Cycle2Work and Halfords

[keithwaldron]

Recently implemented the Evans Ride2Work scheme at work. On their scheme you can top up the value of the voucher that you have with your own money. Should imagine that other schemes will allow you to do the same.

I found the Evans scheme worked quite well. Got a quotation from Evans for everything I wanted, obtained the voucher through work, took it back to Evans and got all my stuff. The advantage of getting the quote is that they knew what stuff I wanted, and I already had the bike reserved with a refundable deposit. The whole process was completed within a couple of weeks, from quotation to collecting the gear.

 

[AcademicX]

Keith,

The Halfords scheme will not allow you to top-up the amount from your own money (nor can you go above £1000).

I wouldn't claim to fully understand the various cycle to work schemes but the bike is essentially bought by your employer and it is their property until such time as you buy it from them (for a nominal sum at the end of the agreement). I'd imagine that there are possible (tax ?) implications if you top-up the amount from your own money.......that isn't to say that it can't be done, only that I'd imagine its not meant to be done (and in the case of the Halfords scheme it is expressly forbidden).

 

[alfablue]

Keith,

The Halfords scheme will not allow you to top-up the amount from your own money (nor can you go above £1000).

I wouldn't claim to fully understand the various cycle to work schemes but the bike is essentially bought by your employer and it is their property until such time as you buy it from them (for a nominal sum at the end of the agreement). I'd imagine that there are possible (tax ?) implications if you top-up the amount from your own money.......that isn't to say that it can't be done, only that I'd imagine its not meant to be done (and in the case of the Halfords scheme it is expressly forbidden).

I would echo the above, and add that with all schemes at present, "topping up" is prohibited because there is a complication with the ownership of the bike. It is wholly owned by the employer, and loaned to the employee. If an employee has a part share (by virtue of a top up) then there are potential problems with the true nature of the loan (which must not be any form of hire purchase in order to qualify for the tax exemption) and the disposal of the bike should employer/employee part company before the loan period is finished. Also there is no obligation to sell the bike to the employee at the end of the loan period (indeed it is explicitly against the rules to make a prior agreement to do so) but should the company go belly-up, the bike would be an asset of the company - how do you retrieve your 30% of it?

 

[keithwaldron]

Perhaps somebody needs to tell Evans this then - see quote from their FAQ's:

"Can I buy a more expensive bike than my voucher amount?Yes. You need to use your own card or cash to make up the difference when you pick up the bike. The extra amount will not be part of your salary sacrifice."

I'm not saying that what anybody else is saying is incorrect - I'm just quoting Evans!

 

[MrGrumpy]

Well my voucher came through and also it includes upto £75 of free accessories as well !! So got £575 to spend, however since i`m stuck in the current impasse with Royal Mail, I might just hang on a bit before spending it I`m hopefull things will be sorted over the next 2 weeks. If not then a bike will be the least of my worries