Zenith Car Leasing

DocketLefty · Post by **DocketLefty** » 02 Jul 2016, 15:26

Hi - Can someone please explain how the car leasing works & how it is taken from your wages based on a £340 basic. Many thanks.

Supermac0151 · Post by **Supermac0151** » 05 Jul 2016, 18:29

Basically they deduct the amount the car costs from your gross pay. So if your on £340 basic and the cars £90 a week then it'll leave you £250 which if taxable (so is the other £90, but it's offset by the benefit in kind tax) sounds complicated but very straightforward. The national minimum wage comes into play aswell. Basically it's whatever hours your on minus the minimum wage for your hours for example 30 hours would be £216 so it would be your £340 minus the £216 leaving £124 per week on your car.....only thing you need to worry about is fuel!! I've just ordered a Ford Focus with built in nav. £71 per week. I think it's great

Creditshampoo · Post by **Creditshampoo** » 05 Jul 2016, 18:34

£71 a week and you dont even own the car hahahaha
Jesus what are you doing

Post by **TrueBlueTerrier** » 05 Jul 2016, 18:51

Creditshampoo wrote:£71 a week and you dont even own the car hahahaha
Jesus what are you doing

Not paying for servicing
Not paying for insurance
Not paying for fair wear and tear.
Not paying for repairs (except for any excess)
Not paying for MOT
Not paying for depreciation.

and if its like the DLA one - not paying for new tyres.

DocketLefty · Post by **DocketLefty** » 05 Jul 2016, 21:54

I went through a quote online for a Nissan Juke & it left me with a net deduction of £70 a week. Too much IMO. My insurance is only £40 a month. So basically 60 quid a week for a brand new car.

Chewster · Post by **Chewster** » 06 Jul 2016, 16:39

Aye £71 a week and only paying for your petrol, pretty good innit. Is there a deposit to pay as well?

cpsteve · Post by **cpsteve** » 12 Jul 2016, 17:05

3700 a year is a lot when you consider no mot is needed for three years and a new car comes with a warranty and your first years service is normally included.

Indy · Post by **Indy** » 12 Jul 2016, 17:44

DocketLefty wrote:I went through a quote online for a Nissan Juke & it left me with a net deduction of £70 a week. Too much IMO. My insurance is only £40 a month. So basically 60 quid a week for a brand new car.

You don't own it and you'll be getting a smaller company pension every month of your retirement till you pop your clogs. People at my office are creaming themselves over this 'deal' but all I keep hearing is "new car" but none of the downsides.

Be careful people!

LSPOSTIE2012 · Post by **LSPOSTIE2012** » 12 Jul 2016, 18:07

Indy wrote:
DocketLefty wrote:I went through a quote online for a Nissan Juke & it left me with a net deduction of £70 a week. Too much IMO. My insurance is only £40 a month. So basically 60 quid a week for a brand new car.
You don't own it and you'll be getting a smaller company pension every month of your retirement till you pop your clogs. People at my office are creaming themselves over this 'deal' but all I keep hearing is "new car" but none of the downsides.

Be careful people!

Why would you be getting a smaller pension?

Indy · Post by **Indy** » 12 Jul 2016, 21:42

LSPOSTIE2012 wrote:
Indy wrote:
DocketLefty wrote:I went through a quote online for a Nissan Juke & it left me with a net deduction of £70 a week. Too much IMO. My insurance is only £40 a month. So basically 60 quid a week for a brand new car.
You don't own it and you'll be getting a smaller company pension every month of your retirement till you pop your clogs. People at my office are creaming themselves over this 'deal' but all I keep hearing is "new car" but none of the downsides.

Be careful people!

Why would you be getting a smaller pension?

RM contribute to your pension based on what you earn. The less you earn the less they contribute.

Post by **Theghost** » 13 Jul 2016, 07:30

Indy wrote:
LSPOSTIE2012 wrote:
Indy wrote:
DocketLefty wrote:I went through a quote online for a Nissan Juke & it left me with a net deduction of £70 a week. Too much IMO. My insurance is only £40 a month. So basically 60 quid a week for a brand new car.
You don't own it and you'll be getting a smaller company pension every month of your retirement till you pop your clogs. People at my office are creaming themselves over this 'deal' but all I keep hearing is "new car" but none of the downsides.

Be careful people!

Why would you be getting a smaller pension?
RM contribute to your pension based on what you earn. The less you earn the less they contribute.

How is he earning any less?
He is still on the same wage as me and everyone else,his pay has not been lowered.

on_the_way_OUT · Post by **on_the_way_OUT** » 13 Jul 2016, 12:38

I'm guessing it's to do with the "salary sacrifice" part of the deal but I might be wrong

Post by **RobertT** » 13 Jul 2016, 14:21

Salary Sacrifice doesn’t reduce your RM pension. It just means that the company are effectively paying your car payments for you and so less of your pay is being assessed for Income Tax and National Insurance. The same will apply to the other My Bundle benefits like Cycle To Work, etc and also your pension payments via PSE.

However because Salary Sacrifice reduces your National Insurance contributions, it’s possible some state benefits could also be reduced accordingly.

Why not take a look at the guide we were all given about it in February. If you haven’t still got a copy, it’s online here: https://www.myroyalmail.com/benefits" onclick="window.open(this.href);return false;

Or there’s some more general Salary Sacrifice info here: https://www.moneyadviceservice.org.uk/e ... ce-schemes" onclick="window.open(this.href);return false;

on_the_way_OUT · Post by **on_the_way_OUT** » 13 Jul 2016, 14:46

But RM pay into your pension as a % of your salary. If your salary is lower because you've sacrificed part of it then surely RM pay less??? Your link doesn't clear that up.

Post by **RobertT** » 13 Jul 2016, 15:05

on_the_way_OUT wrote:But RM pay into your pension as a % of your salary. If your salary is lower because you've sacrificed part of it then surely RM pay less??? Your link doesn't clear that up.

Did your pension contributions go down when PSE was introduced?
Car leasing, cycle to work, etc is exactly the same as that! It’s just a way for both employees and RM to reduce NIC’s and possibly income tax too.
Pension payments are made before tax and NI are deducted, therefore they are not affected.