Isn’t there something about these salary sacrifice schemes potentially impacting pension contributions, that often gets ignored in the sums?
Simplified figured, but say you usually get £2k pcm gross, £1500pcm net in salary. You pay 5pc and your company pay 5pc in to your pension. £200pcm goes in to your pension
If you then pay £400pcm gross on a salary sacrifice car, then although it will cost you less than £400pcm net after tax, the amount that goes in to your pension each month decreases. New salary £1600pcm gross (after car deduction). 5pc personal contribution and 5pc employer means you reduce your pension payments from £200 to £160pcm. Over a 3yr lease you have £1,440 less in your pension pot.
My figures are made up to illustrate the point that I’m trying to make. Someone with better knowledge is welcome to say that I am talking balls and this isn’t an issue.