Salary Sacrifice Examples

James currently receives a £750 a month car allowance having opted out of the company car scheme a few years ago when company car tax (more commonly known as Benefit-in-Kind, or BiK tax) rates increased , but he needs a car to meet clients on a regular basis. He’s interested in joining the salary sacrifice scheme and taking an EV now the ranges are high enough to meet his day-to-day needs and with the car tax rates on EVs remaining so low.

He currently drives a petrol estate which costs him roughly £900 per month (including maintenance and vehicle insurance)on a personal contract hire (PCH) deal arranged through a local retailer.

As a higher rate taxpayer living in England, James could choose a Hyundai IONIQ 9, which has a fantastic 372 mile range²  and ask his company to salary sacrifice the £1,020 cost from his gross salary. But once his income tax and NI savings have been taken into account, his brand new EV would cost him just £667 net, saving him over £233 per month compared to the ageing petrol car he currently drives.

Not only would James save money on the monthly cost of the car, he would save on running costs as motor insurance would be included in his salary sacrifice, and charging his new EV using home electricity tariffs would be considerably cheaper than the cost of petrol if he can install a home charger; the Hyundai IONIQ 9 would cost around £29 to fully charge on the average kWh cost in the UK.

Want to find out more? Contact us below and we'll get back to you to discuss your options.

Many company car drivers coming towards the end of their current vehicle cycle will have a hybrid with higher BiK tax and significant fuel costs, but they could switch to an EV to save money.

Take Alex, for example: her current hybrid company car costs around £490 a month taking into account the cash allowance she foregoes for her company car and BiK tax and fuel are factored in, it’s reliable but far from cost-efficient.

Striving to be an inclusive place to work, her company is transferring all current company car drivers to its new all-employee salary sacrifice scheme.

Compact, stylish and with a range of up to 220 miles³, the Hyundai INSTER is the perfect EV for Alex. By choosing the INSTER through the salary sacrifice scheme, Alex’s gross sacrifice would be just £450 per month. And as an intermediate rate taxpayer living in Scotland, this works out at just £331 net per month, thanks to the income tax and NI savings. That’s a £158 monthly saving compared to the cost of her hybrid company car.

With salary sacrifice, vehicle insurance is included as well as servicing and breakdown cover, giving Alex peace of mind, and running costs are dramatically lower: a full charge of the Hyundai INSTER at home costs just £11 on average UK electricity tariffs – far less than a tank of fuel. And drivers reduce their carbon footprint along with the company’s.

Want to find out more? Contact us below and we'll get back to you to discuss your options.

Salary sacrifice schemes are usually open to all employees, giving many their first opportunity to drive a brand new car. For this reason, many thousands of employees around the country have grabbed the opportunity to join their employer’s salary sacrifice scheme, with many choosing Hyundai as their first new car.

A fully electric Hyundai KONA is the ideal car for someone who’s looking for practicality with a touch of style. The KONA EV N Line offers this in abundance, with sportier trim, and with the Lux Pack drivers can experience the full joy of an EV whilst retaining all the practicality of the Hyundai KONA; and with an impressive 282 mile range⁴ the KONA EV N Line will easily deal with everyday journeys.

Amber, a higher rate taxpayer living in Wales, could get hold of a fully maintained and insured a KONA EV N Line for as little as £342 per month, saving £184 in the process. No credit checks, no deposit, just a fantastic EV at her doorstep in a matter of weeks.

Want to find out more? Contact us below and we'll get back to you to discuss your options.

The Hyundai IONIQ 6 is the perfect car for anyone looking to switch to electric with the prowess of driving a brand new car. The winner of World Car of the Year 2023 offers space, style, and sophisticated motoring, which coupled with a range of over 335 miles⁵ meets all the needs of the modern day driver.

Getting his hands on one could be the best decision Campbell makes this year, topped only by choosing the elegant IONIQ 6 on salary sacrifice. He could save hundreds of pounds per month through salary sacrifice on this car alone, not to mention the savings available against other petrol, diesel, or hybrid cars in the same class.

Campbell was a company car driver who opted out of the car scheme years ago due to high BiK tax rates and a lack of choice, but now could be the perfect time for him to reverse that decision and to re-join the scheme through salary sacrifice.

As an advanced rate taxpayer living in Scotland, Campbell could take advantage of income tax and NI savings totalling £264 per month simply by rejoining his company’s salary sacrifice scheme.

Want to find out more? Contact us below and we'll get back to you to discuss your options.