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Financial Allowances

Fostering Benefits
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Fostering is as much of a part-time or full-time career as it is a rewarding life choice. When you become an approved foster carer and have a child placed in your care, you will be given an allowance for each child placed with you, as well as additional allowances for the care you are providing.

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generous financial allowances so all our foster carers can lead a fulfilling career

Fostering allowances

Find out how much you could receive in annual financial support when you become a foster carer by using our allowances calculator. 

  • Select your experience

  • Select the age range of the children you may care for

  • Select the number of children you may care for

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How foster care financial allowances work

  • How the foster carer allowance is calculated

    The foster carer allowances you receive are calculated based on the age and unique needs of the child or young person that you care for and your skills level as a foster carer. There are four skills levels in total, which change depending on whether you are completely new to fostering, have just begun, or have been doing it for many years.

    As you progress throughout your fostering journey, your skills level will change to so the allowance you receive reflects your experience. In addition to your standard allowance, you will be eligible to receive additional annual allowances for the children in your care to cover holidays, birthdays, equipment, mileage and so on.

  • When do foster carers receive their allowances?

    As a foster carer, you will receive payment via BACS every fortnight to your bank account. This is something that each of our foster carers receive.

Additional allowances

By fostering with your local authority, you will be eligible to receive additional allowances to support the care you provide. Some children may have specific needs that require additional financial support. Whether for medical care, educational support, or other specialised services, we offer additional allowances to ensure that every child receives the care they need.

This include, but are certainly not limited to: 

  • Holidays, Birthdays and Christmas

    All foster carers will receive an annual allowance for holidays, birthdays, and Christmas for each child or young person being cared for. The child or young person’s age and needs will determine the amount of this allowance.

  • Mileage

    You will be eligible to be paid mileage at a rate of 45p per mile for travel costs associated with the child or young person in your care.

  • Emergency situations

    If you provide emergency foster care, you will welcome a child or young person into your home on short notice. Should you need to buy them clothing, a reimbursement of up to £100 will be provided following a discussion with your Supervising Social Worker and the child or young person’s Social Worker. If you are in agreement to be on the emergency foster carer rota you will receive an additional allowance of £30 per night for this. If a child is placed with you in an emergency, you will also receive the appropriate allowance for this child on top.

Fostering tax arrangements

  • Did you know?

    foster carers receive tax relief and count as self-employed?

    When you become a foster carer, you will count as a self-employed individual and we’ll point you in the right direction on how to register yourself if you are unsure how to do so. This means:

    • In a tax year, foster carers do not pay tax on the first £19,360 they earn from fostering.
    • On top of the £19,360 exemption, foster carers also get tax relief for every week (or part week) that a child is being cared for.
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