#A happy employee makes for a happy employer
You can see a bicycle plan as an incentive scheme for cycling to work. Employers who offer this to their employees often do so based on their vitality policy or with a sustainable motive. Parking problems can also be a reason. The bottom line is that employees can buy a new bicycle through their employer with a tax advantage. In the case of an electric bicycle, this quickly saves some money.
#What does the employer need to know about the Bicycle Plan. A Cycling Plan using the WKR.
You can easily arrange a bicycle plan through Lindtbergh's partner NFP group via FiscFree®. Most employers have a bicycle plan to encourage employees to cycle to work. A great way to put an HR theme such as vitality and sustainable employability into practice. But also as an implementation of a sustainability policy or to show that you are an attractive employer. In these times of tight labor markets, this is something we are seeing more and more of.
At FiscFree®, a bicycle plan is part of a broader package of additional fringe benefits with tax benefits. In addition to the bicycle plan, you as an employer can also offer a fitness subscription, computer/tablets, mobile phone, weekend away or other nice extras. The fiscal work costs scheme [WKR] is the basis for FiscFree®. This scheme offers benefits to both the employer and employee when it comes to - in this case - the bicycle plan. We are happy to explain how.
#Benefits Bicycle plan using WKR.
Beneficial for you as an employer.
With FiscFree®, the purchase of the bicycle falls within the free space of the WKR. For the employer, this is an advantageous option of offering a bicycle. The costs are settled with the employee's gross salary components. This way you save an average of about 18% on your social security contributions. Employees can extend the purchase of the bicycle with bicycle insurance and/or National Bicycle Voucher. There are no additional rules from the Tax Authorities. For example, an employee is no longer required to cycle at least half of his or her commute to and from work. The rules are now entirely managed by the employer himself.
Beneficial for you as an employee.
An employee has an average of 40% tax benefit on a new (electric) bicycle through the FiscFree® bicycle plan. He or she pays for this with the gross salary. Employees currently see the bicycle as the most valued additional fringe benefit. This is evident from recent figures from FiscFree®. More than 60% of the free space was devoted to cycling in the 'corona year' 2021.
#What does the employer need to know about the business lease bicycle.
As an employer, it is also possible to offer a lease bicycle scheme via NFP bicycle lease with flexible contracts, a professional helpdesk, simple online processing and to choose from one of Lindtbergh's quality electric bicycles. Whether it is a regular bicycle, an e-bike or speed pedelec. The principle works just like with a lease car. For employees, a clear addition of 7% of the purchase price of the bicycle applies.
Contribution cost neutral
To make it attractive for the employer, it is important that the scheme is as cost-neutral as possible. By using the Bicycle Plan, the employee has a tax benefit of at least 25% and it costs the employer nothing. The employer can choose to reinvest the savings from social security contributions, which amounts to an average of €20 per month per employee.
Gross-Net
The bicycle plan offers tax benefits because the purchase price or leasing costs of the bicycle are deducted from the employee's gross salary. This is also called 'gross-net'. Because the employee pays less tax on the gross salary, the employee has more net money left over.
Outside the WKR
The lease bicycle falls outside the work costs scheme (WKR), because there is no direct transfer of ownership. The bicycle is made available, instead of the bicycle being provided to the employee. The employer's contribution also falls outside the WKR.
Contribution cost neutral
Financially attractive. Leasing a bicycle for business is 25% to 80% cheaper for your employees than buying it privately. You save up to 20% on social security contributions. You can reinvest the same amount in the monthly lease costs.
Private use
Since 2020, it has been easier to ride a company bicycle. Since then, an additional tax of 7% has applied to bicycles made available. The additional tax for private use of bicycles made available will again be 7% in 2024.
Travel allowance
The tax-free kilometer allowance can be paid in combination with the lease bicycle: the employee is not entitled to the tax-free kilometer allowance for the commuting kilometers traveled with the lease bicycle.
Less administrative hassle
Our partner NFP Group has a user-friendly digital portal for every employer where the employer can find everything clearly organized: the agreed conditions, the payroll administration and which employees already cycle to work.
#Benefits for business bicycle leasing
Flexible contracts
As an employer, you own the lease contract and pay the monthly premium. The employee himself pays an additional tax of 7%. The fixed monthly premium includes bicycle, insurance, maintenance (at employer or at home) and breakdown assistance. At NFP Fietslease you can choose our fixed contract terms (12, 24, 36 or 48) months or our Flex variant. With fixed contract terms, the bicycle is returned at the end of the term or can be taken over at the then applicable market value. With the Flex variant, the bicycle can be returned at any time after 12 months with a notice period of 1 month.
Simple methode
Our partner NFP Fietslease sets up a tailor-made online portal for every employer. Employees will find all the conditions here and can immediately order a bicycle of their choice. As an employer, you determine the maximum lease amount yourself. This could be the entire lease amount or part of it. Any additional payment for, for example, a more expensive bicycle will then be settled via the net salary or via NFP Fietslease. NFP Fietslease records the usage agreement between employer and employee in an automatically generated usage agreement. We also relieve you as an employer in this way.
All Lindtbergh models available through NFP
At NFP Fietslease you can lease all our electric Lindtbergh models. As soon as you, as an employer, enter into a partnership with us [NFP Group], eligible employees will receive a personal login code for the NFP Bicycle Lease system. This way they can choose from our Lindtbergh electric bicycle range, which is tailored to the maximum amount and the agreements that have been made.
#Overview of possible schemes that National Cycling Projects Group [NFP] offers you.
