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Grandparents who look after their grandchildren could be in line for €1,000 annual payment

Grandparents who look after their grandchildren could be in line for €1,000 annual payment

Grandparents who help mind their grandchildren could be in line for a €1,000 annual payment under new budget proposals.

The Independent Alliance called for the 'Grandparent and Grandchild Reimbursement Scheme' in their pre-budget meeting with Finance Minister, Paschal Donohoe.

The self-assessed payment would be available to all grandparents who help out with childcare for more than 10 hours a week.

Applications for the grant would be made through the Department of Social Protection.

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Paschal Donohoe says there are 'big questions' to be answered and that the plan would also need to consider other family members and friends who also help out with childcare.

He said:

"If you think of all the other members of family, and friends, who also perform duties looking after young children and do so on a voluntary basis, I think they would be asking me in particular - what about them?"

Reacting to the proposal of a 'Granny Grant,' Pauline O'Reilly spokesperson for Stay-At-Home Parents Association said:

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"All families are struggling and deserve support regardless of their childcare choice. We would support amending this proposal to bring parents who care for children at home into the net.

"Families where a parent stays at home to care for children pay as much if not more in childcare costs as those who use creches. This is because they forgo a salary as well as paying higher taxes.

"What families really want is flexibility and therefore to receive the subsidy directly themselves. They are best placed to make the choice as to who cares for their children.

Speaking about the costs, she added: "A family where one person earns €50,000 can pay €4000 more in tax than a family where two parents jointly earn €50,000 This is on top of the reality that families with a parent at home lose a salary, which makes the decision to care for children at home extremely difficult".

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- Digital Desk

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