What is included in a foster carer allowance?

A foster carer allowance usually includes a maintenance amount for the child and, depending on the fostering service, a separate fee or professional payment for the carer’s role. It may also be supported by additional payments for particular needs or agreed costs. The exact package is set by the fostering service and should be explained before approval and before a placement is made.

The maintenance element is intended to meet the ordinary costs of caring for a child in placement. The amount may be assessed using factors such as the child’s age, their individual circumstances and the type of placement required. It is not normally a fixed salary, and it should not be assumed that every payment made to a foster carer has the same purpose.

Fostering services may describe this element using terms such as a maintenance allowance, child allowance or basic allowance. Although the wording differs, the important point is to understand which costs the service expects this payment to cover and whether any items are funded separately.

A fee or skills payment may be included as a distinct part of the overall fostering payment. Where offered, this recognises the carer’s time, preparation, training, professional responsibilities and contribution to the child’s care. The fee may depend on the fostering service’s scheme, the carer’s experience or approval status, and the type of placement accepted. Some services may not structure payments in this way, so ask whether the quoted amount combines maintenance and fee elements or lists them separately.

Additional payments can apply when a child’s circumstances create costs beyond the standard allowance. Examples may include:

• specialist equipment or items needed to support the child;
• travel connected with education, health appointments, family contact or agreed activities;
• school-related purchases or placement-start costs covered under the service’s policy;
• contributions towards celebrations, trips, hobbies or other planned activities;
• payments linked to complex care, disability, therapeutic needs or a particularly demanding placement; and
• agreed one-off costs, such as setting up a bedroom or purchasing essential items for a new placement.

These payments are not necessarily automatic. A fostering service may require prior agreement, receipts, an assessment of the child’s needs or confirmation that the cost cannot reasonably be met from the standard allowance. Never assume that an expense will be reimbursed simply because it relates to the child. Check the policy or speak to the supervising social worker before committing to a significant purchase.

Some costs may be handled separately. A service might provide equipment directly, reimburse an agreed expense, offer a grant or include the cost within the regular allowance. This can apply to items required at the start of a placement, substantial adaptations, specialist resources or travel arrangements. The method of payment is just as important as the amount, because reimbursement may involve an approval process or supporting evidence.

The payment schedule should also be clear. Written guidance should explain the standard rate, any separate fee, the circumstances in which extra payments apply, how changes are made when a child’s needs change and what happens when a placement ends. It should also distinguish recurring payments from one-off support. Where a payment is linked to a particular care arrangement, its continuation should not be assumed if the arrangement changes.

Ask the fostering service for a current allowance guide, payment schedule or policy document and check:

• which part is intended for the child’s upkeep;
• whether a fee or skills payment is included and what conditions apply;
• which costs require approval in advance;
• how mileage, contact-related travel and other agreed expenses are treated;
• what support is available for equipment and exceptional needs;
• how payments are reviewed when the child’s circumstances change; and
• who to contact if an expected payment or reimbursement is unclear.

It is also sensible to keep records of agreed expenditure and retain receipts where the service requests them. Clear records help separate ordinary household spending from placement-specific costs and make it easier to discuss any unusual expense with the fostering team.

Before accepting approval, compare the written explanation with the verbal information provided during assessment and training. If the documents use terms such as allowance, fee, additional payment or reimbursement, ask for each term to be explained. A complete picture is not just the headline amount; it is the combination of what the payment covers, what may be paid separately and which costs remain the carer’s responsibility.