It’s not going to answer your question really, but we use cyclescheme, and the limit was increased to £10K a few years ago, so that e-bikes could be purchased rather than a lot of professors riding around on Pinarello’s!
I agree with a lot of what Poet says. It is definitely less attractive since the VAT relief that many got in the early years was lost. That’s been the known position for a long time now though.
I disagree with this bit. None of my salary sacrifices impact my pension, so it will be company by company. We can salary sacrifice for extra holiday, etc. My pension is still based off my stated base salary in the system.
Not saying a company couldn’t operate it that way, but it’s definitely not a given.
Coincidentally this morning my 5 year statement came through from Evans. This is the table from the email.
The 1 year transfer value is where you got the 25% from yes? As you can see, this reduces to 0% over 6 years.
So I spoke to my employer about what happens if I leave after the first 12 months, they said it’s nothing to do with them, speak to the bike shop. The bike shop say it’s nothing to do with them, speak to the employer.
It very much depends which scheme you use. My understanding of cyclescheme, as an example, is that they take over the “contract” after the employer salary deductions end. And so they administer the final balancing payment. I think they follow the rules fairly prescriptively. But some others are a bit more carefree.
It is on the whole a lot more regimented nowadays tho. Back in the day you saved the VAT too, but HMRC finally set some boundaries and participants in the schemes are expected to follow them