EV Salary Sacrifice Calculator
Calculate how much you could save by leasing an electric vehicle through salary sacrifice. The BIK rate for zero-emission cars is just 2% in 2025/26, making this one of the most tax-efficient employee benefits available.
Effective Monthly Cost
£711.67
Total saving over 3 years vs buying outright: £9,380.00
Full Breakdown
| Monthly lease cost (gross) | £972.22 |
| Annual sacrifice | £11,666.67 |
| BIK value (2% of P11D) | £700.00 |
| Annual income tax saving | £2,333.33 |
| Annual NI saving (8%) | £933.33 |
| Annual BIK tax cost | -£140.00 |
| Net annual saving | £3,126.67 |
| Total saving over lease | £9,380.00 |
How EV Salary Sacrifice Works
Your employer leases an EV on your behalf. The monthly cost is deducted from your gross salary before tax, so you pay less income tax and National Insurance. For zero-emission vehicles, the Benefit in Kind rate is just 2% of the car's list price in 2025/26, making this far cheaper than leasing personally.
Higher-rate taxpayers save more because the sacrifice reduces income taxed at 40%. The employer also saves on employer NI contributions (13.8%), so it is a win-win arrangement.
Last updated: May 2026. Uses 2025/26 BIK rates.
Built by The NexoraOS Team