Here at The Electric Car Scheme we offer two salary sacrifice profiles to suit the needs of employees who enter into a salary sacrifice agreement:
- Flat Salary Sacrifice Profile
- 12-Month Accelerated Salary Sacrifice Profile
Flat Salary Sacrifice Profile
With the flat salary sacrifice profile, the employee’s monthly salary sacrifice amount remains the same throughout the entire lease term. Our administration fee, invoiced to the company each month, will also remain consistent for the duration of the lease.
Exception: If the employee chooses to include a home charger in their order, The Electric Car Scheme will cover the upfront cost on their behalf. This cost will then be added to our monthly invoice and spread evenly across the first three months of the agreement. The employer recovers this cost from the employee via the salary sacrifice.
For more information read this article:How do I pay for my home charger?
12-Month Accelerated Salary Sacrifice Profile
With the 12-month accelerated profile, the employee’s monthly salary sacrifice will be higher during the first 12 months. This is because our admin fee is collected entirely during this period, instead of being spread across the full lease term. After 12 months, the employee’s monthly salary sacrifice amount will reduce significantly, and we will no longer invoice the company for our fee related to that employee’s scheme.
In all cases, regardless of the payment profile chosen, we ensure that the employee’s adjusted salary does not fall below the National Minimum Wage.