What if we told you that it was cheaper to get a Tesla on Salary Sacrifice than to lease a Ford Focus? That’s right! With a Tesla Salary Sacrifice scheme, you can get a brand-new Tesla at a fraction of the cost of a traditional lease. In this blog, we’ll be exploring how you can access these amazing electric cars, whilst also saving on income tax and national insurance. It’s a win-win!
What Is A Salary Sacrifice Car Scheme?
Here at Fleet Evolution, we’re the experts in salary sacrifice schemes. A salary sacrifice car scheme is a contractual agreement where you agree with your employer to give up a portion of your gross pay before tax, and national insurance contributions are taken off, in exchange for the benefits of having a brand new Tesla on a full maintenance package. This means that you will pay less income tax and national insurance than usual, plus the cost of your Tesla will be much cheaper than if you leased it!
Salary Sacrifice lowers the cost of any car. You save most of the VAT, 32% – 42% tax savings, and National Insurance savings on the car payments, with other savings too.
Why Opt For a Tesla?
Of course, you may be wondering why you should opt for a Tesla instead of any other car. The answer is simple – Teslas are some of the most technologically advanced cars on the market today.
They have a range of features that make them stand out from the competition, such as Autopilot, which allows your car to drive itself in certain conditions, as well as a range of other advanced safety features. Teslas are also incredibly efficient, with some models capable of travelling 200+ miles on a single charge. Finally, there’s the fact that Teslas are 100% electric – meaning you won’t have to worry about expensive petrol or diesel bills!
The flexibility of the Tesla Model 3 has led it to be our most popular car over the last few years, and its not hard to see why. Electric cars don’t have to be expensive anymore. If you’d like to learn more about opting in for an electric car scheme, please get in touch, and we’d be more than happy to help answer any questions you may have!
What’s the Cost of a Tesla Model 3 on the Scheme?
The Tesla Model 3 on our scheme prices from £400 a month, with no deposit. Charging it will cost around £20 if you’re doing the typical 800 miles a month with a mixture of home, work, and public charging. Petrol cars traditionally cost £300 a month without even accounting for the vast fuel costs! In comparison, an electric car is a much cheaper option in the long run.
What Are The Benefits of A Salary Sacrifice Scheme For an Employee?
Let’s take a look at the various benefits of a salary sacrifice scheme for employees:
Less Income Tax and National Insurance Contributions
Since you are giving up a portion of your gross pay for the car, this means that your taxable income is reduced. This means that when you pay tax, your contributions will be lowered.
Lower Costs on Your Car:
By using a salary sacrifice scheme, you could end up paying less for your Tesla than if you were to lease it through a finance company, a more traditional route. This could mean you save hundreds of pounds over the course of your lease.
Less Depreciation:
As Teslas are such advanced electric cars, their value depreciates much less than traditional petrol or diesel cars. This means that you could end up with more equity in your Tesla at the end of your lease period, which can be used towards purchasing your next car.
What Are The Benefits of A Salary Sacrifice Scheme For an Employer?
If you’re an employer, salary sacrifice schemes can be attractive for many employees. Let’s take a look at just a few of the benefits of investing in a salary sacrifice scheme if you’re an employer:
Attractive To Employees:
One of the primary benefits of investing in a salary sacrifice scheme is that it can be an attractive option to potential and existing employees. Offering Teslas as part of a salary sacrifice scheme could help you stand out from other employers, making it easier to attract top talent.
Increased Morale:
By investing in a salary sacrifice scheme, you could also increase your employee’s morale. Allowing them to drive a brand new Tesla car can be an exciting prospect and makes them feel valued by their employer.
Lower Tax Bills:
From an employer perspective, salary sacrifice schemes can also result in lower tax bills. Since the monthly payments are classed as a kind benefit, employers can save money on their Corporation Tax bill.
So there you have it – some of the many benefits of investing in a salary sacrifice scheme for Teslas. If you’re an employer looking to give your employees access to the most advanced cars on the market, then why not consider offering them as part of a salary sacrifice scheme? We’d be more than happy to answer any questions you may have. Get in touch today and let’s get started!
Tesla Salary Sacrifice Scheme FAQs:
We’ve done our best to try and answer some of the most frequently asked questions about tesla salary sacrifice schemes below:
Do You Pay Company Car Tax On Salary Sacrifice?
A salary sacrifice car is still eligible for a company car tax. However, you’ll pay 2% compared to the 22% you’re required to pay on petrol cars.
How Does Tesla Salary Sacrifice Work?
Tesla salary sacrifice works in the same way as any other salary sacrifice scheme. You agree to forgo a portion of your gross pay every month, which goes towards paying for your Tesla. The amount once your payments have been deducted is your new gross salary sacrifice net pay. This means you can drive a brand-new electric car without having to take out a loan or lease from a finance company.
Is Salary Sacrifice Worth It?
Yes, it can be worth it for both employers and employees. Employees benefit from having access to a brand-new Tesla car at a fraction of the cost, while employers save money on their Corporation Tax bill. It’s definitely worth considering if you’re looking for an affordable way to get behind the wheel of a Tesla electric car! Find out more on salary sacrifice.
How Much Do You Need To Earn A Year To Afford A Tesla?
The amount you need to earn a year to afford a Tesla depends on the model, any additional features and, of course, your salary. However, if you opt for a salary sacrifice scheme, then you can drastically reduce the amount you need to pay each month, making it much easier for most people to afford a Tesla.
Tags : Employee Benefits, Employee salary sacrifice, Fleet Evolution, Ford focus, NI savings, Salary Sacrifice, salary sacrifice scheme, savings, Scheme prices, Tax savings, Tesla, Tesla model 3, VAT savings