All foster carers are classed as ‘self-employed’ by Her Majesty’s Revenue and Customs (HMRC) department, so when you become a foster carer, one of your first jobs will be to register yourself as being ‘self-employed’.
Once you’re registered, you are automatically registered for Class 2 National Insurance Contributions.
The HMRC holds regular ‘webinars’ to explain tax and NI contributions for foster carers, which are really popular and useful. They are easy to understand and will explain everything very clearly. You can sign up for as many webinars as you wish and there is a support service for any questions you may have.