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Is it cheaper to get a lease car through a salary sacrifice?



The method of leasing a car through a salary sacrifice can save the driver up to 40% of the cost when compared to a personal contract hire lease. The more you earn and the higher the value of the vehicle the higher the potential savings. Additional savings can be made here at SalSac by bolting on fixed-fee car insurance, a fully fitted charger paid monthly and maintenance packages.


So how does Salary Sacrifice Save you Money?

Here at SalSac, we make Car Salary Sacrifice Simple. Instead of leasing a car personally with your taxed salary, SalSac enables you to lease the exact same vehicle with pre-tax money taken by your employer each month. This then creates a smaller monthly salary which attracts less income tax and national insurance. This reduction in Tax and NI added together equals the total savings. Please see the examples below which illustrate where the salary sacrifice savings come from and how they are calculated.


Example 1 - Personal Lease

Gross Salary £3000/month

Tax & NI - £700/month

Lease - £500/month

End Salary = £1800/month


Example 2 - SalSac Lease

Gross Salary £3000/month

SalSac - £500/month

Tax & NI - £500/month

End Salary = £2000/month


Total SalSac Savings = £200/month


Salary Sacrifice Savings

As you can see from these two examples a SalSac Lease saves the employee/driver £200/month of Tax and National Insurance. Please note these salary sacrifice figures are for illustration purposes only but currently our SalSac customers are saving an average of £350 per month which over a 36-month contract equals a whopping £12,600.


As you can see through this illustration leasing a car with a Salary Sacrifice can save you a considerable sum making leasing in general even more attractive. Here at SalSac, we offer a salary sacrifice calculator and an online system that computes your savings and salary deductions enabling you to find the right deal for you. SalSac then manages the payments between the employee and the employer making the salary sacrifice process simple and easy to facilitate. For more information please call our expert salary sacrifice team on 0330 174 6768 and start saving today.


Learn More about Leasing a Car with a Salary Sacrifice

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