Company Car Lease Scheme | Fleet Evolution

A company car lease scheme is a way for businesses to provide employees with the use of a car without having to buy or finance the vehicle themselves. Instead, the business leases the car from a leasing company and pays a monthly rental fee. The employee is then able to use the car for business purposes.

There are many benefits to using a company car lease scheme, including the following:

1. Cost Savings

By leasing a car instead of buying one outright, businesses can save money on upfront costs. There is no need to worry about depreciation because the vehicle returns to the leasing company at the end of the contract.

2. Flexibility

Leasing contracts can be tailored to suit the needs of the business, with options such as short-term or long-term leases available.

3. Maintenance

Most leasing companies will include servicing and maintenance in the monthly rental fee, meaning businesses don’t have to worry about unexpected repair bills.

If you’re considering introducing a company car lease scheme, get in touch with a reputable leasing company today to find out more.

As you can see, car leasing has many benefits, and a new car helps you have a pleasant commute to work.

There are a few things to consider before setting up a company car lease scheme, such as the type of vehicle you need and the length of the contract. Once you’ve decided on these factors, you’ll need to find a reputable leasing company to work with.

The leasing company provides you with a quote for the monthly rental fee. The fee is based on the make and model of the car, as well as the length of the contract. You’ll then need to sign a contract with the leasing company, which will outline the terms and conditions of the lease.

Once the contract is in place, you’ll be able to choose the car you want from the leasing company’s fleet. The car will then be delivered to your business, and you’ll be able to start using it for business purposes.
At the end of the lease, you’ll need to return the car to the leasing company. You can then choose to renew the lease or get a new one altogether.

It is important to remember that most lease companies are not a lender, it is a different service than a loan.

Related Article: How Does Business Car Leasing Work?

A salary sacrifice car scheme is a tax-efficient way for employees to lease a car from their employer. The employee agrees to give up part of their salary in exchange for a brand new, fully maintaiend (ideally electric) vehicle. The amount of salary sacrificed is deducted from their pay before income tax is calculated. Hence, you would technically have a lower gross salary.

This means that the employee will pay less income tax, as the amount of salary sacrificed is not subject to income tax. The scheme is also beneficial for employers, as they can save on National Insurance contributions.

Most companies already offer a salary sacrifice scheme for pension plans as it saves money on tax and national insurance contributions for the employees. You have to pay income tax, but schemes such as this allow you to make great savings whilst having a good company car allowance.

There are many benefits to using a salary sacrifice scheme, including the following:

1. Tax Savings

Employees can save on income tax and National Insurance contributions by salary sacrificing part of their pay.

2. Cost Savings

The cost of the car can be spread over the term of the lease, making it more affordable for employees.

3. Convenience

Employees can choose the car they want and have it delivered to their workplace, making it convenient and hassle-free.

4. Flexibility

Salary sacrifice schemes can be tailored to suit the needs of the business and the employee, with options such as short-term or long-term leases available.

A lot of employee benefits now offer electric cars schemes as well. These have a lot of environmental and financial benefits. They’re cheaper to run and maintain, and they don’t produce any emissions. This helps provide the best company car tax allowance options as well.