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.
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
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Total cost of bike and accessories
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£1000.00
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Gross cost of bike and accessories
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£840.00
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Estimated income tax saving
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£168.00
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Estimated NI saving
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£92.40
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Final cost of bike and accessories
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£579.60
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Total saving
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£420.40
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Estimated gross salary sacrifice
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£70.00
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Estimated net salary sacrifice
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£48.30
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Percentage saving over RRP
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42%
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*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