Your questions answered!
Over the last two years we've been asked a question or two - mostly about fair market value! Below is a summary of the main areas of concern. We've lumped multiple questions on the same topic together to make it easier for you to learn about certain areas.
If you've got a query about anything that's not covered or doesn't appear in a search then please contact us on otherqueries@cyclescheme.co.uk. We may well add your query to our standard FAQ list so thanks for your time in seeking our opinion.
All the FAQs are listed below:
What support will Cyclescheme give when the scheme is running?
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What is a salary sacrifice arrangement and how are savings made?
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The actual amount of discount appears to be a bit vague - what are the savings?
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What happens if the bike gets stolen before it's paid for?
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What happens at the end of the loan period?
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What's the process of getting a tax free bike for work through Cyclescheme?
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Are there eligibility criteria for employees?
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How often does the bike have to be used for work?
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Does there need to be a record kept of work mileage?
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Can the bike be used for local trips during the day?
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Whose responsibility is it to insure the bike?
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What's the best way to insure the bike?
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Can a mileage allowance be claimed for business trips on the bike?
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What happens when employees want bikes costing over �1000?
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When is the Fair Market Value payment payable?
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Can bikes be procured via a mail order specialist?
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Who is responsible for maintaining the bike?
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What happens if an employee leaves the job before they've finished paying for the bike?
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How will salary sacrifice affect out of hours payments paid on top of salary?
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What happens when there is a pay award?
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How will salary sacrifice affect pensions?
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How will salary sacrifice affect approved unpaid leave?
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How will salary sacrifice affect maternity, paternity, parental or sickness leave?
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What happens if an employee is made redundant or their contract is terminated?
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How will salary sacrifice affect student loan payments?
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How will salary sacrifice affect Childcare Tax Credit?
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How will salary sacrifice affect Working Tax Credit?
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Will the reduced gross salary affect credit status, eg when applying for a mortgage?
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Do we need to inform the HMRC of our bike to work scheme?
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What happens if someone changes their mind after joining the scheme?
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How much admin' is involved in running the scheme?
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Are electric-assist bikes allowed in the scheme?
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Will the partner shop be able to order my bike for me?
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If an employer has an existing consumer credit licence from running the Home Computer Initiative, will this cover the bike scheme?
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I work for the NHS/Charity/University. Can my employer claim back VAT on bike package purchases?
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Can I buy a custom bike through the scheme?
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Can I obtain a second hand bike through Cyclescheme?
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The savings on my hire agreement only show a VAT reduction - is this right?
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The monthly payback shows no savings - just the total voucher price divided by 12. Is this right?
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Do I lose some of my savings if my employer finances he bikes?
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What happens if the bike gets damaged beyond repair during the hire hire period?
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I've just bought anew bike,can I use the scheme retrospectively and pay for the bike via a salary sacrifice?
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