For many of our carers, fostering is their main source of income. Our carers come from all financial backgrounds, and you may be able to claim certain benefits whilst fostering.

Current rates of pay, tax and pension information are provided as a guide.

Fees

We pay a weekly fee based on the number of children placed. 

Fees for children aged 0 to 10 years

Number of children placed	Weekly fee to Foster Carer	Approximate amount per month
One child	£170	£680
Two children	£340	£1,360
Three children	£510	£2,040

Fees for children aged 11 to 18 years

Number of children placed	Weekly fee to Foster Carer	Approximate amount per month
One child	£200	£800
Two children	£400	£1,600
Three children	£600	£2.400

For each new young person aged 13+ years admitted to foster care an additional £50 fee will be paid per week to the carer. 

We also pay a retention fee at 100% (equivalent to one child placed at £156.59 per week) for the first four weeks without placement, and a retention fee at 50% (£78.30 per week) for the next eight weeks without placement. You must be available to take placements at short notice in your approval range and attend training and support groups in these periods to qualify for retention fees.

Allowances

We pay a weekly allowance per child placed.

Allowance per child

Age of child	Weekly fee to Foster Carer	Approximate amount per month
0 to 10 years	£196	£784
11 to 17 years	£255	£1,020

Annual loyalty award

Foster carers who have been available for 46 weeks of the previous year are paid an annual loyalty award.

The award after:

• 3 years' service is £100
• 5 years' service is £200
• 10 years' service is £400 

Additional costs

Holidays

Wandsworth will reimburse a child's holiday costs on the basis of prior agreement to the cost of the holiday and upon production of receipts.

Funding for lessons

We are keen for all our looked-after children to learn and achieve, and will consider requests for funding for extra curricular learning and development. This will be agreed with your supervising social worker.

Bonus

NVQ Level 3 Bonus Award

Carers who undertake and successfully attain the NVQ Level 3 or recognised equivalent will be awarded a one-off bonus of £500 in recognition of their achievement.

Recruitment bonus

Carers who refer a friend who becomes an approved foster carer for Wandsworth will receive a payment of £1,000.

Income tax 

The current rules mean many UK foster carers now pay no tax on the money they earn from fostering. Foster carers can be exempt from tax on all or most of their fostering income, depending on:

• how many children they look after
• whether or not it is a full tax year
• whether or not there are other foster carers in the same household

There is a fixed tax exemption of up to £10,000 per year (less if for a shorter period) which is shared equally among any foster carers in the same household. After that, foster carers get tax relief for every week (or part week) that a child is in their care.

For every week (or part week) that a child aged 11 or older is with them, the foster carer's tax relief is £250 per child.

For every week (or part week) that a child aged under 11 is in their care, the tax relief is £200 per child.