Directorate for Children, Young People and Families
Children & Families (Social Care) Service’s
Policies and Procedures – Fostering Service
Part Seven, Section 11 - Finance
1. Fostering Allowances
The table below sets out the allowances paid to all Foster Carers to cover
the cost of caring for a looked after child. The minimum amount to be
paid has been determined by the DfES and Staffordshire County Council
now pays more than that rate.
AGE RANGE
WEEKLY ALLOWANCE
0-1
111.02
2-4
113.05
5-10
127.05
11-15
152.04
16+
159.04
The fostering allowances paid to carers covers the cost of caring for a
child at home. The percentage guidance chart below gives an indication
to the foster carers of the way this allowance is made up, and the amount
of money allocated to each element.
There is an expectation that the clothing element of the allowance is fully
spent on the child ensuring that they are well clothed while with the foster
carer(s) and when they leave their care. Foster Carers may wish to set up
a separate bank account for the clothing money and to retain receipts.
AGE
FOOD
CLOTHING
TRANSPORT
PERSONAL
HOUSEHOLD
TOTAL
34%
22%
8%
6%
30%
100%
0 – 1
£37.75
£24.42
£8.88
£6.66
£33.31
£111.02
2 – 4
34%
22%
8%
6%
30%
100%
£38.44
£24.89
£9.04
£6.78
£33.91
£113.05
32%
26%
7%
8%
27%
100%
5 – 10 £40.65 £33.03
£8.89
£10.16
£34.30
£127.05
11 – 15
32%
26%
11%
10%
21%
100%
years
£48.65
£39.53
£16.72
£15.20
£31.92
£152.04
16 +
30%
26%
9%
17%
18%
100%
years
£47.70
£41.35
£14.31
£27.04
£28.62
£159.04
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SECTION 11 – Finance
July 09, Updated Mar 10
Miscellaneous Allowances for Children in Care
(a) Pocket money weekly payment and birthday allowance for children at
school or unemployed.
AGE
POCKET MONEY
AGE
BIRTHDAY
0 – 4
£1.85
0 – 1
£106.00
2 – 4
£108.00
5 – 6
£2.10
5 – 10
£119.00
7
£2.35
8
£2.60
9
£2.90
10
£3.15
11
£3.65
11 – 15
£137.00
12
£3.90
13
£4.65
14
£5.20
15
£5.95
16
£9.35
16 – 17
£159.00
17 and over
£10.85
18*
-
-
-
* 18th birthday allowances are now payable, by the residential
establishments or to Foster Carers direct.
(b) Hospital gift
£5.25
(c) Clothing allowance per week
£14.10
(Except children at work or in independent living units)
The following page contains details of the things covered by each element of
the allowance and includes the extra costs of caring for a child in some
circumstances.
Allowances are paid from the date the child is placed and will cease the date
the child moves. Allowances are not normally paid to more than one carer at
a time when a child is being cared for elsewhere. Payment to the permanent
carer will cease when the child goes for a short break and recommence when
the child returns.
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ADDITIONAL PAYMENTS
1. Food
Based on national average food costs. Any special dietary requirements should be
discussed at the Initial Placement Agreement meeting and/or first review.
2. Clothing
Supplementary allowances are discretionary and is authorised through the child’s
social worker/team manager. Foster carers should take into account the plans for
the child to ensure that unrealistic standards are not set for children and young
people returning home e.g. the purchase of expensive ‘designer’ clothes.
The
child’s Social Worker is responsible for obtaining the payment.
Minimum Clothing Standards:
Babies: 6 vests, 6 outfits/grow suits, 6 sleep suits, 3 cardigans, 6 pairs socks, 1
pair gloves, 1 warm hat, warm outdoor suit.
Supplementary clothing allowance – up to £120
Toddlers: 6 vests, 6 pants, 6 socks, 4 outfits of joggers/trousers/jeans & tops
and/or 2 dresses. 2 jumpers/cardigans, 1 pair shoes, 1 pair trainers or sandals, hat,
gloves, coat, 3 pairs of pyjamas/nightdress, 1 dressing gown, 1 pair slippers.
Supplementary clothing allowance – up to £120
Children aged 5-10 years: coat or waterproof, 7 pants, 3 vests or T-shirts, 6 pairs
socks, 3 outfits (jeans/trousers plus tops or dresses), 2 shirts or blouses, 2
jumpers/sweatshirts/cardigans, 2 pairs pyjamas/nightdress, 1 dressing gown, 1 pair
slippers, 1 pair shoes, 1 pair trainers, 1 pair of Wellingtons, gloves, hat, PE kit
including swimwear, 1 suitcase/holdall.
Supplementary clothing allowance – up to £180
[School uniform, where needed, should be considered over and above the initial
clothing allowance].
Young people aged 11-16 years: 7 pairs pants, 3 bras, 6 pairs socks/tights, 5 T-
shirts, 4 tops, 2 pairs jeans/tracksuit bottoms, 1 pair trousers/skirt, 2
shirts/blouses/dresses, 1 coat/jacket, 1 pair shoes, 1 pair trainers, 2 pairs
pyjamas/nightdress, 1 dressing gown, 1 pair slippers, gloves, hat, PE kit including
swimwear, school uniform, 1 suitcase/holdall
Supplementary clothing allowance – up to £220
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3. Transport:
Covers all normal family mileage to see friends, attend clubs, routine doctors/dental
appointments etc. Transport costs to contact, schools (outside the catchment
area), meetings, case conferences will be paid, to be agreed in advance by Child
Care Team Manager.
Mileage will be paid at
40p per mile.
4. Personal:
To cover the child’s or young person’s personal items such as toiletries, toys and,
where appropriate, leisure activities and clubs e.g. swimming, gymnastics,
Brownies. For African or African/Caribbean children and young people, an
additional allowance of £5 (12 years and under) and £7 (13 years and over) will be
paid per week, to purchase creams/oils for skin care.
[Suggested Weekly Pocket Money Rates see previous list]
5. Household:
To cover extra electricity, gas or other fuel, normal wear and tear on household
items, maintenance and redecoration of foster child’s bedroom.
Basic Equipment: (usually provided by Fostering Service)
Babies:
Cot & mattress,
Buggy & cover
Stairgate x 2,
Fireguard,
Highchair
Bedding: 6 cot sheets, 3 cot blankets
Car seat
Feeding equipment
Bath & bath set, changing mat
2 Towels.
Older children/young people:
Bed; Bedding: 2 pillows, duvet, 2 sheets, 2 duvet covers, 4 pillowcases,
waterproof cover, 2 bath and 2 hand towels; chest of drawers; wardrobe;
Desk (optional).
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6. Birthday/Festival/Holiday payments:
Payments of:
1 week minimum allowance for birthday.
1 week minimum allowance for a festival.
2 weeks minimum allowance for holidays.
7. Adoption Introductions:
Up to £5 per day, maximum of £30 per week, hospitality payment when facilitating
introductions of child to adoptive parents. To be discussed with Family Placement
Social Worker and authorised by the Family Placement Team Manager.
8. Education Trips:
C&F may pay for certain educational visits, other than a day trip, where, for
example, this is part of the course work. Details should be discussed with child’s
Social Worker. Maximum of £100 per year per child to be agreed by the Head of
Service. C&F may also agree to pay for one major school trip, up to £250, in the
course of a child’s school career. The appropriate Team Manager must agree
these payments, in advance.
9. Miscellaneous:
C&F will cover the following expenses, to be agreed in advance:
•
Passport.
•
School photographs.
•
Photographs for use in life story work.
•
Reasonable child care cost when attending meetings concerning a foster
child, foster carer training events, nursery costs when part of plan for child
etc.
10. Residential School:
If a child attends residential school Monday to Friday, the amount payable is based
upon three days per week during term time, plus school holidays. The calculation
includes full pocket money and clothing allowances.
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2.
PAYMENT FOR SKILLS - OUTLINE OF THE SCHEME
2.1
Introduction
This document outlines the scheme for payment to foster carers
offering foster care to Staffordshire children, which was introduced in
March 2001.
The scheme is based on recommendations made by Fostering Network
and is designed to recognise the range of skills and experience that
foster carers possess, as well as the time and commitment involved in
caring for children who are looked after by this division.
The scheme includes all approved foster carers, except for the
following: carers who are part of the child’s family or network; foster
carers who are part of the Intensive Fostering Scheme or Level 5
project; remand scheme and family link carers.
The basis of the scheme is that foster carers should be paid by
reference to their skills, rather than to the problems presented by
individual children placed with them. The acquisition and subsequent
maintenance of the necessary skills will be checked by reference to
detailed examination of the evidence.
This scheme of payment raises issues distinct from the initial approval
of foster carers under regulation 28 of the Fostering Services
Regulations 2002 and the subsequent reviews of approval under
regulation 29.
The Children’s Workforce Development Council (CWDC) Training
Support and Development (TSD) Standards for Foster Carers were
implemented in April 2008. The Standards provide a bench mark to
ensure that all foster carers receive relevant induction, training, support
and continuing professional development. Staffordshire’s Training
Framework for foster carers promotes these objectives.
The completion of the CWDC TSD Standards by newly approved foster
carers is part of a framework of induction, core training and continuing
professional development that will equip foster carers with the essential
skills and knowledge to meet the needs of the children in their care.
It is expected that carers will be able to evidence within the first 12
months of approval, that they have met the induction requirements by
achieving a Certificate of Successful Completion on the completion of a
portfolio of evidence of competency. Foster carers will then be
expected to annually update and develop their knowledge and skills
through their Personal Development Plan by continuing to engage with
both Core and Continuing Professional Development (CDP) training
and activities.
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From April 2009 the Payment for Skills scheme will operate within the
training framework.
2.2
Standards and Levels of Payment
There are four levels of payment, three of which involve payment of a
higher rate over and above the basic maintenance allowance.
The levels are
• Level 1 Foundation Skills level
• Level 2 Accredited Skills level
• Level 3 Advanced Skills level
• Level 4 Advanced Plus Skills level
Everyone who applies to Staffordshire County Council to foster children
undertakes the preparation course, ‘Skills to Foster’, as well as a home
assessment. This offers basic preparation for the task of foster caring.
Expectations of a new carer cannot be as great as a carer who has
many years experience in fostering and who has undertaken relevant
post approval training and development activities.
The baseline expectations for all carers, and the starting point for new
carers on approval, are set out later in this section. Typically new
foster carers will be approved on the basis that there is confidence that
they will meet these expectations, even though the evidence that they
do meet them may not be complete. Collection of evidence will begin
from the start of the preparation to foster.
Level 1
Newly approved Foster Carers will be paid at Level 1 Foundation Skills
Level.
Exceptionally, newly approved foster carers with previous fostering or
demonstrable relevant experience may be approved to start above
Level 1.
Level 2
Progression to level 2 will depend on the foster carer meeting the
following requirements:
• A minimum of six months fostering experience
• A positive first annual review that identifies that the carers are
working towards and are on target for the completion of the
Certificate of Successful Completion within a year of their
approval
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• Their portfolios of evidence contain 2 completed Standards
which have been presented to the Standardisation Panel for
Feedback and have met the required standard.
If these criteria are met the level 2 payments can be made to the foster
carers with the proviso that their Certificate of Successful Completion is
achieved within 12 months of their approval.
On achieving the Certificate of Successful Completion foster carers will
automatically be awarded level 2 accredited skills level and paid
accordingly
When Foster Carers have achieved The Certificate of Successful
Completion they may work towards achieving Level’s 3 and 4 Payment
for Skills by working to develop their skill level to an
Advanced/Advanced + level by evidencing the required Standards
against the PFS criteria.
Level 3/4
To achieve the Advanced/Advanced + levels foster carers will be
required to summit portfolios detailing an advanced level evidence of
competency against a number of the CWDC training, development and
support standards for foster care. These standards are referred to by
the Staffordshire Fostering Service as Higher Level Learning Indicators
and are documented in the Staffordshire Fostering Service CWDC
Training Support and Development Standards for Foster Carers Policy.
Carers should submit portfolios of evidence that demonstrate advanced
knowledge and skill against these standards to the Standardisation
Panel who will confirm that the requirements have been met.
In addition to meeting these competencies at the advanced levels
foster carers will be required to meet the following performance criteria
Performance requirement for Level 3
Foster carers should demonstrate that they
• Support and are involved with the Fostering Service recruitment
activities; for example, they are contributing to others learning by
participating in ‘Reggie the recruitment bus events, information
evenings, supporting preparation and other training events.
• Have a 70% attendance record at support groups
• Produce verbal and written reports to a high standard about the
child and young person in placement
• Have worked and continue to work successfully and positively
with parents and professionals
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• Have a positive experience of direct work with children with
complex needs, for example children with communication
difficulties, ADHD, life story work with children with a disability.
• Work closely and successfully with Sustain in direct
work/behaviour modification programmes with children
• Have completed core training activities and can demonstrate
participating in 6 certified training activities within a 2 year period
including developmental activities such as e – learning and
guided learning programmes.
• Have worked with children and young people in reducing the
incidence of high risk behaviour.
• Have positive annual reviews
• Have demonstrated they have developed, enhanced and
consolidated their knowledge, understanding and skills in the
higher level learning indicators to a level 3 advanced level
standard and this has been verified by the Standardisation Panel
Additionally it is desirable that level 3 carers will have either achieved
or be enrolled on and working towards achieving NVQ 3 in Child Care.
A written submission will be required by the Fostering Social Worker
and will show how these expectations have been met. This report, the
carer’s portfolio and the current Personal Development Plan/Review
will be verified by the relevant Team Manager who will sign and date
the social work report and submit it to the Fostering Service Manager
for agreement that the skills level has been met. The Fostering Service
Manager will confirm in writing to the carer that the skills level has been
met. Payment will begin from the date verification was made by the
Team Manager. The Fostering Social Worker will then notify the
Finance Section of the change in circumstances.
Performance requirement for Level 4
Foster carers should demonstrate that
• They meet the performance criteria for Level 3
And additionally that
• That they take a lead role in the development of the Fostering
service, for example, being a champion for a particular area of
the service such as TSD Standards, recruitment, support
groups, health and educational developments.
• They co – facilitate and support training and development
activities
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• Their personal development review shows evidence of their
participation in advanced continuing professional development
training activities. Carers should have attended a minimum of 6
certified development activities within a 2 year period.
• They undertake the role of formal mentor to new/less
experienced carers and/or undertake the role of learning mentor
to support other carers personal development
• They are pro active in their own continuing professional
development keeping evidence within their portfolio up to date.
Their portfolio should be assessed as current and at an
advanced plus level standard.
• They should demonstrate that they have developed, enhanced
and consolidated their knowledge, understanding and skills in
the higher level indicators to a Level 4 Advanced Plus skill level.
This should be verified by the Standardisation Panel
• They should be able to demonstrate that they have worked with
young people aged 10 – 18 years with high tariff behaviour and
complex needs
• One carer must be available at all times and therefore not in
paid employment
• They should be able to demonstrate that they have engaged
with therapeutic work. For example, planned risks approach
under appropriate supervision and support.
• Have positive annual reviews
Additionally it is desirable that level 4 carers will have either achieved
or be enrolled on and working towards achieving NVQ 3 in Child Care
with an identified target date for completion.
A written submission will be required by the Fostering Social Worker
and will show how these expectations have been met. This report, the
carer’s portfolio and the current Personal Development Plan/Review
will be verified by the relevant Team Manager who will sign and date
the report and submit it to the Fostering Service Manager for
agreement that the skills level has been met. The Fostering Service
Manager will confirm in writing to the carer that the skills level has been
met. Payment will begin from the date verification was made by the
Team Manager. The Fostering Social Worker will then notify the
Finance Section of the change in circumstances.
Maintenance of the current PFS Level
In all cases, the evidence contained in a Foster Carers portfolio must
be current. Foster Carers need to maintain current and reliable
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evidence within their portfolio and be able to demonstrate the required
performance criteria for their PFS level. For example, it is
understandable that some carers may have other commitments that
prevent them from working to achieve the criteria required to meet the
advanced levels, in these circumstances carers will need to maintain
their portfolios at their current level by ensuring that the evidence of the
skills and knowledge they have acquired remains current and reliable.
Fostering Social Workers will assess Foster Carers portfolios on a
regular basis. Fostering Social Workers will submit the Foster Carers
portfolio for review with their Team Manager on an annual basis.
It is expected that the Social Worker and Carer regularly review the
requirements for the PFS levels within the supervisory meetings.
Carers should be informed within Supervision meetings about the
requirements to maintain or progress their PFS level.
Carers may move between PFS levels according to whether they meet
the competencies and criteria for a particular level. If a carer is no
longer performing at, or meeting the competencies and criteria of their
current level they will be moved to a lower level.
Following the annual review of the evidence by the Fostering Social
Worker and Team Manager, and where a Carer has been assessed as
unable to maintain the current skill level criteria, the Team Manager
will notify the Fostering Service Manager of the changed circumstances
and recommend the appropriate skill level. Following verification by the
Fostering Service Manager the Carer will then be notified in writing of
the change in circumstances with details of the proposed Payment for
Skill Level. The PFS level will be altered to the new level 28 days
following the letter being sent to the Carer. The FP Social Worker will
notify the finance section to make the appropriate changes.
There may be some circumstances where Carers are unable to
maintain the required performance criteria due to unforeseen
temporary events, for example, significant personal circumstances or ill
health. In such circumstances reasonable allowances should be made
and the PFS level may be maintained. The Team Manager will
regularly review these cases with the Fostering Social Worker and
timescales for the maintenance of the performance criteria should be
recorded within the Carers Personal Development Review.
2.3
Responsibility for Assessment
Responsibility for the assessment needed to progress from one level to
another is divided as follows
• A Fostering Social Worker will be assigned to each Foster Carer
and will be responsible for home visits, supervision meetings
and all necessary interviews as required.
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• It is the responsibility of the Foster Carer to demonstrate that
they have achieved the required competency (standard or higher
level indicator) and performance. The role of the Fostering
Agency and the Supervising Social Worker is to empower and
enable Foster Carers to do this.
• The Fostering Agency has a responsibility to provide Foster
Carers with the tools and an appropriate and reasonable level of
support to enable them to demonstrate their underpinning
knowledge, skills and learning and meet the required
performance expectations.
• It is the responsibility of the Foster Carer to ensure that they are
meeting the targets set within their Personal Development
Plan/Review and their supervision records and that they are
participating fully in developmental activities agreed within their
PDP/Review.
• It is the role of the Fostering Social Worker to assess whether
the Foster Carer has met the competency requirements
(standards or higher level indicators) and performance criteria.
• It is the role of the Team Manager to monitor the work of the
Fostering Social Worker and verify and endorse the evidence
produced. It is the role of the Team Manager to endorse; where
appropriate the recommendations made and subsequently
report to the Fostering Service Manager.
• It is the role of the Team Manager to review evidence with the
Fostering Social Worker on an annual basis to ensure that
Carers are maintaining and developing their skill level. It is the
Team Managers role to monitor and review individual cases on a
regular basis where the performance criteria and/or portfolio
evidence is not being met and to agree the support plan and
timescale for resolution.
• The Fostering Service Manager will consider the
recommendations made and confirm the outcome.
2.4
Areas of Dispute
Areas of dispute may arise regarding the outcome of decisions by both
The Standardisation Panel and the final outcome regarding the
Payment for Skill level. In these circumstances the representation
process (see 2.5) should be undertaken. Alternatively Carers may
choose to make a complaint by using Staffordshire County Council,
Vulnerable Children’s Service Complaints procedure (see separate
policy). In all cases Carers should be advised of the Complaints
Procedure.
2. 5
Representation Process
Grounds for making representation
Foster Carers may make representation regarding the decisions made
in circumstances where they believe that the assessment process and
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procedure were not properly carried out. This is the only ground for
representation.
How to make representation
Foster Carers should put their request in writing, providing detailed
information in support of their case. This letter should be sent to the
Fostering Service Manager.
Time scale
The letter of representation from the Foster Carer should be received
no later than 21 days following the receipt of the notification of the
outcome of the decision.
Acceptance
The Fostering Service Manager will consider whether the issues raised
in the letter meet the grounds for representation. The Fostering Service
Manager will write to the Foster Carer to indicate whether or not the
appeal has been accepted. If accepted the matter will be referred to the
Fostering Panel. The Carer will be notified when their representation
will be considered by Panel which will take place within 2 months of the
receipt of the representation.
Fostering Panel Consideration
The Fostering Panel will consider the representation, specifically,
• Whether or not the assessment procedures and process were
carried out
• The reasons for the Standardisation Panel’s decision and/or the
outcome of the Payment for Skills decision.
The Carer will be given the opportunity to put his or her case to the
Fostering Panel in person
The main focus of the representation process is to consider whether
the assessment of evidence has been conducted in accordance with
the relevant policies and procedures.
Representation Outcomes
The recommendation of the Fostering Panel in matters of
representation can be either
• The representation is UPHELD.
• The representation is NOT UPHELD
In both cases panel will detail the reasons for their decision.
The recommendation will be considered by the Agency Decision Maker
who will notify the carer of the outcome in writing no more than 5
working days from the date of Panel.
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Financial Consideration
In circumstances where the representation is made regarding a change
in the Payment for Skill level to a lower level, the higher level payments
will be maintained until the Representation Process has been
completed.
2.6
Foster Carers with relevant previous experience who join the
Staffordshire Fostering Service
An experienced Independent Foster Carer transferring to the
Staffordshire Fostering Service to care for children aged 10+ may
come in at Level 4. They will be given 12 months to produce their
portfolio of evidence for the Higher Learning Indicators and to
demonstrate they meet the performance criteria. Any transfer will be in
accordance with the protocol for transfer between agencies. For those
wishing to take children under the age of 10 Level 3 payments may be
made dependent upon experience.
2.7
New applicants with relevant professional experience
For new applicants with relevant professional experience entry at L3
can be agreed with the Foster Carer having 6-9 months to produce
portfolio of evidence and demonstrate performance.
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FOSTERING RATES 2010/11 PAYMENT FOR SKILLS
Level 1
TOTAL
AGE RANGE
WEEKLY ALLOWANCE
WEEKLY FEE
0-1
111.02
-
111.02
2-4
113.05
-
113.05
5-10
127.05
-
127.05
11-15
152.04
-
152.04
16+
159.04
-
159.04
Level 2
AGE RANGE
WEEKLY ALLOWANCE
WEEKLY FEE
TOTAL
0-1
111.02
42.98
154.00
2-4
113.05
43.86
157.01
5-10
127.05
50.95
178.01
11-15
152.04
70.00
222.04
16+
159.04
80.01
239.05
Level 3
AGE RANGE
WEEKLY ALLOWANCE
WEEKLY FEE
TOTAL
0-1
111.02
105.00
216.02
2-4
113.05
105.98
219.03
5-10
127.05
124.95
252.00
11-15
152.04
161.98
314.02
16+
159.04
179.97
339.01
Level 4
AGE RANGE
WEEKLY ALLOWANCE
WEEKLY FEE
TOTAL
0-9
Level 4 not paid for
children under 10
10 years +
152.04
259.98
412.02
11-15
16+
159.04
284.97
444.01
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LEVEL 5
Level 5 is outside the Payments for Skills scheme. It is a stand alone project
offering single placements to young people aged 10-15 who have the most
challenging behaviours.
AGE RANGE
WEEKLY
WEEKLY FEE
TOTAL
ALLOWANCE
10-15
152.04
450.00
602.04
16+
159.04
450.00
609.04
3.
Payments for Skills - Additional Payments:
In addition to the Payment for Skills, the directorate will make additional
payments.
For carers on Payment for Skills only, the following payments apply:
•
A payment of
£25 to cover initial placement expenses will be made
for those children being admitted from their own home into foster
care. This will enable carers to purchase essential items. The
money will be brought at the point of placement by the child’s
Social Worker and will not be deducted from the weekly
maintenance allowance or any subsequent clothing allowance.
•
Where a carer takes a sibling group of three an additional payment
of
£30 per child per week will be made. For four children or more
the fee will be
£150 for the whole sibling group.
•
For carers who have fostered for
more than two years, and have
cared for a child/children for
more than 250 days in the year, a
loyalty bonus of £300 will be paid. The year will run from 1st April
to 31st March and the payment will be made the following
April/May.
4.
Joint Finance Unit (VPT) – Payment Details
4.1
Timing of payments
The payment period runs from Sunday to Saturday, so a payment
advice or cheque received on a Friday/Saturday will be in respect of
the fortnight ending that Saturday. (List of pay dates attached, see
Appendix 1).
Allowances will continue to be paid when a child has an unplanned
absence from placement for three days or less. There will be a
deduction of this allowance when the absence is pre – agreed.
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Child benefit is not payable to foster carers who are in receipt of a
weekly fostering allowance.
Payment of all fostering allowances ceases the day before the young
person reaches the age of 18 years.
Fostering allowances are paid fortnightly, in arrears, by either BACS (a
credit direct into your bank account) or by cheque posted on
Thursdays, which should arrive on a Friday or Saturday.
BACS payments are available for withdrawals to be made from Friday.
Cheques will take up to three days to clear through a bank account, or
longer through a Building Society account.
Carers presently paid by cheque can opt to be paid directly into their
bank / building society account by ringing 01785 277180.
4.2
Checking Allowances/Entitlement
Carers should look carefully at the payment they receive to ensure that
they are getting all the allowances they are entitled to. Please contact
Staffordshire County Council, Joint Finance Unit (VPT), with any
payment queries, or Tel: Stafford (01785) 277182 or 277180.
Alternatively, you can email: [email address]
or [email address].
Where young people are moved at short notice, then the balance of
any part weekly payments will not be expected to be returned. This
practice does not automatically apply to
Special Initiative Payments.
Please be advised that it is a legal requirement that all remittance
advices be retained for a period of six years. This complies with the
Statute of Limitations and meets both VAT and Tax compliance rules.
4.3
Change in Circumstances
The child’s Social Worker must inform JFU (VPT) immediately of any
change in circumstances. The carer should also contact the JFU (VPT)
immediately should a placement end to try and avoid any
overpayments. Any overpayments will be re-claimed by deducting 25%
of the total allowance each pay run until the overpayment is cleared.
5.
Income Tax Relief for Foster Carers
New tax relief rules were introduced for foster carers, from April 2003.
The tax relief consists of two elements:
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1. Foster carers are exempt from tax on the first £10,000 per year of
their fostering income.
2. In addition, foster carers are entitled to further tax relief for every
week (or part week) that a child is placed with them. For every
week that a child aged 11 or older is in placement, the foster
carer’s tax relief increases by £250. For every week that a child
aged 10 or younger is in placement, the carer’s tax relief increases
by £200.
If income from fostering exceeds these limits, the Inland Revenue must
be informed. There are two ways for a foster carer to calculate how
much of their income is liable for tax:
1. The simplest way is to declare as ‘profit’ the whole amount by
which the total income from fostering exceeds the tax relief limits
described above, or
2. The alternative way is to have the ‘profit’ calculated under the
normal rules for self-employed people. Detailed records and
receipts should be kept, including remittance advices so that
accounts can be submitted to the Inland Revenue at the end of the
tax year.
There is an Inland Revenue help sheet which explains these
arrangements in more detail. This leaflet provides a Helpline number:
0845 915 4515/4655.
Contact details, including addresses, can also be obtained from the
Inland Revenue’s web site at www.inlandrevenue.gov.uk/local
A brief explanation note and copy of the Inland Revenue’s latest help
sheet will be sent to all current foster carers. Carers on Level 3 and
above will also be sent details of all payments made for the financial
year.
6.
Benefits
The fact that a foster carer is receiving a ‘reward payment’ is ignored
for means tested benefits, such as Job Seekers Allowance, Income
Support, Family Credit, Housing Benefit, Council Tax Benefit, and
Disability Working Allowance, as long as they meet the criteria for
receiving these benefits.
A reward payment is taken into account for Job Seekers Allowance
Contributory Benefit.
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Carers who are receiving a benefit because they are incapacitated and
considered unfit for work, can find the reward element taken into
account, as the fostering is seen as work.
Single foster carers who have no children of their own under 16, and
whose foster children are over 16, have to sign on as ‘available for
work’ in order to continue to receive Job Seekers Allowance.
There are a number of benefits that foster carers can apply for on
behalf of the children they care for, including Disability Living
Allowance. It is advisable that carers seek guidance from the
Department for Work and Pensions and the child’s Social Worker
before applying for any benefits for the child.
7.
Disability Living Allowance
Guidance on the payment and use of Disability Living Allowance
by foster carers
1.
Disability Living Allowance (DLA) is a Social Security benefit available
to disabled children who require help with personal care and/or
supervision over and above that of other children of the same age,
because of their illness or disability.
2.
The DLA benefit contains both a care and a mobility component and is
paid at different rates according to the child’s needs. The DLA Care
Component is paid at a low, medium or high rate and may be payable
to a disabled child from the age of three months once the child’s needs
have been assessed. The Mobility Component is paid at a low or high
rate (i.e. higher rate from aged three and lower rate from age five.
Some children will receive either one or both elements.
3.
Any adult caring for such a child, providing the child is not in hospital or
residential care for more than 28 days, can apply for this benefit.
Although the foster carer does not need the permission of the parent to
apply for DLA, it would be good practice for the child’s Social Worker to
inform the parent of their intentions.
4.
If a child is in receipt of DLA, prior to becoming a looked after child, the
child’s Social Worker should be involved in discussions with the parent
concerning transfer of the DLA to the foster carer. The parent must
notify the Department of Works & Pensions (DWP) that the child is no
longer in their care and the foster carer should be advised to make an
application to receive it. In the same way, if a child moves from one
foster carer to another the foster carer must notify the DWP.
5.
Where the child is in permanent foster care and in receipt of the
mobility component of the DLA, this will transfer to the permanent
carers.
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6.
DLA is paid to the child not the carer. Normally if the child is under 16
the carer acts as an appointee. Otherwise, the young person, providing
they are capable, can have the benefits paid to them direct.
7.
There are no conditions laid down by the DWP as to how the money
should be spent. It is intended that the money be used to enhance the
child’s life so that the child derives maximum benefit from the payment
of this benefit.
8.
Foster carers will be expected to set up a separate bank account, in the
foster carer’s own name, into which the DLA will be paid.
9.
The money is not intended to be saved for the child for use in later
years as this could result in them being penalised. For example, if
there is more than £3000 in an account when the child returns home,
this will affect any benefits claimed by the parents. For a child reaching
16, a sum of more than £8000 will affect their claim for income support
and housing benefits.
10.
The child’s Social Worker must be involved in discussion on how the
DLA can be used to improve the child’s life and is responsible for
monitoring the way the money is spent. Carers are not expected to
produce receipts but must show how it is being used for the benefit of
the child.
11.
Scrutiny of the money process to ensure that the DLA is being spent
appropriately is the responsibility of the child’s Social Worker,
supported by the Family Placement Social Worker. If there is evidence
that the DLA is not being spent by the foster carer on the child, it would
be appropriate to make another adult the appointee. This would need
to be considered by the appropriate Head of Service.
Examples of how the money could be spent:
• Activities that are costly, e.g. horse riding, after school clubs.
• Provision of an escort to enable social events to be attended.
• Extra helper for an outing or holiday.
• Taxi fares for trips out.
• A special holiday for the child, which could include covering the
family’s expenses.
• Caravan expenses so that the child can have regular breaks in a
familiar place.
• Extra support such as child sitting service, using individuals who are
CRB checked.
• Individual equipment such as a computer, communication aids.
• Laundry service & appliances.
• Replacement clothing, where there is excessive wear and tear on
clothing.
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• Additional heating costs.
• Additional help with personal care.
• Anything that will improve the child’s life.
Please note that all escorts or helpers must have a current CRB
check to ensure their suitability.
8.
National Insurance
All foster carers who receive a reward from fostering are required to
pay National Insurance contributions as self-employed people, which
will provide benefits e.g. pension. This does not apply to Level 1 and
Level 2 carers.
Those carers whose reward payment is below the threshold level for
National Insurance payments need a ‘Certificate of Small Earnings
Exception’ from their local DSS office. This does not, however, give
entitlement to benefits nor give credit towards a pension.
Carers at Levels 3 and 4 will need to register as self-employed and pay
National Insurance contributions. They have three months, from the
time they become liable to pay tax, in which to apply.
9.
Pensions: Home Responsibility Protection
Home Responsibility Protection (HRP) was made available to foster
carers from April 2004.
What IS HRP?
HRP protects the basic Retirement Pension position of people whose
opportunity to work is limited because they are caring for children, or a
sick or disabled person. It also helps with bereavement benefits. It is
designed to have the simplest of qualifying criteria - namely as a
'passport' entitlement based on the receipt of appropriate benefits. For
carers of children, Child Benefit is the trigger.
Foster carers are not employees of the local authority and the
allowance they receive for caring for a child is not normally subject to
National Insurance or tax. ‘Reward payments’ are made in certain
circumstances, which are classed as earnings from self employment
and are liable for NI payments, but few foster carers receive these and
some of them are granted exception from NI liability on the ground of
low earnings.
As the children cared for by foster carers are technically in the care of
the local authority, foster carers are not entitled to Child Benefit for
them. Consequently, they are not covered by the HRP provisions for
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periods of foster caring unless they have children under 16 of their
own.
HRP has been extended to foster carers for each full tax year for which
they are registered as an approved foster carer. This means that they
will be covered for periods when they are awaiting a placement and will
benefit emergency foster carers who are ready to take in a child at any
time.
How HRP works
The amount of basic (Category A) retirement pension a person is
entitled to will depend on the number of qualifying years (i.e. years
covered by national insurance contributions or credits) they have built
up during their working life. The working life runs from age 16 until
state pension age (currently 60 for women and 65 for men). In order to
receive a full basic pension, 9/10ths of the working life normally needs
to be covered by qualifying years. The working life is currently 49
years for men and 44 years for women. Therefore, for a full basic
pension, a man needs 44 qualifying years and a woman 39.
HRP reduces the number of qualifying years needed for a full basic
pension. However, it cannot reduce that number below 20. The
provisions apply equally to men and women.
The current maximum number of HRP years is 24 for men and 19 for
women. When state pension age is equalized at 65 in 2020, both men
and women will need 44 qualifying years for a full pension and HRP will
cover a maximum of 22 years.
The broad intention of HRP is to protect a person's pension over
substantial periods of home responsibilities, not short periods of a few
weeks or months; the legislation therefore applies to complete tax
years during which a person satisfies the conditions.
What has to be done?
Foster carers need to complete claim form
CF411, which they can get
from social security or Inland Revenue offices and send it to the Inland
Revenue. They will need to enclose a letter of confirmation that they
have been approved as a foster carer throughout the previous tax year.
This letter will need to be provided by the Local Authority which has
approved them. Provided everything is in order, they will have their
entitlement to HRP for that tax year noted on their National Insurance
account.
10.
Insurance
Foster Carers must inform both home and car insurance companies
that they foster. They must have fully comprehensive car insurance
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with business use for fostering. If the companies impose an extra
charge, i.e. for business use, this should be discussed with their Family
Placement Social Worker.
Where a foster child has caused damage to property, the carer should
initially contact their insurance company. If there is excess to pay, the
Family Placement Social Worker should look into this being covered by
C&F Services. Children & Families also has an insurance policy, which
covers foster carers in circumstances where an insurance claim cannot
be met.
11.
Foster Carer Insurance – Guidance Note
The following insurance is provided in respect of Foster Carers,
including those involved in the Family Link scheme; those of children
under remand from the Court, and lodgings providers registered with
Staffordshire County Council and involved in the Supported Lodging
Scheme.
Property Insurance
Insurers:
Zurich Municipal
Policy Number:
QLA-02AA04-0013
Indemnity Limit:
£100,000 any one household
This policy provides cover to all property belonging to persons
appointed as foster parents/supported lodgings provider in respect of
damage (wilful or otherwise) caused to Foster Carer/Supported
Lodgings Provider’s property by the foster child residing with an
Insured Foster Parent/Supported Lodging Provider.
It is a contingent policy that would only pay if no other policy is in force
or if the policy in existence fails to pay out for some reason.
Carer’s property is defined as follows: ‘Buildings and Contents
belonging to an Insured Foster Parent/ Supported Lodging Provider’.
The following is
not covered under this policy:
1.
Theft of money
2.
Damage to Motor Vehicles (whether being driven or not)
Where such damage or theft has occurred, the foster carer will discuss
recompense with the child’s Social Worker.
The policy is on a reinstatement basis and provides cover on a new for
old basis.
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The policy would cover Foster Carer/Supported Lodgings Provider’s
own children’s property provided this property is within the Carer’s
home and forms part of the household’s contents.
The policy is subject to an excess of £100, which will be met by
Children & Families Services. Standard policy terms and conditions
will apply to this cover, and it should be noted that all claims should be
reported to the Insurance Company within 30 days of the loss.
Property Insurance:
Insurers:
Zurich Municipal
Policy Number:
QLA-02AA04-0013
Indemnity Limit:
£5,000,000
Excess:
nil
This policy indemnifies individual Foster Parents/Supported Lodging
Provider approved by Staffordshire County against any claim made by
a third party against the Foster Parents/Supported Lodging Provider
arising out of the fostering by them of children in care of Staffordshire
County Council.
The policy provides retrospective cover for Foster Parents arising out of
claims made during the currency of the policy in respect of injury,
illness, loss or damage, which occurred, between 1st April 1964 and
16th June 1989 when Policy TP-2A004-0183 was effected. During this
period of cover, the Indemnity Limit was £1,000,000 and not as stated
above. Cover for period 16th June 1989 to 30th April 1998 provided
under policy TP-02A004-0183 with Indemnity Limit of £1,000,000.
Standard policy terms and conditions will apply to this cover.
For carers who have had an allegation made against them, legal
insurance is provided by Fostering Network. Carers should consult the
Advice and Mediation worker, on 01785 240121 for further details.
12.
Equipment
Equipment is provided through the fostering Social Worker via the
issue an official order giving details of the items to be purchased and
maximum amount to be spent. The type of equipment that family
placement provide is detailed in 1.
In exceptional circumstances permission will be given for carers to
make the purchase and for money to be reimbursed on submission of
the receipt.
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13.
Family Link Payments
When a link has been set up the child’s Social Worker will complete a
SW734 and forward it to JFU (VPT).
Payments for each session or series of sessions are initiated by the
Family Placement Social Worker who will complete the Form SW807
for each date the child is in placement.
Payment is as follows:
Intros/Meetings -
£14.15
Up to 84 hours -
£166.00
Up to 6 hours -
£28.25
Up to 96 hours -
£183.70
Up to 12 hours -
£42.40
Up to 108 hours -
£201.35
Up to 24 hours -
£56.55
Up to 120 hours -
£219.00
Up to 36 hours -
£84.75
Up to 132 hours -
£236.70
Up to 48 hours -
£113.05
Up to 144 hours - £254.35
Up to 60 hours -
£130.70
Up to 156 hours - £272.00
Up to 72 hours -
£148.35
Up to 168 hours - £289.65
Where agreement has been given by the area social work team to
cover transport costs, the mileage will be paid at the rate of 40p per
mile.
Any equipment required will be provided through the Family Placement
Social Worker, in conjunction with the specialist OT services.
See previous sections for details of equipment, insurance, tax etc.
14.
Remand Payments
Payments to remand foster carers are initiated by the child’s Social
Worker through submission of a SW734 to JFU (VPT).
Remand carers receive a payment of £348.18 per week.
15.
Emergency Duty Service Fostering
Foster carers will be available on a rota to accept placements made by
the County Emergency Duty Service Social Workers (EDS) outside
normal office hours. This will increase placement choice, reduce the
need to use residential emergency beds and enable siblings to be
placed together.
Carers will receive £50 for one child, £75 for two children and £100 for
three or more, in addition to payment of the appropriate for skills level
(paid pro rata). Placement will be until the next working day only.
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