Does paying Scottish or Welsh income tax affect my cycle to work scheme savings?
The answer is... potentially
If your salary is paid to you within a Scottish jurisdiction then your savings may be different from workers in England and Northern Ireland.
If your salary is paid to you within a Welsh justification then your savings are presently likely to be the same as workers in England and Northern Ireland.
The Scottish Rate of Income Tax was introduced to workers on April 6th, 2016. Since that date it is likely that workers in Scotland will pay a different rate of Income Tax to compatriots in England, Wales and Northern Ireland.
At the time of writing, Scottish tax rates could vary from English and Northern Irish equivalents by up to 1%. You can check the most up to date rates on the Government website here.
As the rates are not greatly different from from those of England and Northern Ireland, Cyclescheme has opted not to introduce complexity into our calculators. Instead, we've simply opted to acknowledge the fact that the forecasts that our calculators will generate will be slightly less accurate for Scottish taxpayers.
At the time of writing the Welsh Rate of Tax was the same as it's English and Northern Irish equivalents.
However, it is understood that Wales is likely to have a more variable tax rate at some point in the future. You can read more on this here.
For a personalised savings figure that includes ownership fees, visit our calculator and enter your details.
You can search to see if your workplace is signed up using the search box on Cyclescheme's homepage.