when you foster a child. This varies depending on the support a young person needs, your region, and your level of training. For example, if you are looking after a child with higher needs you may receive a higher allowance.
Fostering allowances cover the cost of looking after a young person including amounts to be set aside for presents, holidays and pocket money. Sometimes expenses will be covered in a payment too, such as covering the cost of a child’s travel to school if they need special arrangements.
Self-assessment tax for foster carers
Foster carers are classed as self-employed so pay little or no tax and National Insurance.
There is a special scheme called qualifying care relief which calculates how much tax you should pay based on your fostering household’s income. You don’t have to pay tax on the first £10,000 of income (after expenses) that you receive from fostering.
As a foster carer you will also be eligible for National Insurance credits, which count towards your State Pension for when you are of retirement age.
Please speak to a member of our team in your regional office – the West Midlands or Eastern Region – if you have any questions.