salary sacrifice car lease through umbrella company (on.to)

[fabios]

Is there umbrella company allowing for leasing a car. My understanding was that it would be risky for umbrella if I stop having income but On.to allows for 1 month lease. Would that make any difference if it's a salary sacrifice or just business expense?

[northernladuk]

https://forums.contractoruk.com/umbr...ar-scheme.html

And there are other threads on the same theme if you use the google search method as described in a sticky in the FAQ/Welcome section

No business expenses under a brolly.

[eek]

Is there umbrella company allowing for leasing a car. My understanding was that it would be risky for umbrella if I stop having income but www.on.to allows for 1 month lease. Would that make any difference if it's a salary sacrifice or just business expense?

Quad Management were looking into it a while ago as a differentiate I'm not sure how far they got doing it

@Mods and yes I'm happy to recommend them as the MD is above board and passes the I can call him direct on his mobile test...

[fabios]

And there are other threads on the same theme if you use the google search method as described in a sticky in the FAQ/Welcome section

I did. That thread is focusing on why it's not possible for a standard lease. What I'm asking about is a 1-month lease so no risk for the leasing company of loss of employment. Also, I no longer see it as a benefit on giant's website.

Update: just spoke to giant and it's no longer available.

[WTFH]

Is the tax saving worth the extra cost?
Looking at the rates companies charge for 1 month leasing, is it really worth the possible tax saving, given hat as soon as you are out of contract you'll have no car to go to interviews etc?
I'd want to run the figures and see if it was viable, also the figures they quote on the personal lease, they appear to have gone with comparing their cheapest option with the most expensive lease available.
e.g. VW ID4 - On To are £899 a month and say that 24 months leasing is £837 based on 7,500 miles, while the same car is available on 10,000 miles for £730 on leasing websites

[fabios]

Renault zoe, either personal or business is £489. As a salary sacrifice it's around £300 for +100k earners, i also believe that what they show in calculation as employer's saving is also our saving, so it drops the price to sth around £250. This includes charging, 700miles, insurance and tax. Given the current petrol/diesel prices looks like a good deal.

[eek]

Is the tax saving worth the extra cost?
Looking at the rates companies charge for 1 month leasing, is it really worth the possible tax saving, given hat as soon as you are out of contract you'll have no car to go to interviews etc?
I'd want to run the figures and see if it was viable, also the figures they quote on the personal lease, they appear to have gone with comparing their cheapest option with the most expensive lease available.
e.g. VW ID4 - On To are £899 a month and say that 24 months leasing is £837 based on 7,500 miles, while the same car is available on 10,000 miles for £730 on leasing websites

But it's £899 from your before tax (and before employer NI / Apprenticeship levy) income. Which means it's going to cost £500 or so take home pay...

And as no umbrella is going to risk committing to a 24+ month lease any the only option available will be short term lease / monthly subscription type deals...

[WTFH]

But it's £899 from your before tax (and before employer NI / Apprenticeship levy) income. Which means it's going to cost £500 or so take home pay...

And as no umbrella is going to risk committing to a 24+ month lease any the only option available will be short term lease / monthly subscription type deals...

I understand that no umbrella is going to commit, who can blame them. If the car is leased through the umbrella and your contract finishes, then would the car be returned immediately, and where are you left, but with no car and nothing to show for it. Do you get an NCD on your insurance as a result of leasing this way?

[northernladuk]

Renault zoe, either personal or business is £489. As a salary sacrifice it's around £300 for +100k earners, i also believe that what they show in calculation as employer's saving is also our saving, so it drops the price to sth around £250. This includes charging, 700miles, insurance and tax. Given the current petrol/diesel prices looks like a good deal.

Everyone is comparing the cheapest cars though. I can't believe there are many contractors going to be picking a Renault Zoe as a company car. Pick something more realistic and then run the numbers. Tesla Model 3 or Audi Q5 at a grand a month... starts to not look like a very good deal even with tax savings at those figures. If you are WFH and don't go far it would be cheaper to use a limo service.

[Lance]

Everyone is comparing the cheapest cars though. I can't believe there are many contractors going to be picking a Renault Zoe as a company car. Pick something more realistic and then run the numbers. Tesla Model 3 or Audi Q5 at a grand a month... starts to not look like a very good deal even with tax savings at those figures. If you are WFH and don't go far it would be cheaper to use a limo service.

or rent by the week as needed.

or.... just a thought.... if OP can't afford to lease a car personally then how about buying an old banger?
this for example https://www.autotrader.co.uk/car-det...02206106669060
Costs around the same as 1 months lease and has MOT for 6 weeks.

or push the boat out
https://www.autotrader.co.uk/car-det...02206126715327

I really don't get the fascination with leasing cars as a way to make them affordable, when there are better ways.