How do I save money on the Bike to Work Scheme??
As an employee you save on the costs of cycling to work because your repayments come out of your salary before tax, USC and PRSI are deducted. This means that someone on the highest rate of tax will save almost half of the cost of a new bike and equipment.
How much can I spend on the Bike to Work Scheme, and how often can I use it?
There are 3 limits depending on the type of bike you bought. The limit (including related safety equipment) is:€3,000 for cargo and ecargo bikes.€1,500 for pedelecs and e-bikes.€1,250 for other bicycles.From 1 August 2020 to 31 December 2022 the limit for cargo and ecargo bikes was €1,250 and €1,500 respectively.Note: A cargo bicycle is a bicycle with a special purpose frame which has been designed to carry heavy loads, or passengers other than the rider. A container or a platform may be integrated into, or attached to, this frame in front of, or behind, the rider. An e-cargo bicycle is a cargo bicycle with a pedelec configuration. A bicycle cannot be converted into a cargo bicycle by simply attaching a container or a trailer. The frame must be specially designed to carry large or heavy loads or passengers.As an employee, you can use the scheme once every 4 years. The four-year span between tax breaks is counted by tax year. If you bought a bike in 2020, regardless of the month, you could buy a new bike and avail of the next tax relief in January 2024.
What equipment does the Bike to Work Scheme cover?
The scheme covers the following items, which must be bought as new (not second-hand):New bikes and pedelecs (electrically assisted bikes that require some effort to propel)Cycle helmetsBells and bulb hornsLights (including dynamo packs)MirrorsMudguards and skirt guardsCycle clipsPanniers, luggage carriers and strapsLocks and chainsPumpsPuncture repair kits, cycle tool kits and tyre sealantReflective clothingBike reflectorsChild seats, helmets and trailers are not included.The scheme does not include motorbikes, mopeds, scooters or second-hand bicycles or equipment or bicycle parts or associated equipment.