Tax and salary sacrifice

Maiachihuahua

I am retired but still work part-time and am fortunate enough to have 3 pensions.  As a result, I am liable some tax at 40%.  I recently got a bike under the cycle to work scheme and get tax relief at 20% on my part time earnings but I am wondering if I will I get a further 20% tax relief when my tax is calculated at the end of the year or does this relief purely relate to salary?

Phoenix72

As your taxable pay is the figure after salary sacrifice then you are effectively receiving tax relief at your marginal rate, e.g. say you had £20,000 from 3 sources with no salary sacrifice then your taxable pay woukd be £60,000. But if you salary sacrifice £5k from one then your taxable pay would be £55,000. So your tax saving is effectively £5k at 40%.