Many women crunch the childcare-vs-salary numbers when returning from maternity leave, find childcare costs almost match their salary, and conclude it's not worth working. The calculation is usually framed wrong — it ignores pension contributions, career trajectory, and the years after children are in school.
The wrong way to do the maths
'My salary is £35k, childcare is £24k, so I'd only net £11k after tax — barely worth it.' This calculation excludes pension contributions (employer match alone is often £2-3k/year), career progression (3-5 years out of the workforce typically loses 30%+ of lifetime earnings), and the years from age 4 onwards when childcare costs collapse but the career you've maintained continues.
The full picture
Take-home from working
After tax, NI, pension contributions deducted but employer pension added back in.
Childcare cost net of subsidies
After tax-free childcare account (£2k/year per child), 30 hours free for 3-4 year-olds, employer childcare vouchers if applicable.
Career trajectory
What's the projected salary in 5 years if you continue working vs stop? The lifetime cost of a 3-year break is typically £100k-300k.
Pension and ISA contributions
Years of contributions during 30s and 40s compound disproportionately for retirement.
Where the maths often favours stopping work, at least temporarily
Multiple children close in age (childcare costs stack). Inflexible high-stress job that wasn't sustainable anyway. Partner with significantly higher income and stable career. Geographic location with very expensive childcare and limited family help.
How to keep the option open if you reduce or pause
Keep professional registrations current. Maintain LinkedIn presence (occasional posts, comments). Stay in touch with key contacts (twice-yearly coffee). Take on small contracts or part-time work if possible — maintains skills and CV continuity. Make pension contributions even at reduced income — even £200/month compounds significantly.
The childcare calculation isn't 'salary minus childcare equals net'. It's '5-year and 30-year career trajectory comparison'. Run the longer-term numbers — they usually argue for staying engaged even if it feels tight short-term.