Salary sacrifice as an employee benefit is a great way for employees to drive a brand-new car over a fixed period and make large Tax & National Insurance savings. With the car being provided to the employer on a Contract Hire arrangement, HMRC classes the car as a Benefit in Kind, therefore Tax is payable, BUT the good news is that because the car will be new and low emission, the Tax & National Insurance savings will still be much greater.
The scheme works for electric and petrol plug-in hybrid cars along with low emission petrol cars too, allowing lower paid staff the opportunity to utilise this benefit.*
Cars are probably the 2nd most expensive purchase an employee will make, after a house. Whilst there are many reasons why an employee would want this benefit, a business will also benefit from it too;
attract and retain staff who can’t rely on public transport
assist towards the employers green agenda with a tangible Scope 3 carbon reduction
if the employer has ‘cash allowance’ fleet users, a TCH Salsa car will help reduce their duty of care obligations
the business will save BIG Class 1 National Insurance on EV & PHEV vehicles
How does the employee benefit?
No costs of ownership or depreciation
Everything is taken care of through TCH Assist, this means road tax, fully comprehensive fixed premium insurance, routine servicing, maintenance, tyres along with breakdown cover and accident management
No credit check and no deposit needed
Cash allowance users can use their allowance in full
Access to corporate discounts and VAT savings**
Just add fuel or charge and go!
TCH Salsa offers a great salary sacrifice scheme, you're not just offering a huge benefit, a win-win situation for both your business and your employees.
Businesses can enjoy significant savings on National Insurance contributions while also boosting employee satisfaction and retention through a highly attractive benefit package.
Employees gain access to a wider range of vehicles with TCH Salsa compared to other salary sacrifice schemes, with the employee benefiting from significant Tax and NI savings. Plus, TCH Salsa takes care of everything, making usership truly hassle-free.
*Depending on the employers business policy
**Depending on the VAT status of the employer