With Allsave’s Cycle-to-Work scheme employees can save Tax and NI on the cost of a bicycle, making it even easier for them to get fit and be green.
Employees can choose from more than 2,000 UK independent stores, or alternatively from the full network of Halfords’ outlets via cycle2work.
With tax and National Insurance savings on the bike, through salary sacrifice, many bikes work out at little more than half price and the cost is spread over a year or more. Not to mention that you will save on Employer’s NI too!
What is the Bikesave bike to work scheme?
Bikesave allows employers to purchase bikes on behalf of their employees. Savings are made through employees signing a salary sacrifice agreement to swap pay for a bicycle and employees then save Tax and National Insurance on the saved salary, with employers saving National Insurance. The cost of the bike is then repaid by the employee monthly through their gross pay, thus spreading the cost. Employees may then use the bike for all or part of their journey to work.
Benefits for Employees
- Comprehensive choice and number of bike outlets available to employees
- Tax and National Insurance saving on salary converted to paying for a bike with interest free credit while cost spread over the length of scheme.
- Marketing support can include both digital and print for maximum employee engagement
- Helpdesk available via phone and email
Benefits for Employers
- Employer National Insurance saving through employees’ salary sacrifice
- Maximum choice of retailers from either chain stores e.g. Halfords or alternatively 2,000 independent retailers
- Possible to select a defined number of outlets if preferred and additional outlets can be added to the scheme by employee request (subject to quality standards).
- Maximum employee participation
- Promotes environmentally friendly employer
How to run a bike to work scheme?
Your bike to work scheme will be delivered to employees via a customised online Bikesave portal provided by Allsave Benefits. Your portal will contain a fully integrated online/telephone salary sacrifice election system and provides instructions to employees on how to sign up for the scheme. If you offer more than one salary sacrifice or employee benefit scheme then we can provided a fully-integrated portal with one single point of access.
We will also provide leaflets and other marketing materials that explain to your staff what the scheme is and how it works.
Once you have decided on whether to run either the Halfords Cycle2Work scheme or the independent bike shop scheme and on the time period during which employees may apply for the bike of their choice, we can set up your scheme as either financed or self-funded over 12 or 18 months.
There is minimal administration for the employer as we run the scheme and retailers receive funds promptly via BACS transfer. Allsave provides full support regarding simple transfer of ownership options at the end of the scheme.