You are reading a single comment by @user20714 and its replies.
Click here to read the full conversation.
London Fixed Gear and Single-Speed is a community of predominantly fixed gear and single-speed cyclists in and around London, UK.
This site is supported almost exclusively by donations. Please consider donating a small amount regularly.
@user20714
Value of voucher = £1,000.00
Gross monthly reduction = £83.33
Scheme administration charge = £0.00
Gross monthly charge = £83.33
Value of bike after 12 months (+VAT) £300.00
Value of bike after 48 months (+VAT) £84.00
**Basic rate tax payer **
Income tax saving = £16.67
NI saving = £9.17
Total monthly saving = £25.83
Net monthly charge = £57.50
Annual charge = £690.00
Saving if return bike after 12 months = £310.00 (31%)
Saving if keep bike after 12 months = £10.00 (1%)
Saving if return bike after 48 months = £310.00 (31%)
Saving if keep bike after 48 months = £226.00 (23%)
Higher rate tax payer
Income tax saving = £33.33
NI saving = £1.67
Total monthly saving = £35.00
Net monthly charge = £48.33
Annual charge = £580.00
Saving if return bike after 12 months = £420.00 (42%)
Saving if keep bike after 12 months =£120.00 (12%)
Saving if return bike after 48 months = £420.00 (42%)
Saving if keep bike after 48 months = £336.00 (34%)