Cycle To Work Employer and Employee Advice

[TwistingMyMelon]

Hi

Anyone recommend a Cycle To Work scheme from an Employer and Employee POV

I work for a small company, company is happy for me to run a cycle to work scheme , where more than likely I will be the only participant, meaning I run it and participate in it. I did this about 10 years ago using https://www.cyclescheme.co.uk/

I went to do it again about 5 years ago but ended up just paying cash for the bike as I got a good deal, I would rather have it out of my monthly pay as the misses will kill me if I buy another bike, plus its only real use will be riding to work and back as I have other bikes for the weekend.

Are all the providers much of muchness? Any pointers? I will probably buy a bike from an LBS if they can get in what I want, or an online retailer.

From what I have read if I buy a £1k bike, the best way is that at the end of a years hire period I pay 7% to extend the period for another 3 years , after which the bike ownership is transferred to me

Any pointers would be appreciated from employers or employee POV

Cheers

[Jacobyte]

If it's a small company and a flexible employer you have the most options. Ideally, find the bike you like, get the employer to buy it and then go through the salary sacrifice process.

If it has to be Halfords, or other, then your choice will be more limited but quite often they can still source the bike for you.

Either way, because it's a salary sacrifice benefit, the employer saves Employer's National Insurance contributions. Likewise, the employee also saves NIC and also PAYE.

[shatter]

Jacobyte said:

If it's a small company and a flexible employer you have the most options. Ideally, find the bike you like, get the employer to buy it and then go through the salary sacrifice process.

If it has to be Halfords, or other, then your choice will be more limited but quite often they can still source the bike for you.

Either way, because it's a salary sacrifice benefit, the employer saves Employer's National Insurance contributions. Likewise, the employee also saves NIC and also PAYE.

I can 2nd this, I did exactly that. The LBS invoiced my employer, the company paid the bill and then I take the salary sacrifice on my salary. The only administration cost was a small one from the payroll company for setting up the deductions.

[TwistingMyMelon]

Cheers I agree this would be best, however our accounts & payroll person is flat out covering two roles atm, so I'm loathed to ask them to take time out to look into this as they are so busy. Im more keen to use a prepackaged scheme that has it out in black and white. The providers ive looked at cover my local LBS as well which is handy

[Jacobyte]

TwistingMyMelon said:

Cheers I agree this would be best, however our accounts & payroll person is flat out covering two roles atm, so I'm loathed to ask them to take time out to look into this as they are so busy. Im more keen to use a prepackaged scheme that has it out in black and white. The providers ive looked at cover my local LBS as well which is handy

In that case, find the bike you like, ask the retailer which scheme they deal with, then use that one. Your accounts/payroll person will still need to get involved, but to a lesser extent.

[anonymous-user]

https://www.cyclesolutions.info/
My company use cycle solutions. I got a couple of Bromptons via LBS using them. They have never charged me the 7% to extend the 'hire' periods, so effectively tax/NI free