Tax implications of Company car compared to Salary sacrifice lease car

Mnqobi07

Hi all 

For someone earning £26k per year.
What would be the tax implications of accepting a company car as opposed to a salary sacrifice car. 

I am trying to work out which option will significantly reduce my take home pay (net) and affect my pension in the long term. 
I am only planning on signing up for 3 years

Grumpy_chap

Mnqobi07 said:

Hi all 

For someone earning £26k per year.
What would be the tax implications of accepting a company car as opposed to a salary sacrifice car. 

I am trying to work out which option will significantly reduce my take home pay (net) and affect my pension in the long term. 
I am only planning on signing up for 3 years

You need to set out more details on the options as they are not clear.

Option 1 is salary of £26k plus a company car (which will be subject to BIK).

Option 2 is salary of £26k from which you would salary sacrifice some for a car
OR
Option 2 is a salary of £26k plus a car allowance which would would salary sacrifice for a car

What elements are pensionable pay?

What type of car will it be?  An EV is far lower BIK than a Ferrari.