Cyclescheme

Does anyone know what the turn around on Cyclescheme vouchers is? Ordered some the other day and I'm getting impatient...

I think it was about two weeks for me.

Took me about three weeks from sending the thing off to getting the stuff from the doo-dad.

About two weeks for me too!

what are you getting tom?

The delay is entirely dependent on how quickly your company pays Cyclescheme. Go bug the accounting bods to make sure that

1. They have the invoice from Cyclescheme
   
2. It has been paid
   
   

After 1 & 2 then it should take no more than 3 business days to get the voucher. Usually the hold up is in step 2.

What you are getting anyway?

Was just over 2 weeks for me.

another hand eating mtb?

another hand eating mtb?

I'm trying to get the MTB to go vegetarian. I'll start by getting it to eat Object, he must be made entirely of tofu by now.

Seriously though, I'm getting a pub bike (probably a Filmore) and I'm buying some accessories that may end up not fitting it. In which case I guess I'll just have to put them on the Kiyo...

I also want some clothes, tools, etc.

As Aroogah said, it all depends on whether your company account is up to date. My company hadnt paid their invoice for 3 months and although my voucher was ready within a week, they couldn't issue it. Ended Up waiting 5 weeks until the bastards at accounts paid the sucker. Literally pulling my hair out.

how do you go about applying for this?

how do you go about applying for this?

You do it through work. If they don't do it at the moment, you need to get them to set it up. Get your manager to have a chat with head office.

Does anyone know what it costs a company to join cyclescheme?
My company will not join because of the cost "in the present climate".
It might be worth my while paying it if it is relativly small!

The core services are free.

The employer then has to pay the up front cost of buying the bicycle. They then reclaim the VAT and other applicable taxes (usually none) and charge you the cost of the bike over a fixed period through salary sacrifice.

PM your email if you would like the employers brochure.

Are there any charges made by cyclescheme?
I.e for non-core services?

The only true cost of the scheme would be the time spent administering the scheme.

Theoretically no more than is required than an employee pulling a sickie every couple of months. Balanced against the payback, it works out financially better than not doing it, particularly if there is a reasonable uptake among employees. It would take some number crunching, but you could provide a business case.

You could always loan the company the money to buy the bike, repayable to you at the salary sacrifice rate, from which they can float the returned VAT capital into any business area they like. So long as you don't buy the bike on credit, everyone wins.

I think my company are just looking for reasons to say no, personally, anyone have a busines case they have put forward?

Are there any charges made by cyclescheme?
I.e for non-core services?

None of them obligatory.

As far as I can tell, these are for things like assistance with the internal marketing of the scheme (flyer packs, seminar notes etc). The employees brochure gives some potential corporate savings associated with the scheme.

anyone have a busines case they have put forward?

No.

The other option is to talk them into thinking it was there idea in the first place and then congratulating them a lot.

[stupid mode][lazy mode] anyone written a suitable business case that I could tailor? [/lazy mode][/stupid mode]

Where is Oliver when you need him?!

Good point, the LCC do have an employer engagement officer, or at least they did when I applied for the position some years ago.

I think my prblem is that I have to sell this to the head of accounts, who then has to sell it to the board.

Someone speaking to the board might well swing it- and being chickenshit if I actually push this I risk losing my prospects of advancement and/or job.

Where is Oliver when you need him?!

His theses take an hour or two to write, then to condense down to a manageable 3000 words per post.

I put this together for my employer to get them to sign up....it's very rough as it was background for the presentation I did.

Cycle Scheme

Overview

The Cycle Scheme is a way for My Company employees to purchase bicycles for commuting to and from work in a very tax efficient manner. The program is run by Cycle Scheme, an independent company.

How it works

The program works under a purchase and leaseback framework. My Company buys the bikes and any accessories through Cyclescheme and then leases the equipment back to the employees. The employees then pay the company for the use of the bike over the next 12 months; those payments are deducted through salary sacrifice and are taken out pre-tax. At the end of the 12 month period, the employee pays the company a 5% residual value payment and ownership is transferred to the employee.

*How employees save money *

Through the scheme, employees leverage My Company’s tax structure to pay for the value of the bike and accessories ex VAT. This translates to an immediate 17.5% savings over RRP. Additionally, as the salary sacrifice takes place before taxes, there are additional savings to the employee from slightly lower income tax and National Insurance contributions.

Total savings for the employees will depend on the total value of the bike and accessories an employee’s overall earnings; however savings can approach 50% of RRP.

Cost to My Company

There are no costs to My Company for joining or participating in the scheme.

Savings to My Company

There will be some minor savings to My Company due to the participating employees’ slightly lower NI contributions.

Financial impact to My Company

The only financial impact to My Company will be in terms of cash flow. The bikes must be paid for by My Company before the employees can use them.

HR Overhead

There will be minimal impact to the HR department to administer the scheme. All applications and approvals for bikes will be handled on-line. The payroll deductions are similar to the ones for Childcare Vouchers so the process will be familiar to HR.

Benefits of the scheme to My Company

• Would encourage non-cycling employees to join
  
• Happier employees
  
• Healthier employees
  
• Low financial impact
  
• Negligible HR impact