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A whole newSalary SacrificeScheme for cars.
How often do you get a‘Win Win’ situation in business?“well now you can”
Salary Sacrifice for cars offers employees great reductions in the cost of a new car via Tax and National Insurance savings and access to large fleet discounts.
“A WIN!”Employers incentivise their staff through increased benefits with no associated cost to the business and no risk!In fact, the employer can generate annual savings from each employee that joins the scheme with minimal administration!
“Another win!”
Key benefitsto the employee• No Deposit• No Credit Checks• All Scheduled servicing and mechanical repairs included in rental• All Tyre replacement/repair included (no quibble policy)• Road Fund Licence included for period of Contract• Full Breakdown cover, including roadside assistance, home start and European cover• Fixed cost business motor insurance fixed for the period of the contract• Accident Management• Just Add Fuel
Typical Exampleof Employer savingsThe average cost a vehicle under salary sacrifice schemes is £300 per month and typicallyemployees select low carbon emitting vehicles, usually sub 100 CO2.
This is an example of how the employer cangenerate saving for the business whilst stillproviding their employees with an extremelyattractive and cost effective benefit. This example assumes that a vehicle has a list price of £15,000, costs £300 per month to lease including insurance (i.e. the amount of salary sacrifice), and attracts a 15% CO2 tax charge:
SavingIf the employer carries the cost of the Class 1A NI due on the car, the saving is £15.52 per vehicle per month, ie; £41.40 - £25.88 = £15:52 However, if the cost of the Class 1A NI due on the car is passed to the employee (via the TCH Salsa web site) the employer saves all of the £41.40 per month per vehicle Class 1 NIC.
Using this example, if 50 employees join the scheme the employer could generate an annual income stream of £24,840.
Employers Class 1 National Insurance saving on salary sacrifice:£300 x 13.8% = £41.40 per month
Class 1A National Insurance due on car:£15,000 x 15% x 13.8% = £310.5pa = £25.88 per month
What about the Risk?Maternity and sick leave, who pays the rental and what happens if someone leaves or is made redundant or is too ill to return to work?
Relax, we’ve got it covered, with our industry leading risk mitigation contingency!
It really is a Win Win situation!
So……….why wouldn’t you find out more?
Call us today on 0845 408 3000 to arrange for one of our specialists to visit and tailor make a scheme for your business.
