If you’re thinking about fostering, it can sometimes feel uncomfortable asking about money, but it’s absolutely fine to speak to us about this. You need to know if fostering will work for you financially and so do we.

Fostering is a serious career option so we pay our foster carers a generous and competitive package so the right people can afford to foster.

Please note, on 1 April 2025 our increased carer rewards came into effect. These are listed below and are based on having a child placed with you for a full year (i.e. 52 weeks).

portrait of a little boy putting money on a moneybox

Reward and maintenance

Foster carers’ pay has two parts, the reward for the foster carer plus maintenance pay, or an allowance, for the child. You will receive your reward, plus the child’s allowance when they are living with you. These are paid fortnightly directly into your bank account.

Foster carer reward payments

The reward is basically your income as a foster carer.

You can earn now up to £35,000 and the minimum reward will be £10,769. This is based on having a child placed with you for the full year (i.e. 52 weeks).

We have three different reward levels (1-3), based on the knowledge, skills, experience and training of a foster carer. If you are a Level 3 foster carer, you will receive a weekly reward of up to £466 or up to £24,232 per year, most of which is tax free. You will receive the reward when you have a child in your care.

We revised our reward structure changes to reflect the complexity of the child’s needs and the experience/training of the foster carer and we pay more for specialist foster carers who look after children with severe or profound disabilities, or who offer intensive therapeutic care or who foster a parent and child.

Currently, if you look after more than one child, you will receive an additional 50% reward for the second and another 50% for the third child. This means if you look after three children, you will effectively be receiving two full reward payments.

We support foster carers to progress through these reward levels, if you want to. Foster carers bringing relevant transferrable experience, especially previous fostering experience, start at a reward level which reflects this.

You will receive a two-week break for 14 days pro-rata.

New foster carer rewards from 1 April 2025

  Carer Levels Specialist Roles
New Levels / Roles from 1/10/24 Level 1 Level 2 Level 3 Disabilities / Medical Support Carer Intensive Therapeutic Support Carer Parent & Child
Weekly Foster Carer Reward £207.10 £310.65 £466 Carer level 2 or 3 payment + additional weekly reward of £100 for child with severe disabilities or £200 for child with profound disabilities. £673.10

(Level 3 reward + £207.10)

£673.10

(Level 3 reward + Level 1 fee)

Annual £10,769 £16,153 £24,232 £21,538 – £35,000 £35,000 £35,000

Maintenance allowances

When you have a child placed with you, you will also receive maintenance (an allowance) for the child.

The amount varies depending on how old the child is and could be from £189 to £288 (this equates to £9,828-£14,976 in a full year). The allowance will pay for the child’s day-to-day care, for example: food, clothing, hobbies, transport, outings and babysitting costs.

The child’s allowance is a weekly amount and is paid fortnightly, along with your reward, straight into your bank account. It does not count as income for tax purposes or any means-tested benefits and it does not have to be declared.

Our rates reflect the Government’s recommended rates for South East England.

There are lots of other new incentives which you’ll find out about on your foster carer approval journey.

Employment status, tax and benefits

Foster carers are classed as self-employed. This means you will need to register with HMRC and do your own taxes. To support you with this, we offer free training through The Fostering Network which has an area on its website where you can learn more about tax and national insurance.

You can earn more than you think being a foster carer and you can receive £19,690 in fostering income per year without having to pay tax (per household). You can also claim tax relief for every week (or part week) that a child is in your care. This means you do not usually pay tax on your earnings from foster care, even if they go over £19,690. You will still pay tax on other earnings or investments, as usual.

For more information about tax in relation to foster care, visit the Government’s dedicated webpage: Support for foster parents.

If you have a foster child with a disability, you can make an application for Disability Living Allowance (DLA) on their behalf. You can learn more about claiming any benefits as a fostering household on the Government’s website here: Help with the cost of fostering

Benefits of working with us

  • Your own supervising social worker who will support you
  • A foster carer buddy/mentor to help you through your first year
  • Out of hours and evening support phone line
  • Monthly support groups with our trauma-informed practitioner
  • Membership to The Fostering Network, providing further support and discounts
  • A £1000 thank you when you refer a friend who becomes a foster carer
  • Fun social events with foster families throughout the year including our annual foster carer awards evening
  • Free excellent training opportunities

Still have a question about rewards and allowances? Check out our FAQs or give us a call on 0118 469 3020.

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