The Car Benefit scheme is fast becoming one of the most popular employee benefit schemes available today.
A salary sacrifice scheme, the Car Benefit scheme allows employees to drive a brand-new car, including electric vehicles and ULEVs, and pay through their salary making great savings in the process.
The scheme provides one of the cheapest ways to drive not just a brand-new car, but to drive electric too.
We go into more detail about how the Car Benefit scheme works on our website.
The commuting dilemma for employees
With rising inflation including rising costs of energy, fuel and food, employees face a dilemma when it comes to the commute.
Add in the longer nights of winter and the harsher weather which threaten to make walking or cycling to work less appealing, there’s plenty to consider for employees and employers.
Will employees prefer to commute in to work to save on energy bills at home? Or will they want to avoid the cost of the commute? How does the social element factor in, especially over the winter? Ultimately, will employees want to work more or less in the office due to all these factors?
For businesses, the big question is how can we make the commute easier for employees?
The answer, we believe, is to provide more options for employees when it comes to the commute.
This may even involve introducing the Bike to Work scheme to make e-bikes cheaper and more readily available to employees to make the commute by bike much easier.
There are also Commuting Loans which can help employees spread the cost of an annual commuting season ticket to make public transport more affordable and more appealing.
Thankfully, there are lots of options when it comes to supporting employees with their commute with employee benefits.
Here, we’ll focus on the advantages of the Car Benefit scheme for both employers and employees.
1. An added commuting option
As we’ve mentioned, a great way to make the commute easier for employees is to provide more options.
The Car Benefit scheme is a versatile scheme that provides all the advantages mentioned in this article while being unique to businesses as it’s a salary sacrifice employee benefit scheme.
Only businesses can offer this kind of benefit to their employees and provide this option when it comes to deciding how to commute.
2. Access to brand-new, more reliable cars
The Car Benefit scheme makes brand-new, more reliable cars much more accessible for employees.
Rather than looking on the used car market and sourcing expensive finance deals, employees can take advantage of the new cars available through the scheme with less stress.
With a newer car, employees can worry less about reliability issues and can even tailor the spec of their car to suit them, their family and their budget.
3. Tax and NI savings
Then there’s the savings employees can make through the scheme. As mentioned, the Car Benefit scheme is a scheme unique to employers that provides unique Tax and NI savings, with even greater savings on ULEVs and electric vehicles.
Employers also make savings too, making the scheme easier to implement and run.
With these savings, the Car Benefit scheme is low cost and cost-effective for employers.
4. Drive greener for less
One of the most popular advantages to the scheme is the savings that can be made on electric cars.
Often, employers run the scheme as a Green Car Scheme, encouraging employees to take advantage of these savings and get their hands on a brand-new electric car.
There are also government initiatives that can be taken advantage of to install electric charging points, while your Car Benefit scheme provider may also provide added benefits to help your business encourage and facilitate electric motoring for your staff.
5. Everything’s included!
One of the biggest advantages of the Car Benefit scheme we provide our clients is that it’s “just add fuel” (or electric!).
Employees get everything including in the scheme from roadside assistance, insurance, maintenance, repairs, MOT’s and servicing to make the scheme as stress-free as possible.
Running a car can be stressful with all this to consider. Our Car Benefit scheme aims to make motoring as inexpensive and hassle-free as possible for employees.
Beyond the current challenges employees face with the commute, and outside the commute altogether, employees can benefit greatly from the Car Benefit scheme.
It’s easy to see why the scheme is becoming more popular for both businesses and employees.
When it comes to the commute, the Car Benefit scheme is a vital addition to any employee benefits package, and along with other schemes like the Bike to Work scheme and Commuting Loans, employee benefits can make a hugely important difference in making the commute easier and cheaper for employees.