Salary sacrifice leasing
Discussion
SWoll said:
Harry Flashman said:
jgrewal said:
Tempted by this route to get a fully loaded Ioniq 5 through Tusker on NHS for £565 net on my wife's salary sacrifice scheme. Few things put me off though - impact on her pension for the reduced income (she is 40% tax payer) and the fact we cannot keep our no claims from her current car on the insurance as I assume insurance is centrally managed at fleet level.
Loads cheaper than a private lease (£5k deposit, £490 per month, insurance + servicing, tyres on top). While of course this would be all in! Anyone had a bad experience with this?
Is that really "loads cheaper" though? You are paying an extra £75 a month for the sacrifice scheme, or £900 a year. Depending on your actual mileage and insurance quote, it may not be very much cheaper at all. Loads cheaper than a private lease (£5k deposit, £490 per month, insurance + servicing, tyres on top). While of course this would be all in! Anyone had a bad experience with this?
Edited by jgrewal on Sunday 9th October 22:25
Our Leaf does 3000 miles a year, and insurance is £350 a year. Servicing at just over £100 a year when evened out over the three year term. Doubt we will need new tyres at our mileage.
Work on the use case, not just assumptions!
Harry Flashman said:
AH!! Good point - I did. OK, that makes a lot more sense now.
You do get through tyres quicker on EVs due to their weight. So I'd factor that in.I also like the insurance perks - on my scheme, anyone that I give permission to (that has a valid UK licence) can drive the car at no additional cost. So not just spouse, but friends or anyone from work.
silent ninja said:
You do get through tyres quicker on EVs due to their weight. So I'd factor that in.
I also like the insurance perks - on my scheme, anyone that I give permission to (that has a valid UK licence) can drive the car at no additional cost. So not just spouse, but friends or anyone from work.
I'm not noticing my EV tyres wearing any faster than previous cars - is that an exception to the norm? Or maybe my ICE cars have all been puddings as well I also like the insurance perks - on my scheme, anyone that I give permission to (that has a valid UK licence) can drive the car at no additional cost. So not just spouse, but friends or anyone from work.
silent ninja said:
You do get through tyres quicker on EVs due to their weight. So I'd factor that in.
On our third EV now having covered 50k miles in them and can't say I've noticed that. Our Model 3 covered 20k in 2 years and all 4 tyres stll had life in them, not bad for a 1900KG car with almost 500bhp that got driven enthusiastically often IMHO.theboss said:
I'm not noticing my EV tyres wearing any faster than previous cars - is that an exception to the norm? Or maybe my ICE cars have all been puddings as well
Various fleet reports and such suggest 20% faster to get through tyres. Weight and torque are to blame. https://arstechnica.com/cars/2021/12/why-electric-...
silent ninja said:
theboss said:
I'm not noticing my EV tyres wearing any faster than previous cars - is that an exception to the norm? Or maybe my ICE cars have all been puddings as well
Various fleet reports and such suggest 20% faster to get through tyres. Weight and torque are to blame. https://arstechnica.com/cars/2021/12/why-electric-...
Pirelli said:
While Pirelli has been able to make tires that deliver on those attributes, the process involves compromising on other characteristics. "The thing that we've seen the most is the wear. If you've owned an EV for a couple of years, you've certainly changed your tires twice," Coke said.
What an absurd comment, especially with no mention of mileage etc. As above, 2 years and 20k miles in a Model 3 P and the original Michelin Pilot Sport 4S tyres were still legal all round when it went back.Perhaps Pirelli's EV tyres are just a bit crap? Not a brand I've ever bothered with personally as rarely heard good things.
Edited by SWoll on Thursday 13th October 08:19
Harry Flashman said:
The insurance thing (anyone can drive) could actually be very valuable for us.
What happens if you leave your job. Hand the car back?
Depends on your provider, employer, and circumstances of leaving. What happens if you leave your job. Hand the car back?
Likely to be an early-termination fee from provider. Typically, if resignation/termination through disciplinary: employee pays; if redundancy: employer pays.
McAndy said:
jgrewal said:
Just placed the order for the Ioniq 5 with the 20 inch wheels and tyres replacement for the duration of the lease is included thankfully looking at the above!
Is that part of a service plan?McAndy said:
Harry Flashman said:
The insurance thing (anyone can drive) could actually be very valuable for us.
What happens if you leave your job. Hand the car back?
Depends on your provider, employer, and circumstances of leaving. What happens if you leave your job. Hand the car back?
Likely to be an early-termination fee from provider. Typically, if resignation/termination through disciplinary: employee pays; if redundancy: employer pays.
Read that fine print as can vary wildly IME.
On the lease agreement it says if you leave (redundancy or resign) you can rerturn the vehicle. Details here:
We work with employers to offer a range of lifestyle protections should an employees’ circumstances change such as maternity or paternity leave, redundancy, resignation and long-term sickness so that there are no early termination fees due.
We work with employers to offer a range of lifestyle protections should an employees’ circumstances change such as maternity or paternity leave, redundancy, resignation and long-term sickness so that there are no early termination fees due.
jgrewal said:
Next change due in April 2025 may come sooner with Liz and Kwasi running the show!
Ah that's a bit poo. I wouldn't want it jacked up to 5-10% which would make a material impact on the overall monthlies.It's really hard to see in the crystal ball, but I suspect EV take up will still be lowish in 2 years time when they'll be having those discussions and doing the modelling. Incentives will still be needed. We still haven't figured out how to tap into the masses - which are those people who don't have access to off street parking. EVs don't make sense for them and that isn't changing any time soon.
If we were genuinely pro environment, the government would spend more on encouraging people to retain old cars and endure them as long as possible. Mining the earth to build brand new shiny things is all about the economy and profits, not the environment.
Could the government in fact choose to tax old cars less? Less tax on fuel, road tax and insurance would probably be less (cheaper to repair), thereby encouraging ownership? Why not.
Edited by silent ninja on Thursday 13th October 16:53
WhiskyDisco said:
Hi folks. I'm trying to get my head around this. Assuming that I earn a decent whack and I have been putting money away for pension etc, but I am still lucky enough to earn £115k a year.
If I were to sacrifice £1,290 a month (£15,380 a year) for the car below I would effectively be able to drive around in a car that I choose to "swap" a net £516 a month for. £15,380 x 0.40 = a take home of £6,192 (or £516 a month).
So the question isn't really would you sacrifice £15k a year it's more like would you sacrifice £6k a year take home pay for a car like this.
what provider is this through please.If I were to sacrifice £1,290 a month (£15,380 a year) for the car below I would effectively be able to drive around in a car that I choose to "swap" a net £516 a month for. £15,380 x 0.40 = a take home of £6,192 (or £516 a month).
So the question isn't really would you sacrifice £15k a year it's more like would you sacrifice £6k a year take home pay for a car like this.
We have Octopus scheme at work and the same car is closer to 1500 gross per month....
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