cyclescheme

cyclingfrog
cyclingfrog Posts: 3
edited June 2011 in Road beginners
hi there,
Has anyone bought abike using the cyclescheme through their employer? and if yes is it a better way to go than buying a bike outright?
i have a budget of about a grand.

Comments

  • optimisticbiker
    optimisticbiker Posts: 1,657
    Hi cyclingfrog... suggest you use the search function... this has been discussed at length many many times and every employer has a slightly different interpretation of the rules so you need to sit down and work out just what tax saving, if any you, will make. The key thing to watch out for is how your employer deals with the end of the 12months and what you have to do to get the bike from them (as technically they or the scheme will still own it).
    Invacare Spectra Plus electric wheelchair, max speed 4mph :cry:
  • cyclingfrog
    cyclingfrog Posts: 3
    thanks for that i found a piece after i'd posted
  • Paul32uk
    Paul32uk Posts: 80
    If your scheme is like ours and set to pass on max savings to the employee then the savings made through VAT, tax and NI will be about £427 on a £1k bike.

    Depending on how your employer deals with the final payment is where it may screw you over. Our company let cyclescheme handle this so you pay wither a 3% or 7% deposit to extend your hire period with cyclescheme. At the end of the extended hire period that deposit is offset against the final payment (so the deposit is the last payment you will ever make).

    So in total you will save £357 on a £1k meaning you get it for £643. This of course is only if your company is as nice as mine and has it set up for the employee to get all of the benefits.

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