86% of employers offer childcare vouchers via flexible benefits

More than three-quarters of employers (86%) offer childcare vouchers through a flexible benefits plan, according to the Employee Benefits/Towers Watson Flexible Benefits Research 2014.

This means that childcare vouchers are the perk that most employers offer, although this benefit does tend to see low take up among employees. 

Generally, tax-efficient benefits are commonly offered because of the income tax and national insurance (NI) savings (both for employers and employees) that these can bring. This is why bikes for work, holiday leave and payroll giving rank so highly.

Pensions are another highly popular salary sacrifice benefit that employers offer through flex, but these do not rate highly in our table because we split them according to scheme type, which causes them to appear lower down the list than they should.

Salary sacrificing pensions brings the biggest savings in terms of employers’ NI.

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Read more of the Employee Benefits/Towers Watson Flexible benefits research 2014