80% of company car drivers want to share salary sacrifice benefits
4 in 5 company car drivers would like to see the advantages of salary sacrifice opened up to their family and friends.
Lex Autolease’s survey of 180 employees also revealed that 26% wouldn’t be bothered if it meant they had to finance the car through their own salary.
Andrew Hogsden, Senior Manager of Lex Autolease’s strategic fleet consultancy, said: “There is a tremendous amount of unexpressed demand for salary sacrifice from employees and even their extended family network.
“This type of solution can create a higher rate of uptake for firms making it even more financially appealing.
“Moreover, salary sacrifice drivers should generate incremental National Insurance savings for the employer too, which will last the entire lifetime of the lease.”
As the UK’s largest vehicle leasing company, Lex Autolease had some words of advice for introducing salary sacrifice:
- Clearly explain the financial responsibilities that employees are taking on when selecting salary sacrifice for themselves or their family
- Allow several months lead time to set up the systems, processes and ensure HMRC compliance
- Clearly and consistently market the product internally (roadshows, email, home direct mail, demo days etc)
- Consider a CO2 cap to encourage BIK-efficient employee choices
- Build a contingency fund for early terminations by adding a small increment to the salary sacrificed
- Review the policy regularly to benefit from negotiable manufacturer discounts and changes to legislation
- Don’t use salary sacrifice as a substitute for a company car scheme
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