How Work Ride Works
Workride is a free benefit scheme in which employees can benefit from a 32-63% cost offset on the sale price of a new bike, e-bike or scooter using tax exemptions. Staff get to choose any bike, e-bike or scooter for their commute from approved stores across New Zealand.
HOW DO YOU SAVE?
Workride operates on a " valid salary sacrifice" model, where employees sacrifice part of their pre-tax salary for a chosen ride.
Over 12-months employees will have reduced take-home pay while they effectively reimburse the cost to employers.
SIGN UP
Employers sign up with Workride and offer this benefit to their staff. It's a great way for employers to engage with and support their team.
CHOOSE YOUR NEW RIDE
Once an employer is on board, employees can pick out a bike or e-bike, for their commute.
RIDE AND SAVE
Over a 12-month period, you can use the new ride while the salary sacrifice effectively reimburses your employer in full.
With Workride employees reduce their tax bill through a combination of PAYE and ACC levy.
NEXT STEPS
As your 12-month lease with WorkRide concludes, you're presented with two straightforward options, both at no additional cost:
- Keep the Ride: Opt to lock in the savings by accepting the ride as a free gift from WorkRide, making it officially yours. The majority of our riders choose this option, enjoying a significant reduction from the initial value.
- Return the Ride: If you decide it's not for you, simply return it to one of our designated locations.
HOW DO YOU SAVE?
Workride operates on a " valid salary sacrifice" model, where employees sacrifice part of their pre-tax salary for a chosen ride.
Over 12-months employees will have reduced take-home pay while they effectively reimburse the cost to employers.
WORKED EXAMPLE
Workride operates on a "salary sacrifice" model, where employees opt to reduce their pre-tax salary to lease a bike or scooter. In addition to the tax savings, a small proportion of other contributions like student loans or Kiwisaver may also be redirected towards the ride, depending on its value. After the 12-month lease of your ride equipment, you will receive an email directly from Workride outlining your ‘Next steps’ options regarding ownership of the ride equipment.
For example, an employee with a $80,000 salary, 4% Kiwisaver, and Student loan, chooses a Specialized Bike valued at $6380, but it’s on sale in-store at $5200.
Through Workride, they salary sacrifice $100 pre-tax and their weekly take-home pay impact is only reduced by $49, totalling an annual net contribution of only $2572 towards the ride. This arrangement benefits both the employee and employer, offering tax savings and financial flexibility.
