Salary Sacrifice Calculator for Electric Cars

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Hi,

I'm trying to build an interactive calculator to calculate salary sacrifice savings on electric vehicles to offer to our employees. But I can't seem to find any information on the maths involved to calculate.

I need to pass in:

Salary p/a
Car cost per month
P11d value of car

I need to calculate:

Car Cost without Salary Sacrifice
Car Cost with Salary Sacrifice
Monthly saving for employee
Monthly saving for employer

Could anyone point me in the right direction on the maths or formulae needed?

Thanks
 

Replies (7)

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By Not Anonymous
30th Sep 2022 10:42

No good on formulas sorry but wouldn't you also need to factor in loss of pension contributions from the reduced salary?

Can be a very important material impact there.

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Replying to Not Anonymous:
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By Hugo Fair
30th Sep 2022 12:33

Good point in that there are actually quite a lot of (potential) knock-on impacts resulting from any Salary Sacrifice ... but strangely you've picked on one that is only rarely affected.
Why?
Because it will depend both on the terms of the Employment Contract and the T&Cs of the Pension Scheme ... but in most cases those allow the Pension contributions to be calculated with reference to the 'nominal' (i.e. pre Sal Sac) salary.

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By David Ex
30th Sep 2022 10:58

Ben1011 wrote:

I'm trying to build an interactive calculator ….

Could anyone point me in the right direction on the maths or formulae needed?

 

I think if (like me) you don’t understand enough about the calculations involved to derive the formulas yourself, it would be better to engage someone to do it for you.

Have you Googled the sites of the various providers out there which may provide useful information.

EDIT: Oddly the earlier responses weren’t there when I posted mine.

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Replying to David Ex:
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By Leywood
30th Sep 2022 14:14

+1.

I don’t understand it when folk who say they are doing something but then have to ask everything about how that thing will be done. Might as well say ‘do this for me’.

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Replying to Leywood:
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By David Ex
30th Sep 2022 15:17

Leywood wrote:

+1.

I don’t understand it when folk who say they are doing something but then have to ask everything about how that thing will be done. Might as well say ‘do this for me’.

You read my mind!

Thanks (1)
Replying to David Ex:
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By Paul Crowley
30th Sep 2022 16:47

The sort of thing that a boss does to see how the employee goes about doing something new
Trouble is that if one of my people put it on here, I would be answering my own question

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