Cycle to Work schemes, including The Green Commute Initiative (GCI) Scheme, are a great way for employees to save money and promote a healthier lifestyle. Schemes offer financial benefits to both employees and employers, promoting cycling as a healthier and more sustainable mode of transportation. Income Tax and National Insurance Contributions (NICs) are reduced in an employee’s pay. An employer saves on their own NICs.
The amount of money an employee is likely to save depends on the cost of the bike and accessories selected, as well as their tax bracket. However, savings can range from 25% to as much as 39%! To be eligible, employees must receive salary via the Pay-As-You-Earn (PAYE), and earnings need to be more than the National Minimum Wage or National Living Wage after the salary sacrifice is taken into account. Employers can help low wage earners participate in schemes by offering a longer salary sacrifice period – for example, running the scheme over 18, 24 or 36 months instead of 12.
You can usually find out if your employer is in a scheme by asking – often through the HR department. You can then find out how much you can borrow, together with your costs and potential savings, by using a loan calculator on the scheme website. If your employer is not in a scheme and the company is agreeable, an individual scheme can be arranged for you via GCI without your employer joining.
Electric bikes are ideal for commuting as they will get you to work with less effort and faster than a standard bike. They will also give you a boost when starting off in traffic and you’re less likely to build up a sweat!. You can also use cycle tracks and the increasing network of cycle lanes to keep clear of the traffic.
Hikobikes with their powerful 48V electrical systems, long range batteries and high torque 250watt motors are ideal for cycling to work. For many, the step-though sports models – Scout and Vibe are the perfect frame shape for commuting in “office clothes” without compromising on performance. The NZPulse offers a lower priced bike with a comfortable riding position and the benefit of a throttle.
However, Cycle to Work Schemes have no restrictions on how you use your bike and how often you commute. So, you can use the Schemes to buy a bike that will suit both commuting and weekend riding. If you’re keen to explore off-road at the weekend, the Enduro or Rangler might also be good choices. Check out our comparison table to see full details on each of the Hiko models.
