Cycling at Work

Cycling is good for you and your health as well as the environment and can be a quick & easy way of getting to work. It's a great way of avoiding the traffic queues. Many employer's are aware of this and can assist in not only the cost of purchasing a bike under a loan scheme but pay you a mileage allowance if you use your bike in order to undertake your work. An example of business use would be if you have to travel between different offices of your employer in the town and use your cycle to get there.

LOAN SCHEME

A cycle loan scheme is available though both cycle shops in Aylesbury, Buckingham Bikes & Halfords and this should be done in conjunction with your employer. Further details can be found on the Cycle Aylesbury website if you click here

MILEAGE ALLOWANCE

A mileage allowance is permitted to be paid to you under Inland Revenue (HMRC) rules up to a maximum of 20 pence a mile. Shown below are the rates per mile paid if you are employed by the following:

EMPLOYER RATE PER MILE PAID
Bucks CC 20p
Sustrans 20p
AVDC 14.9p

Bucks Primary Care Trust

  6.2p

   

MILEAGE ALLOWANCES AND HMRC

The rules applied by HMRC are subject to change at any time but the following shows the current position. You can also refer to our HMRC website link and also look at the further information links they provide.

Employees using their own bicycle for work are entitled to receive 20p per mile free of tax and National Insurance contributions (NICs). The rules for each are related but not identical.

If employees receive greater amounts than are allowed tax-free, they will pay tax on the excess. If they receive greater amounts than are allowed NICs-free, both employers and employees will be liable for Class 1 NICs on the excess.

If employees receive less than the respective amounts above, no NICs will be payable and tax relief will be available to the employee.

WHY NOT CLAIM NOW?

If you are employed by anyone we have listed and you cycle for the purpose of carrying out your work you should contact your line manager or payroll department to claim your cycle allowance.

If you are in receipt of this allowance and are employed by someone not listed, please send details to us via the 'Leave Feedback' link below.