Take-up of cycle to work schemes has risen by nearly 10 per cent during the first quarter of 2012, compared to the same period last year.
Members of the Cycle to Work Alliance have seen a reverse in recent trends, with more than 23,400 employees signing up to the initiative...
Changes to salary sacrifice are being made as a consequence of auto-enrolment, which will prevent scheme users from being left out of pocket.
HM Revenue & Customs has confirmed that employees will not be held to the arrangement if they decide to opt out of the pension. They will...
Employers are being warned about the VAT implications of some salary sacrifice schemes.
Accountants James Cowper has been encouraging companies to review their employee benefits after a European Court of Justice decision. From the beginning of this year a VAT liability of 20 per cent...
Uncertainty remains over the interaction of salary sacrifice and flexible benefits schemes with auto-enrolment requirements, according to Barnett Waddingham.
Despite the recent publication of information from The Pensions Regulator (TPR), which provided more details for...
Lesley Fidler and Callum Richards consider the VAT issues surrounding salary sacrifice schemes.
From 1 January 2012, employers that are both VAT registered and operate salary sacrifice schemes need to make sure that they are following the provisions of the Revenue & Customs Brief 28/11. This Brief sets out changes in the VAT consequences of salary sacrifice agreements as a result of a...
Cutting the cost of benefits is top of the agenda for employers, according to research from Mercer.
Due to the financial instability in 2011 many organisations are now questioning the feasibility of maintaining their workplace health schemes. Nearly 85 per cent of HR...
Employee benefits providers have welcomed an indication from David Cameron that plans to abolish child benefits for higher-rate taxpayers will be reconsidered.
The proposal to scrap the relief for any household which has an individual earning above the £42,745 threshold...
Employee benefits packages are one of the biggest incentives an employer can offer. Once enrolled in a scheme it is important employees are continually informed about developments and messages are reinforced. Here are some tips to help effectively do this.
Survey employees
It...
Employees want more flexibility and variety when
it comes to their benefits, according to research
from Mercer.
The findings showed that traditional elements of a package scored poorly when it came to motivation and engagement. However, those that provided a good work–...
New information about VAT arrangements and cycle to work schemes is to be released by HM Revenue & Customs (HMRC).
Employees who signed up to the benefit on or before
27 July 2011 will not have to pay the tax on their remaining salary sacrifice payments. The
decision has been...
Lisa Gregory looks at why some employee benefits are preferred over others and how the industry has changed.
Given the economic downturn of recent years, it seems timely to take stock of how employee benefits have been impacted overall and the emerging prominence of certain benefits. The landscape has undoubtedly changed, but which benefits have grown in popularity and which have become casualties of...
Edmund Tirbutt assesses the implications of the possible National Insurance and Income Tax merger and asks if it could mark the end of salary sacrifice.
This year’s Budget announcement that the Government will consult on merging the operation of National Insurance (NI) and Income Tax could have far-reaching implications for payroll and benefits. Indeed, some commentators suggest that it could even spell the end of salary sacrifice –...
One size doesn’t always fit all when it comes to reward. Andy Philpott explains how organisations can shape a benefits package in order to deliver real results.
Organisations today are operating in a climate in which they need their people to perform and be engaged within the business. This is essential in order to remain competitive in the current business and economic environment.
As many firms cope with the recession, their employees work hard,...
HM Revenue & Customs (HMRC) has clarified its position on the treatment of VAT for salary sacrifice.
Following a judgment by the Court of Justice of the European Union, salary sacrifice benefits are now subject to VAT as they constitute a supply of services for consideration....
Nearly 15,000 Asda employees are to benefit from a £49 million share plan payout.
The all-employee Save As You Earn (SAYE) Sharesave plan has produced a record sum. Employee rewards will be linked to the amount that each individual agreed to put aside every month. Staff were given the...
