Allowance and Fees

One of the questions we most frequently get asked is “how much do Foster Carers get Paid?”. Being a Foster Carer in the UK you will provide a safe a nurturing environment for a vulnerable young person. 

Once you have a child placed in your care, you will receive Foster care pay (also known as fostering allowance) in the region of £22,000. Our Foster Carers are paid weekly and the amount that they are paid per week depends on several factors. These factors include:

• Age- The age of the child in your care.

• Child’s needs – Some children have significantly more needs than others.

• Location- The geographical area you are fostering in,

The types of fostering placement you have will also have implications for your foster care pay, some can pay more than £34,000 a year. This is because certain types of foster care are in demand and require unique skills and experience.

For example, children with special or complex needs may need a specific skill that not all foster carers have. 

The weekly foster care pay is made up of two components:

• Childs fostering allowance – This is money to cover the costs of looking after a child which includes food, clothing, activities, household expenses and more.
• Professional fee – The professional fee is the ‘reward’ which recognises the time and skills of our carers who perform the vital task of fostering

These payments are made every week directly into your bank account.

As an approved foster carer you will be classed as self employed. This means you will have to register with HMRC and complete an annual self- Assessment tax return. If you haven’t done this before, don’t worry, it’s straightforward and we will be here to support you.

In general, foster carers pay is exempt from income tax. This is because foster carers receive a £10,000 tax allowance on their annual fostering income, plus an additional weekly tax relief for each child in their care – known as qualifying care relief – meaning that they can receive payments up to a certain amount without being liable to pay any tax.

You can learn more about qualifying care relief here. 

Every foster carer’s situation is different so it’s difficult to say precisely which benefits you will receive. You may be able to claim any of the following benefits:

• Income Support
• Council tax reduction
• Income- based job seeker’s allowance
• Disability living allowance
• Working tax credits
• Housing benefit

Are you ready to take the next step in your fostering journey? Learn more about how to apply to become a foster carer now. Alternatively, if you want to know more about foster care pay you can contact Outset Fostering Agency and speak to one of our experienced fostering professionals.