There are naturally lots of benefits from having your employees cycle to work. People who are cycling on a daily basis tend to be healthier, meaning you have less days lost to sickness each year. They also tend to have more vitality and staying power in the workplace, meaning higher productivity.
The psychological stress of commuting to work tends to be lower for those that cycle. People turn up to work less stressed, and in a more balanced frame of mind. Studies have found that a 30 minutes cycle can improve performance on reasoning, memory and planning tasks.
On top of all this employees that cycle to work tend to be late for work less, and they take pressure off available parking spaces. The benefits are endless …
Under the government’s Green Transport Plan, businesses can receive significant tax breaks by purchasing bicycles for their employees.
We all need to do everything we can to stack the deck in our favour when we are starting up a business, and this scheme could well be a great way for you to incentivise your employees. This little-known tax clause allows firms to shift gears into greener business practices and bring incentives to their bottom – and waist – line, tax experts advise.
Employees may buy bikes from their employer with no tax added if they pay full market value for the bicycle. For the employer, the purchase price of the bike and all necessary equipment, such as a safety helmet, lights and a lock, are tax-deductible expenditures.
Employers may also claim tax breaks for any mileage rate they pay to staff. Up to 20p per mile can be paid to employees who cycle for a work-related purpose free of tax or National Insurance contributions.
“This scheme is an attractive proposal for small businesses keen to be at the forefront of new initiatives for their staff and to implement greener business practices,” said Karl Sandall, chief executive of tax specialists TaxAssist Direct and business advisor to the Bank of England’s Monetary Policy Committee (MPC).
Found on the web – and worth sharing …