EV salary sacrifice calculator
Estimate the effective monthly cost of an electric car through a salary sacrifice scheme, after income tax and National Insurance savings and Benefit-in-Kind tax.
£
£
Your income tax band
Effective monthly cost
£330/mo
£3,960/yr
Tax + NI saved
£210/mo
40% tax + 2% NI
Benefit-in-Kind tax
£40/mo
3% BiK rate
A £500/month salary sacrifice effectively costs you about £330/month after tax and NI savings — roughly £170/month less than funding the same amount from your take-home pay.
Assumptions & how this is worked out
- Assumes marginal income tax of 40% and employee NI of 2% on the sacrificed amount.
- Benefit-in-Kind charged at 3% of the car's list price (EV rate — rising over time).
- Ignores any employer fees, early-termination terms, and the effect of sacrifice on pension or other benefits.
- Salary sacrifice rules and BiK rates change by tax year — confirm current figures with your employer/scheme.
- Figures are estimates to help you decide — not a quote or financial advice. Last reviewed 2026-06-13.
Want the full picture?
This calculator looks at one piece of the puzzle. Our free 2-minute quiz weighs up your charging, driving, and budget for an honest, personalised verdict — including whether to wait.