Cycle to Work

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The Government Green Transport Plans have now made purchasing a bike even more affordable than ever, offering employees up to 50% off the retail price of a brand new bicycle and cycling accessories. The Employers also benefit from this by encouraging a healthier happier workforce.

 

Aiming to reduce environmental pollution the Government Green Transport Plan also aims to promote healthier lifestyles by making cycling a much affordable mode of transport to and from the workplace.

 

The Cycle to Work scheme can also be taken out on safety equipment without having to add in a bike as well. This safety equipment can include items such as clothing, tool kits, mudguards, lights, shoes and helmets. For safety equipement the minimum amount that can be placed on the Cycle to Work scheme is £100.00

For example a helmet £35 + waterproof jacket £55 + set of lights £20 = £110

 

 

Example of tax savings, based on:

A 12-month hire period with an annual gross salary of £15,000

Cost of bike: £900

Cost of helmet: £40

Cost of accessories: £60

 

Total cost of bike and accessories

£1000.00

Gross cost of bike and accessories

£840.00

Estimated income tax saving

£168.00

Estimated NI saving

£92.40

Final cost of bike and accessories

£579.60

Total saving

£420.40

Estimated gross salary sacrifice

£70.00

Estimated net salary sacrifice

£48.30

Percentage saving over RRP

42%

*Actual values will vary depending on type of cycle scheme used

 

 

How it works:

 

1 - Employer registers with a relevant Cycle to Work Scheme

2 - Employee visits us or phones us at Southfork to make their selection and obtain a written quote

3 - Employee presents written quotation to the employer for authorisation

4 - Employer provides authorisation to Bike 2 Work Scheme

5 - Employer makes payment to Bike 2 Work Scheme as per initial written quotation

6 - Bike 2 Work Scheme issues voucher to employee

7 - Employee presents voucher at the relevant bike shop and collects their chosen bike / equipment

8 - Employee's Interest Free monthly payments commence