Fleet Logistics launch new salary sacrifice scheme
By Kelly Mason
Thursday, May 8, 2014 - 13:15
LAUNCH: Fleet Logistics reveal new scheme
Fleet Logistics have launched an innovative salary sacrifice scheme calculated to be 10% cheaper than conventional offerings.
FleetBENEFIT sees multi-bidding applied to every new car via a panel of funders to find the most attractive rate for the driver.
It is thought to be the first of its kind structured this way and to be introduced by a fleet management provider rather than a leasing company.
The scheme is open to any sized organisation, although research suggests that the optimum size is a minimum of 500 employees.
FleetBENEFIT makes brand new, low-emission cars available to all designated staff members.
It provides fully-comprehensive business insurance, road fund licence, breakdown cover and full servicing and maintenance provision as part of the standard package.
Employees can research, identify, source and order their new vehicle online through Fleet Logistics’ Fleet.Wizard car configurator, and benefit from rates supplied by a panel of funders.
Using Fleet Logistics’ multi-bidding solution, which cuts acquisition costs by 8-10%, the most attractive price is selected for the employee from the prices supplied by the panel.
Any savings generated in this way, can then be allocated to a fund to cover any future contingencies, such as resignation, redundancy or maternity leave.
The salary sacrifice scheme produces savings for employees in both income tax and National Insurance Contributions (NICs) on the amount of salary surrendered, although staff are liable for a Benefit-in-Kind tax charge on the vehicle provided.
Stuart Donnelly, Chief Regional Officer for Europe North at Fleet Logistics, said: “With our FleetBENEFIT salary sacrifice scheme, employers can rest assured that their employees are behind the wheel of a new, low-emission, well-maintained and comprehensively-insured vehicle.
“This not only reduces the risk to the driver and meets business’s duty of care obligations, but it also sends out a strong signal with regard to your overall corporate responsibility.
“Our new scheme is an extremely attractive proposition for employees as we are using multi-bidding to select the most competitive rates from our panel of funders.
“As a result, it can form a key part of a company’s benefits package in order to attract new employees, while also motivating and retaining existing staff.
“When it comes to servicing the vehicles, all employees have access to the Fleet Logistics service network with one point of contact, and there is European coverage of the scheme with full European reporting.”