Browse most popular articles in How Does It Work?
- What happens at the end of the Cycle2Work hire period? When your hire period is coming to an end, the Cycle2Work team will contact your employees via email and present the three post-hire period options for them to choose from. Check out our Cycle2Work page which breaks down the three options we present. Cycle2Work
- How quickly can employees collect their bike with Cycle2Work? As soon as you approve their Cycle2Work application, your employees will be immediately sent their Letter of Collection (LoC) via email. Providing their products are in stock, your employee can simply present their LoC, a form of ID, and collect their items! If their products are not in stock, they can…
- What is the salary sacrifice for Cycle2Work? Salary sacrifice is where an employee agrees to give up part of their pre-tax salary in exchange for a benefit from their employer, in this case, the hire of a cycle and/or cycle accessories through the Cycle2Work scheme. Since a portion of the salary is foregone, the employee pays less tax and National…
- What happens if an employee leaves or is made redundant during the Cycle2Work scheme? If an employee were to leave your company or be made redundant during their Cycle2Work salary sacrifice period, the remaining balance would simply be deducted from their last payslip as a net deduction. For more information check out our Cycle2Work page. Cycle2Work
- What is Cycle2Work? Cycle2Work is a government initiative that was introduced in 2001 to encourage more people to commute to and from work by bike, enabling people to make healthier choices and reducing the UK’s carbon footprint. The initiative also allows employees to make Tax and National Insurance savings on the cost…
- My Letter of Collection (LOC) is not working online If your Letter of Collection (LOC) is not working online, then please check out our Cycle2Work page which will provide guidance on how to resolve this issue. Cycle2Work
- How much does it cost to set up a Cycle2Work scheme? Nothing! We do not charge a fee or any administration costs to set up and run your Cycle2Work scheme. For more information check out our Cycle2Work page. Cycle2Work
- Will joining Cycle2Work affect employees' pensions or other benefits? In some cases yes, although any effect is likely to be small. Your employees need to be made aware of the implications of paying less tax and NI contributions and accepting a reduced salary. They should get professional advice if they have any concerns or need more information. Cycle2Work
- Who do I need to involve from my organisation to launch a Cycle2Work scheme? Anyone in your organisation can promote and manage the Cycle2Work scheme! Typically, someone from payroll will approve the application and implement the salary deductions. For more information check out our Cycle2Work page. Cycle2Work
- How does the Cycle2Work scheme work for employees on long-term sickness or maternity leave? If employees are on maternity, paternity, adoption leave or long-term sickness, and still receiving pay, they will still have Cycle2Work salary deductions. If they are not receiving pay, payments will need to be frozen until they return to work. Cycle2Work