Cycle 2 Work Scheme
In the UK there is a Government backed "Bike to Work Scheme" to
encourage and incentivise employees to cycle to work.
At Ian Brown's Cycle Shop we have organised and operated a
similar scheme that enable employers to offer their staff serious
savings on new cycle purchases as an incentive to cycle to work.
The maximum employee savings on a £500 bicycle purchased on the
scheme could amount to over £150. Furthermore the employer can also
save money too.
How the scheme works is to take advantage of the annual
"Benefits in Kind" allowance that each employed person is eligible
to offset against their Income Tax. This currently stands at £450
per employee. If an employer already offers any other form of
"Benefits in Kind" than that may affect the total amount that can
be saved however.
Example: -
Step 1 Firm XYZ Limited registers under the Ian Brown's Cycle
Shop Cycle2Work Scheme. The company selects either one or two
calendar months to promote the scheme within their
firm. This entitles them to a 10% discount on any approved
employee purchase.
Step 2 Employee selects a bicycle from the 600 or so on offer at
Ian Brown's Cycle Shop.
Step 3 Summary of bike and accessories sent to XYZ
Limited. Once approved and after discount the
settlement of invoice is arranged.
Step 4 Customer comes to collect bicycle and accessories and
agree a salary sacrifice over an agreed period, say 12 months, of
equal deductions. Up to £450 of these deductions are therefore
exempt from Income Tax and S.I. contributions saving
employees £100 as well as the £50 discount from Ian Brown's
Cycle Shop. The employer also saves the S.I. employer deductions of
£27.50 too.
Why cycle to work?
Saves money, can almost on all trips be quicker, keeps you
fitter and helps the environment. Employees also arrive at work
more alert and ready for work and the ride home can be a great way
to distress from a hard days work too. It is proven too that
healthier employees have much less absenteeism.
Why choose Ian Brown's Cycle Shop's Cycle 2 Work
Scheme?
Ian Brown's Cycle Shop has been supplying quality bikes,
accessories and services for 30 years. We run a well stocked shop
catering for all cyclists from 3 years old upwards. We always make
sure that all our customers have the correct bike and are correctly
fitted for their comfort, safety and efficiency when cycling. We
always have over 600 bikes to choose from and even more available
to order.
If you are interested in starting a Cycle 2 Work scheme then get
your employer to contact us at cycle2work@ianbrowns.co.uk
and we will arrange a visit to explain the whole system and get
going.