EV Salary Sacrifice

I'm considering an EV obtained through a salary sacrifice scheme at work but payroll are almost impossible to contact for information so hopefully someone may shed light on this.

I understand that after the monthly payments you cannot end up with an hourly amount less than the current National Living Wage of £10.42
I understand that I can only include basic salary and overtime etc.

29744.00 basic salary
  5640.00 - net car payment including NI and Tax benefit, BIK
__________
24104.00 - income after car payment.

If I divide that by the number of hours 2080 I end up with £11.58 which is more than the NLM so am I missing out on anything when it comes to the math?

Thanks



Comments

  • af1963
    af1963 Posts: 187
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    Someone with legal or HR background can probably confirm if this is correct, but I've done this with an employer in the past who wanted to ensure the NMW was being paid during every single pay period, calculated separately.  That created some differences in the calculations between the months with 23,22,21 or 20 working days.
  • Linton
    Linton Posts: 17,024
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    af1963 said:
    Someone with legal or HR background can probably confirm if this is correct, but I've done this with an employer in the past who wanted to ensure the NMW was being paid during every single pay period, calculated separately.  That created some differences in the calculations between the months with 23,22,21 or 20 working days.
    Yes this is as required. The Minimum Wage check must be satisfied separately for each pay period. You cannot average over the year.
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