About The Scheme
Cycle to Work Government Scheme is the cheapest way to buy a bike. This tax incentive scheme is designed to encourage more people to get on their bikes and cycle to work!
Tax Benefits
You can save up to 51% off the price of a new bicycle & accessories up to a maximum cost of €1,250 under a Government Cycle to Work Scheme. (€1,500 if Electric Bike)
This tax incentive scheme is designed to encourage more people to get on their bikes and cycle to work!
Avail of the Scheme once the 4-year period
An employee can avail of the exemption once in any 4-year period, commencing with the date the employee is first provided with a bicycle or bicycle safety equipment.
Health Benefits
Cycling is a great form of exercise and by cycling to work, you’ll make sure you stay active and get good exercise everyday without using up any more of your valuable time. Cycling keeps you fit, it’s fast, cheap and reliable – and it’s great for the environment.
How to participate?
Once your employer decides to take part, they simply pay for the bike and equipment of your choice on your behalf, and off you go. Your Employer will inform you how the payment will work exactly, whether they buy the bike outright or it operates under a “salary sacrifice” arrangement, but either way you save on Tax!
It is quick & easy to participate in the scheme. There are no Government forms to fill out. However, your employer does have to maintain the normal records such as invoices and payment details associated with buying the bike.
Benefits To Employers
Tax Benefits
Using the Cycle to Work scheme, your company can purchase new bike & accessories worth up to €1,250 Tax Free , for your employees. (€1,500 if an Electric Bike)
You can use a salary payback arrangement to allow your employees to pay for the bike over an agreed amount of time up to 12 months. This means that the employees saves between 31% – 51% (depending on tax rate) of the retail price of bike & accessories but your company also makes a PRSI saving of 10.75%.
Healthier Staff
Organisations with a healthy staff will have improvement in the following:
:: Productivity
:: Business Performance
:: Staff Morale
:: Employee Engagement
Punctual Staff
No more traffic jams or being late because you missed your bus. It’s proven that commuting by bike is the most reliable way of transport in the cities.
Benefits To Employees
Save up to 51% on Bikes & Accessories
Employees make a saving of between 31% – 51% depending on tax rate, making it easily the cheapest way to buy a bike.
Employees can avail of additional discount on accessories purchased through Cycle to Work Scheme
Increased Limits
The exemption applies to the first €1,250 expenditure on bicycle and accessories. A higher exemption limit of €1,500 applies on an electric bike
4 Year eligbility
The individual is be able to avail of the scheme once the four-year period.
Health Benefits
Cycling is a great form of exercise and by cycling to work you will:
:: Feel Happier
:: Live Longer
:: Travel Cheaper
:: Lose weight
:: Help the planet