You sign up with The Bicycle Doctor; you're given access to Cyclescheme's online system.
Employees visit us here at The Bicycle Doctor to select the bike and equipment that they want; they will be given a paper quote. They use Cyclescheme's online tool and apply for their chosen package by entering the details online and requesting a secure certificate.
Once an employee has requested a secure certificate, you can confirm eligibility and approve the request. Cyclescheme will send you an invoice for the bike package, and a hire agreement is sent to the employee to sign.
As soon as the bike is paid for, the secure certificate is sent to the employee.
The employee contacts their chosen bike shop to arrange collection.
You reclaim VAT in the normal way (if applicable) and the balance of the bike is deducted via salary sacrifice. At the end of the hire period, the employee pays a Market Value payment to make the bike theirs. Cyclescheme can collect this payment for you.
We have made it easier for. Whilst browsing our store you will see our Cyclescheme recommended Logo. These recommendations will help in your choice, combining superior value for money and quality that no other brand can offer!
When you're ready, you can click here to register Don't Forget to enter our code BICYCLDR
We look forward to being of service. Please note that the scheme is available to UK tax payers who pay PAYE. Self-employed workers cannot take part in the scheme.
Yes. Within the Government’s Green Transport Plan, there’s a tax exemption which allows employers to provide cycles and safety equipment to employees as a tax-free benefit. Technically speaking, employees actually hire the bicycles from you, buying them at the end of the salary sacrifice period for a Fair Market Value payment. Cyclescheme will collect this Fair Market Value payment for you, and we can also offer highly competitive finance packages from well known providers.
The employer buys the bikes and safety accessories at full retail price, including VAT which is reclaimed in the normal way, if applicable. The balance is recovered from a reduction in the employee’s gross salary, and employers also benefit from National Insurance contribution savings. The net result? You save money on every bike you process through the scheme!
The figures shown below only represent the possible savings under Cyclescheme, not your actual savings.
Every employer's circumstances are different, and a Cycle to Work scheme can be run in many different ways. The calculator needs to know specific information about a scheme (eg VAT status, NI rates and any finance charges) and apply these to the savings calculation in order for it to be accurate to your particular situation.
|Total cost of bike and accessories:||£400|
|Net cost of bike and accessories, including finance and admin costs (if applicable):||£341.67|
|Income tax saving over hire period:||£68.33|
|NI saving over hire period:||£41|
|Final cost of bike & accessories:||£232.34|
|Gross salary sacrifice, based on month hire period (this should be the figure displayed on your hire agreement):||£28.47|
|Net salary sacrifice, based on month hire period:||£19.36|
|Percentage saving over RRP:||41.9%|