A cycle-to-work scheme is a tax-efficient employee benefit that allows individuals to purchase bicycles and cycling equipment through salary sacrifice, promoting a healthier and eco-friendly commute to work. It enables employees to save money while encouraging physical activity and reducing carbon emissions.
Employees give up part of their salary in return for a bike and/or cycle equipment. As the employer, you pay for it upfront and deduct the cost over 12 months from their gross pay, but this can be longer if you choose to offer this; credit options are available if you don’t want to pay upfront, subject to approval. The bike cost is deducted in equal monthly instalments over the duration of the agreement. The deduction is processed from their employee's gross salary, wherein the tax and NI savings are realised.
The Cycle to Work scheme is a government-incentivised benefit. This means employees will save both tax and National Insurance, and as an employer, you will save on your employees' contributions too.
Our cycle-to-work scheme is designed to make things more convenient for you by integrating with all your benefits, eliminating the need for separate processing. With simplified admin and you in control of the setup, the experience is seamless and hassle-free. There are no limitations on bike availability, so employees can get the bike and equipment they need.
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