Salary sacrifice FAQS

A salary sacrifice car scheme is a non-cash benefit that allows you to give up a portion of your salary in exchange for the use of a car.

The regular monthly deduction is automatically taken out of your salary by your employer before Income Tax and National Insurance (and will not be subject to these deductions).

You will be required to pay Benefit-in-Kind (BiK) tax because the scheme is classed as a benefit (like a company car, private medical insurance etc) provided by your employer.

You’ll get:

• Use of an electric or hybrid car
• Fully comprehensive car insurance
• Road tax*
• Breakdown cover
• Scheduled servicing and maintenance
• Replacement tyres
• Windscreen and glass cover
• Accident management

Insurance excess, excess mileage, collection charges, and fines are not included in your monthly salary deduction.

These are taken from your salary (after National Insurance and Income Tax), but you’ll always be notified before a deduction is taken.

A full list of the potential costs can be found in your employer’s salary sacrifice car scheme policy document. To find your policy, log in to your account and head to the ‘My documents’ area on our salary sacrifice website.

Zenith offers a wide range of electric, petrol, and diesel cars.

The specific models available to you are determined by your employer’s policy. However, the website will only show you cars that are available to you. Motorbikes are not available on the scheme.

You can use the car for both your business and personal use.

Business use for your spouse or partner is also included, as long as they are named as a driver and their job is eligible with the insurer’s eligibility. To find the insurance details, log in to your account and head to the ‘My documents’ area on our salary sacrifice website.

You cannot:

• Allow the car to be used by anyone other than the named drivers.
• Use the car/allow the car to be used for sporting activities, racing, or any form of competition without written consent from Zenith.
• Use the car for hire or reward.
• Mortgage, charge, pledge, assign, sub-let, or otherwise deal/dispose of the car.
• Allow any lien to be created upon the car (for repair or otherwise).
• Carry or permit the carrying of goods in or on the car except to the extent authorised by the insurance cover and in any event not exceeding the manufacturer’s specification.

The scheme is open to UK employees who:

• Have a permanent contract of employment in the UK (excluding the Channel Islands and inbound international assignments to the UK).
• Have successfully completed your probation period.
• Earn above minimum wage after the monthly sacrificed amount and other deductions (such as their pension).
• Meet the insurance eligibility – the full details are in your policy document.
• Comply with the terms and conditions of this policy.

Other company-specific rules may apply, such as your length of service. Make sure to refer to your employer’s policy for the full terms and conditions.

Zenith owns the car – by joining the scheme, you have use of the car for the period you have chosen.

The monthly gross cost is how much your gross salary will be reduced by per month. The net cost is the amount your take home pay will be reduced by and is the ‘true cost’ to you after tax and NI is saved.

When quoting on the website, the quote summary page will show you both GROSS deduction and NET cost figures. The GROSS deduction figure is the one you will see on your payslip, but the NET figure is the one that illustrates the effect on your take home pay as it takes into account both the Benefit-in-Kind (BiK) you will be paying and the tax and NI saving you will be making. The search results pages show net cost as this is the true effect on your income.

Yes, this is known as Benefit-in-Kind tax (BiK) and you will pay this because salary sacrifice is classed as a non-cash benefit.

To view current BiK tax rates, visit: Check or update your company car tax – GOV.UK

You should advise HMRC of the details of the car as soon as you take delivery of it. The details can be found on your delivery confirmation email.

If the cost of the road tax for your car increases, the difference in cost between the amount included at the time of order and the new cost will be recharged to you via payroll (after National Insurance and income tax). You’ll be notified of the amount before the deduction is taken.

The Government is responsible for any changes to road tax rates, not Zenith.

If you resign, contact Zenith as soon as possible and our team will advise you of your options.

Please note there are costs if you leave the agreement early. The amount will depend on when you resign but can be substantial – it’s important to read the full details in your employer’s scheme policy.

Participation in the scheme could reduce the amount of statutory pay that you are entitled to, if your gross salary is reduced to less than £112 per week.

If you do take maternity, shared paternity, or adoption leave and receive statutory maternity pay (SMP) or statutory adoption pay (SAP), you will still be able to use the car, but the salary sacrifice amount cannot be deducted from SMP/SAP.

You will continue to be responsible during payment of SMP/SAP for any charges incurred outside of the regular salary sacrifice as a net deduction, (e.g. parking fines, penalties etc).

You will need to repay any charges and accrued salary sacrifice amounts in full when salary is in payment again. If you do not earn enough to pay for this, or you do not return to work, you agree to reimburse your employer for the outstanding balance. If you cannot afford to repay this when you return to work, you will need to discuss this with your employer.

No, you cannot smoke or vape in the car.

Only travel within Europe is permitted. Before taking the car abroad, you will need to request overseas travel documents from Zenith.

At least two weeks before the date of intended travel, contact Zenith for a travel pack. There will be a fee for this. We’ve created a checklist and some top tips to ensure you have everything covered. See top tips.

Please refer to your employer’s policy for the full terms and conditions around taking the car abroad.

We are not able to buy or part exchange your car – you will need to arrange the sale of your own vehicle.

In most cases, you can add up to two permanent additional drivers. However, this is subject to your employer and the terms and conditions set by the insurer, including age-related restrictions. Please refer to your employer’s salary sacrifice policy for more details.

No, these are not included in your package and will come at an additional cost.

Points on your licence or a past accident may make you not eligible.

Gaining too many points on your licence may result in a driving ban and make you liable for early termination fees. Your employer may also take disciplinary action.

If you get points without a ban, you’ll be able to remain on the scheme until the end of the agreed period of use but won’t be able to extend or re-order if the points take you outside of the eligibility required for the scheme. Please refer to your employer’s policy for the full details.

You will not accrue ‘no claims bonus’ whilst on the scheme in the same way you would with a personal car, but Zenith can supply you with a ‘claims history letter’ which details any accident claims made throughout your car allocation.

The document will include information on all fault and non-fault claims regardless of whether the insurer was notified. Please note this is not a ‘no claims history Letter.’

Claims history letters are available from Zenith and are free of charge.

Requests can be made by contacting Zenith using the dedicated phone number or email address found in your account area after you log in. It could take up to 14 working days for your request to be processed.

To process your request Zenith would need the following information:

• Dates of employment
• Vehicle registration (including dates of your vehicle allocation)

If you would like multiple cars on your letter you will need to provide these details for all of the cars.

For new cars you can choose a term from either 24, 36 or 48 months and an annual mileage between 5,000 and 40,000 miles (in increments of 1,000).

For used cars you can choose a term of 12, 24, 36 or 48 months and an annual mileage between 5,000 and 30,000 miles. You will not be able to set a term which would take the car over 87 months in age or over 100,000 total miles at the end of the agreed period of use.

It is important to choose a realistic mileage when ordering or amending your mileage, as excess mileage is chargeable (at a pence per mile rate which will be confirmed when you order) but under mileage will not be reimbursed.

After an initial 12-month period, Zenith will give you the opportunity to increase or decrease your mileage at certain points within the term. This will result in a new monthly deduction which will need to pass a National Minimum Wage check and be accepted by you and is subject to the same annual and total miles caps as when you ordered your car.

Zenith is currently unable to offer test drives.

Yes, the pictures on the website are of your car.

Our used car stock is in high demand and changes daily so cannot be reserved. Once you have made your decision you can secure your car by placing the order, we will then hold the car to give your employer time to approve it and for your licence check to be completed. Receiving a quote does not automatically reserve the car.

You can expect the same great service from Zenith and your car will still come with an all-inclusive* maintenance, insurance, and service package.

For the full details of our used car offering, check out our Used Car Promise.

All our used cars undergo an AA Safety Inspection to give you peace of mind on the quality of the car. As with all used cars, general wear and tear may be present in line with the car’s mileage and age.

For full details, please refer to our Used Car Promise.

The quote displays the manufacturer’s advertised range for new cars. However, the range can be impacted by driving style, driving terrain, weather conditions, and the use of other features that draw power from the battery.

Although batteries are equipped to last a long time, you may experience some minor deterioration in range as the age increases. It’s important you factor this in so you can make sure your chosen vehicle meets both your work and personal needs. If you’d like some guidance, our EV experts are here to help.

The warranty on all cars differs based on the car’s mileage and age. If your car is within this warranty period, you will benefit from the warranty package.

However, our maintenance package remains, even after your car’s warranty period.

No, the car is provided to your employer for a fixed period of use and classed as a company car. Payment of an initial amount would not be efficient from an Income Tax and National Insurance perspective and is not permitted under the scheme.

Personal number plates are generally allowed, unless your employer states otherwise, and Zenith can do most of the paperwork for you. There is a cost to this which is not included in your regular monthly salary sacrifice amount – £80 DVLA fee plus £20 administration fee.

Please contact Zenith for more information or to start the process.

If you order a used car the costs you see when you place the order will remain the same.

For new cars, once the car is ordered, the costs will only change if there is an amendment from the manufacturer. They don’t fix the price or the specification at the point of order so there can be changes before the car is delivered, especially if there is a long lead time. Zenith will always notify you of any price or specification changes as soon as they are made aware and you will have the option to cancel your order if you don’t want to pay the new cost or it doesn’t pass National Minimum Wage check.

If you are looking at new cars, please only place an order once you are ready, as there is no guarantee that you will be able to amend it later. Whilst we will try to accommodate any changes, it’s not always possible and you may be liable for any costs incurred as a result.

If you wish to cancel an order for a new car and the supplying dealer imposes a cancellation fee, you will be liable for this fee.

You can cancel an order for a used car prior to delivery with no fee, however you will need to pay for the licence check if this has been completed.

Full details can be found in your employer’s policy.

Your first deduction will be taken from your salary the month after delivery and will continue until the agreed number of payments have been taken. For example, if you take the car for 36 months, you will make 36 payments. This means you will have at least one deduction after the car is returned (it could be more if you have taken payment breaks with your employer during the period of use).

The car will be delivered to you at your chosen location. The dealer will be in touch at least a week prior to your delivery date to confirm the delivery slot with you. On the day of delivery, the delivery agent will call you when they are one hour away.

Yes – once your order has been placed, all listed drivers must complete an e-Declaration – this is an online form that gives consent for their driving licences to be checked.

You will be contacted via email once you’ve placed your order.

A ‘quick delivery’ indicator tab is displayed if we aim to deliver the car within 14 days subject to employer approval and successful completion of licence checks.

Quick delivery is only available for used cars.

The delivery timeline of new cars will vary depending on the model you choose. The salary sacrifice website will give you an estimated timescale when quoting and we will keep you updated through to delivery once your order is placed.

If you opt to order a used car, we aim to deliver within 14 days of submitting your order request, subject to employer approval and licence checks.

You will receive email updates every time your order status changes. If in a 4-week period, there is no change to the build date or delivery date, you will also receive an automatic ‘on track’ email just to confirm that everything is on schedule.

You will also be able to track your order status at any point by logging into your account area.

As soon as the car is available, you will be contacted so that delivery can be arranged.

Make sure you are at the delivery location during your delivery time slot.

The delivery agent will give you a 360° walkaround so you can check you are happy with the car.

If for any reason you are unhappy with the car:

• Do not sign the handover document.
• If possible, take a photo of the damage.
• Contact Zenith within 24 hours of delivery

If you are taking a used car, it is a good idea to familiarise yourself with our Used Car Promise which outlines the condition you can expect your car to arrive in.

For more details, check out our Delivery Day guide.

We understand that leasing a used car is a big decision. If for whatever reason you are not happy with your car and we cannot resolve the issue, we offer a 7-day Return Promise. To return your used car within 7 days contact our Order Fulfilment team.

We reserve the right to refuse the return of the car if these conditions are not met.

After collection, any deductions that have been made from your salary will be refunded. You will be responsible for any charges incurred due to the above conditions.

Click here to view the full details of our 7-Day promise.

When you take delivery of the car, you must inform HMRC so that your BiK tax is correct. You do not need to tell your employer.

Zenith will send you MOT reminders via email starting 8 weeks before the MOT will expire. You can book the MOT test online here.

This is dependent on the car – most cars will have a service light that will show on the dashboard when the service is due but others are based on a certain time period or mileage (for example every 12 months or 10,000 miles). Please check the handbook for details on your specific car.

As the registered keeper of the car, Zenith will be the ones to receive notification of any recalls on your car – we will contact you via email to advise the nature of the recall and the next steps you need to take.

You must use a Zenith approved garage for any maintenance work or repairs. When booking online or over the phone you will be provided with the options close to your preferred postcode. You can book online here.

To arrange a tyre repair or replacement, you can book online here.

In some situations, the cost of replacement tyres is included in the maintenance package. Check your salary sacrifice scheme policy for full details.

Any glass or windscreen damage should be reported to Zenith as soon as possible.

To arrange a glass or windscreen repair or replacement, go to your account area and call your dedicated driver line.

Damage to glass or windscreens is not covered in your regular monthly deductions– it needs to be raised an insurance claim. Full details can be found in your policy.

You can charge your EV at home or at a public charging point.

Most drivers with a home charger, use it overnight to benefit from cheaper electricity rates.

Public chargers tend to be quicker but cost more than a home charger. We recommend that you download ZapMap to view the charging points near you.

Yes, check out our guide for a breakdown of the different types available, their costs, and how to register for an installation.

You must report all accidents or incidents, regardless of whether a third party is involved, to Zenith on 0344 848 8080, ideally within 24 hours.

We recommend that you save this number to your phone for easy access in an emergency.

For full details on accidents, please read your salary sacrifice scheme policy document.

Helpful contact details can be found here.

If the car breaks down within its warranty period, breakdown cover will be provided by the manufacturer – details can usually be found in the handbook or on a windscreen sticker. If you can’t find it, don’t worry, just call the number below and Zenith will get you through to the right place.

In the event of a breakdown outside of warranty you should call the following number:

Breakdown and recovery (24hrs): 0330 134 8768

Your salary sacrifice scheme policy document has full details on what happens if you experience a breakdown.

If the car is stolen, you should report the incident immediately to the police and make a note of the crime incident number.

You should also contact Zenith, who will take all the relevant details and send them to the insurer.

4-6 weeks is needed by the insurer to allow the police time to try and recover the car. During this period, no further action is taken by the insurer, and you will still be required to make your regular salary deductions. You will need to fund your own replacement car.

If the car is not recovered after this 4–6-week period, Zenith will begin the total loss process.

You are responsible for the cost of all parking fines, fixed penalty charge notices, camera offences, bus lane contraventions, and congestion charges and all other fines, charges or penalties incurred whether the car is being used for business or private purposes.

If your car is undergoing maintenance work or accident repairs, you can request a courtesy car from the garage or bodyshop, depending on availability. However, it is not a like for like replacement. Zenith will not provide you with a replacement car if a courtesy car is not available.

The usual monthly deductions from your salary are still due even when your car is off the road.

In the event your car is deemed a total loss it can take some time to resolve depending on the circumstances of the accident and level of damage.

During this period, you will still be required to make your regular salary deductions. You will need to fund your own replacement car.

Please see your salary sacrifice policy document for more information.

In the event of an insurance claim, the insurer will impose an excess for all claims regardless of fault. This will be charged to you as a deduction from your net salary.

The excess costs are listed in the Insurance Policy Summary which can be found within the ‘My documents’ area of the salary sacrifice website once you’ve clicked through from your account.

If the incident is the fault of a traceable third-party Zenith will make all reasonable effort to recover the losses via their chosen third-party supplier (including the excess). Any amounts recovered will be subject to an administration fee of 12.5% plus VAT. This will be deducted from the recovered amount and the remainder will be reimbursed to you via payroll.

For more information, refer to your employer’s policy.

Yes, you should tell your employer, Zenith and the insurance broker (if applicable). Details can be found in your salary sacrifice scheme policy.

You are responsible for the cost of all parking fines, fixed penalty charge notices, camera offences, bus lane contraventions, and congestion charges and all other fines, charges or penalties incurred whether the car is being used for business or private purposes.

You must inform your employer, Zenith, and insurance broker, as we need to be able to make you aware of any fines, MOT due date or recalls (especially if they are issued by the police).

Please contact us using your dedicated number which you can find when you log into your ‘My Account’ area.

You will be sent a copy of your insurance certificate via email before the delivery of your car. Please keep this safe.

If you need it after this point, please contact Zenith using your dedicated customer number or email address (these can be found when you log in to ‘My Account’).

Please make sure you check the certificate carefully to ensure the registration number appears correctly and all drivers are named.

You have three options:

• Stay on the scheme and order a replacement car
• Purchase the car
• Return the car

In some circumstances, you may have the opportunity to extend the term of your car, but this is not guaranteed and is on a case-by-case basis.

For more information, please refer to your employer’s salary sacrifice car scheme policy.

Due to the short lead times and varying stock availability, the earliest you can order a used car is 28 days before your current salary sacrifice arrangement ends.

As new cars have longer lead times, new car orders can be placed several months before your current salary sacrifice arrangement ends.

If you opt for the car to be collected from you (either at the end of the agreed period of use or earlier), you will need to pay the collection costs. The current cost of collection is a maximum of £1.40 per mile (with a minimum charge of 100 miles) and you will be advised of the cost before it is taken.

If there is damage on the car above the BVRLA fair wear and tear guidelines missing items or you have missed any routine maintenance, this will carry a cost to you. Zenith will confirm these costs after the vehicle has been returned and inspected.

Excess mileage is chargeable at a pence per mile rate which will be confirmed when you order but under mileage will not be reimbursed. The final mileage reading will be taken at the de-fleet centre.

Any charges at the end of the agreement, will be taken via payroll after tax. Zenith will advise you of the costs before they are taken.
Please note that these charges can be charged after your last regular salary deduction.

Before returning the car, you need to:

• Thoroughly clean the car, for guidance on how to do this, visit: ‘Road Ready’ cleaning guide
• Remove your personal plate and complete the necessary paperwork.
• Return all accessories and equipment you were provided with.
• Leave service history paperwork in car.
• Make sure the car has 50% charge or ¼ tank of fuel.
• Log or repair any damage.

View our Car Return Checklist here.

Salary sacrifice deductions are taken in arrears, which means you do not make your first payment until the month after delivery of the car. When the car is returned you will have remaining deductions to cover the total period of use.

For example, if you take delivery of the car on 10 June 2030 and you receive your salary on the 28 of each month, your first deduction will be on 28 July 2030 (covering the period 10 June – 9 July 2030). If your agreed term is 36 months and you return your car on 10 June 2033, your final deduction will be on 28 July 2033 (covering the period 10 June – 9 July 2033).

When the car is returned your employer’s payroll team will reconcile your payments and advise of any further deductions that may be required (for example if you had payment breaks due to maternity leave, long term sick leave, or other arrangements made with your employer). If you keep the vehicle past the agreed end date you will be charged a pro-rated daily rate taken via payroll.

We will only use your personal data when it is necessary for our legitimate interests or when we are required to do so by law. We may use your personal data to:

• Provide and manage our services
• Process payments
• Verify your identity
• Monitor and improve our services
• Comply with legal and regulatory obligations
• Prevent, detect and investigate fraud, money laundering and other criminal activities

You can find more information about our Privacy Policy here.

For more information on our Complaints policy, visit: Summary Complaints Handling Procedures | Zenith

By accessing www.zenith.co.uk and any of our driver websites, you agree to be bound by these terms of use.

The phrase ‘stock vehicle’ refers to vehicles that can be obtained more quickly than a standard factory order, or any vehicle with a faster delivery time.

This is the amount of time it typically takes for your car to arrive, dependent on the model you choose and is subject to change. We’ll keep you updated on the expected delivery date and do our best to ensure you receive your order as soon as possible.

A ‘Faster Delivery’ indicator tab is displayed if the estimated delivery time is less than 8 weeks.