Employee benefit schemes offer valuable perks for both staff and businesses as a whole. They can also provide significant savings in taxes, insurance premiums, and other costs for your company.
Offering a salary sacrifice scheme can be a game-changer for employers and employees. It allows for increased flexibility and control over how wages are spent and can also lead to considerable savings on taxes and National Insurance contributions. For employers, implementing such a scheme can strengthen staff loyalty and reduce staff turnover rates by offering a valued benefit.
Studies show that minimising turnover by increasing staff retention can represent significant savings, as the hiring and onboarding process can often be lengthy and costly. So, one of the ways in which salary sacrifice schemes can improve your business is by reducing this unnecessary expenditure.
Across all sectors, there is a growing emphasis placed on employee well-being. It stands to reason that a clear relationship must exist between employees’ well-being and a sense of being valued or cared for by their employer. This is where salary sacrifice schemes can significantly improve your business, as by giving employees access to their own vehicle as part of their employment contract, you can create a sense of belonging in the workplace.
This creates a more positive work environment and can have a noticeable impact on staff productivity. The more valued and supported an employee feels, the more productive and dedicated they tend to be.
It’s not only a business’ internal reputation that can be improved by introducing salary sacrifice schemes either. By showing the business world that they’re serious about employee care and support, companies can improve their public image and attract a wider consumer base. In recent times, customers have become increasingly concerned with the treatment of staff in the businesses they engage with, highlighting the importance of high-quality employee care.
Since the COVID-19 Pandemic, attracting talent has become more difficult across numerous sectors. With businesses looking to rebuild and adapt to the post-COVID world, appealing to candidates with the right skill set, experience, and mentality is paramount. Studies show that access to a salary sacrifice scheme is a criterion that’s likely to attract potential candidates, making filling their ranks with talented and motivated individuals much easier for those businesses that choose to implement them.
An effective way to lower your National Insurance contributions while keeping your salary offers competitive is by implementing salary sacrifice schemes for your employees. Non-cash benefits like salary sacrifice car schemes are untaxable; it allows wages to be reduced while take-home pay remains the same.
Having recently achieved a carbon-neutral status, we’re passionate about conducting our business in a responsible and sustainable way. Another business benefit of salary sacrifice schemes is by allowing access to a greater number of eco-friendly electric vehicles (EVs).
This gives your organisation a chance to move towards net zero while increasing employee engagement and reducing your National Insurance contributions, making salary sacrifice schemes a net bonus for everyone involved.
At SG Fleet, we have extensive experience in delivering high-quality, customer-focused salary sacrifice schemes. Our salary exchange leases include servicing, accident management, comprehensive insurance and much more. We offer full flexibility and significant savings from high street dealerships, as well as a choice of lease terms and varied corporate discounts.
SG Fleet also provides a flexible vehicle leasing benefit for your employees with minimal admin and no risk or expense to the employer. Employee car benefits are an attractive proposition for employees, as they give your staff access to discounted cars, providing more savings than any other voluntary benefit.
As we’re not limited to a single benefit design, we can provide the flexibility to choose an option that works best for your business and your employees.
Find out more about our Car Salary Exchange leases here, or contact us to speak to a member of our team.
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