Salary sacrifice leasing
Discussion
I took was considering SS for a Tesla Model Y, for the dual motor for me it nets to around £610.
Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
James-gbg1e said:
I took was considering SS for a Tesla Model Y, for the dual motor for me it nets to around £610.
Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
Have you factored in that you're paying tax on the income that you take home ahead of paying for the existing car? Also depreciation of that car per month?Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
James-gbg1e said:
I took was considering SS for a Tesla Model Y, for the dual motor for me it nets to around £610.
Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
Tesla are 0% interest at the moment.Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
Lease/Pcp
Sell existing car, bank it & earn interest?
Salary sacrifice look like a scam to me.
When the lease is the same as the public price - tax & ni, count me in.
But the middlemen trouser most of it.
James6112 said:
James-gbg1e said:
I took was considering SS for a Tesla Model Y, for the dual motor for me it nets to around £610.
Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
Tesla are 0% interest at the moment.Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
Lease/Pcp
Sell existing car, bank it & earn interest?
Salary sacrifice look like a scam to me.
When the lease is the same as the public price - tax & ni, count me in.
But the middlemen trouser most of it.
Zj2002 said:
Im paying sub £600 a month for an i4 M50 for 12,000 miles Pa for 3 years with servicing, insurance and tyres. Colour me scammed.
That's the sort of level they should be at. I know my scheme seems particularly poor these days, but won't be alone. Same car and term with no options at all:My employer is close to signing up with Tusker (but knowing HR that could mean 2027..)
Would appreciate if anyone is bored and wants to run a few searches what sort of price I am looking at. Likely to go for 2 cars in the end, one to replace the wife's owned Mazda CX5 and one to replace my leased CLA35.
45% tax payer, 10k miles, fully insured & maintained, 4 years lease.
Cars interested in are Tesla Model Y, Kia EV6, BMW iX or iX3 for the family wagon, BMW i5, BMW i4, Hyundai Ioniq 6 or maybe 5N for myself.
Thanks
Would appreciate if anyone is bored and wants to run a few searches what sort of price I am looking at. Likely to go for 2 cars in the end, one to replace the wife's owned Mazda CX5 and one to replace my leased CLA35.
45% tax payer, 10k miles, fully insured & maintained, 4 years lease.
Cars interested in are Tesla Model Y, Kia EV6, BMW iX or iX3 for the family wagon, BMW i5, BMW i4, Hyundai Ioniq 6 or maybe 5N for myself.
Thanks
plfrench said:
Zj2002 said:
Im paying sub £600 a month for an i4 M50 for 12,000 miles Pa for 3 years with servicing, insurance and tyres. Colour me scammed.
That's the sort of level they should be at. I know my scheme seems particularly poor these days, but won't be alone. Same car and term with no options at all:Add the benefit in kind, insurance and maintained and the numer you are seeing looks very reasonable to me.
There's always people on here complaining of scams, but apart from the odd very time limited deals, I've seen no evidence of it. Happy to be proven wrong though!
Still a worse deal for us (though it's a good deal!)
TheDrownedApe said:
rudester said:
plfrench said:
Zj2002 said:
Im paying sub £600 a month for an i4 M50 for 12,000 miles Pa for 3 years with servicing, insurance and tyres. Colour me scammed.
That's the sort of level they should be at. I know my scheme seems particularly poor these days, but won't be alone. Same car and term with no options at all:Add the benefit in kind, insurance and maintained and the numer you are seeing looks very reasonable to me.
There's always people on here complaining of scams, but apart from the odd very time limited deals, I've seen no evidence of it. Happy to be proven wrong though!
rudester said:
Should they? The cheapest lease on Leaseloco for the same term is £970 with 12 months up front.
Add the benefit in kind, insurance and maintained and the numer you are seeing looks very reasonable to me.
There's always people on here complaining of scams, but apart from the odd very time limited deals, I've seen no evidence of it. Happy to be proven wrong though!
At £1323 gross, that leaves £350 per month difference - I know insurance is expensive these days, but maintenance won’t be a huge amount… same car when it first came out was about £320 per month cheaper net which probably makes it seem worse.Add the benefit in kind, insurance and maintained and the numer you are seeing looks very reasonable to me.
There's always people on here complaining of scams, but apart from the odd very time limited deals, I've seen no evidence of it. Happy to be proven wrong though!
James6112 said:
James-gbg1e said:
I took was considering SS for a Tesla Model Y, for the dual motor for me it nets to around £610.
Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
Tesla are 0% interest at the moment.Minus my current outgoings for my Merc C43, £280 fuel, £70 insurance, £28 Tax (2025 there will be EV tax, but around half what I pay) it means actually my new increased costs would be £250, plus £20 or so in EV charging from home.
However, my concern with respect to SS is also around mortgage affordability as although I incur some of these costs anyway, the cost base then becomes fixed... I.e your ability to tell your broker "yes, but my fuel costs will halve over the next month as I WFH".
This to me is a disadvantage.
My alternative is sell my car for 20k, take a loan for 15k (even at 6.1%) over 4/5 years for £275/300 and own the car. In doing so my capital is of course sunk into the car, and my monthlies are £275 loan, £70 insurance and a set of tyres every other year. They're not drastically different.
There's also depreciation but I rather look at this differently.
So as a direct comparison of only in/out of my account per month for me the purchase route is where my head currently is.
Lease/Pcp
Sell existing car, bank it & earn interest?
Salary sacrifice look like a scam to me.
When the lease is the same as the public price - tax & ni, count me in.
But the middlemen trouser most of it.
Eletre S (No Options)
P11D £105,750
3 Years
15k Miles PA
Fully Maintained (Inc Servicings/Tyres) and Insured
£630 a month net
ARF8885 said:
Must admit I was dubious about SS and I don’t think all deals stack up, but having benefited from the recent offers on the Lotus Eletre I’m fairly happy with the deal i got!
Eletre S (No Options)
P11D £105,750
3 Years
15k Miles PA
Fully Maintained (Inc Servicings/Tyres) and Insured
£630 a month net
The arrangement you've got - your SS provider acting as an agent for a lease deal from another company - seems pretty unique though. No one else seems to have heard of that being done before.Eletre S (No Options)
P11D £105,750
3 Years
15k Miles PA
Fully Maintained (Inc Servicings/Tyres) and Insured
£630 a month net
Sheepshanks said:
ARF8885 said:
Must admit I was dubious about SS and I don’t think all deals stack up, but having benefited from the recent offers on the Lotus Eletre I’m fairly happy with the deal i got!
Eletre S (No Options)
P11D £105,750
3 Years
15k Miles PA
Fully Maintained (Inc Servicings/Tyres) and Insured
£630 a month net
The arrangement you've got - your SS provider acting as an agent for a lease deal from another company - seems pretty unique though. No one else seems to have heard of that being done before.Eletre S (No Options)
P11D £105,750
3 Years
15k Miles PA
Fully Maintained (Inc Servicings/Tyres) and Insured
£630 a month net
As a Plan C I had Vehicle Consulting, who obtained the quote direct from Lotus.
Costs were a little higher at around £680-£700 a month, but I believe a similar arrangements.
plfrench said:
rudester said:
Should they? The cheapest lease on Leaseloco for the same term is £970 with 12 months up front.
Add the benefit in kind, insurance and maintained and the numer you are seeing looks very reasonable to me.
There's always people on here complaining of scams, but apart from the odd very time limited deals, I've seen no evidence of it. Happy to be proven wrong though!
At £1323 gross, that leaves £350 per month difference - I know insurance is expensive these days, but maintenance won’t be a huge amount… same car when it first came out was about £320 per month cheaper net which probably makes it seem worse.Add the benefit in kind, insurance and maintained and the numer you are seeing looks very reasonable to me.
There's always people on here complaining of scams, but apart from the odd very time limited deals, I've seen no evidence of it. Happy to be proven wrong though!
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