Use this salary sacrifice calculator car tool to estimate your potential savings when you finance a car through salary sacrifice.
How to Use the Salary Sacrifice Calculator
To use this calculator, fill in the fields with your Gross Annual Salary, the Car Cost, the Salary Sacrifice Amount, the Car CO2 Emissions, and the Loan Term in years. Once all fields are completed, press the “Calculate” button to get the result.
How It Calculates the Result
The calculator estimates the amount of salary left after the sacrifice and calculates the benefit-in-kind (BIK) tax based on the car’s CO2 emissions. The formula used takes into account the current UK tax thresholds and BIK rates.
Important: This is a basic estimate and actual figures may vary based on individual circumstances and tax laws.
Assumptions and Limitations
The calculator assumes that the user is a UK taxpayer and is subject to UK tax laws. It does not consider other deductions, benefits, or specific tax situations. Always consult with a financial advisor for accurate financial planning and before making any decisions based on the calculations.