Cycle To Work Scheme Ireland Calculator

Cycle to Work Scheme Ireland Calculator

The Cycle to Work Scheme Ireland Calculator helps employees in Ireland estimate how much they can save when purchasing a bicycle and safety equipment through the government-approved Cycle to Work Scheme. This free online calculator shows your tax savings, net cost, and monthly salary deduction based on your income tax band, PRSI, and USC.

Whether you are buying a new bike for commuting, fitness, or environmental reasons, this calculator makes it easy to understand how the Cycle to Work Scheme in Ireland can significantly reduce your overall cost.

Looking to calculate loans, repayments or savings? Browse our full collection of money and finance calculators designed for Ireland.

What Is the Cycle to Work Scheme in Ireland?

The Cycle to Work Scheme is a tax-efficient government initiative in Ireland that allows employers to purchase a bicycle and safety equipment for their employees. The cost is recovered through salary sacrifice, meaning repayments are taken from your gross salary, reducing the amount of tax you pay.

Key Features of the Cycle to Work Scheme

• Available to employees in Ireland

• Tax-free purchase of bicycles and safety equipment

• Maximum limits:

  • €1,500 for standard bicycles

  • €3,000 for e-bikes

• Repayment period is typically 12 months

• Savings include:

  • Income Tax

  • PRSI

  • USC

What Is the Cycle to Work Scheme Ireland Calculator?

The Cycle to Work Scheme Ireland Calculator is a free online tool that estimates your total savings under the scheme. By entering the bike cost and selecting your tax rates, the calculator instantly shows:

• Total tax savings

• Net cost after tax relief

• Monthly salary deduction

This calculator is ideal for employees who want to quickly check how much a bike will really cost them under the Cycle to Work Scheme in Ireland.

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How to Use the Cycle to Work Scheme Calculator

Using the calculator is quick and simple:

1. Enter the bike and equipment cost (up to €1,500 for standard bikes)

2. Select your income tax rate (20% or 40%)

3. Choose your PRSI rate

4. Select your USC rate

5. Click Calculate Savings

The calculator will instantly display your savings and repayment breakdown.

How Does the Cycle to Work Scheme Calculator Work?

The calculator works by applying Ireland’s tax rules to your bike purchase:

1. The bike cost is deducted from your gross salary

2. Your total tax rate (Income Tax + PRSI + USC) is applied

3. The calculator estimates:

   • Total tax savings

   • Reduced net cost

   • Monthly deduction over 12 months

Because repayments are made before tax, the scheme can reduce the cost of a bike by up to 52%, depending on your tax band.

Why Use Our Cycle to Work Scheme Ireland Calculator?

There are many reasons to use the CalcIreland Cycle to Work Scheme Calculator:

• 🇮🇪 Designed specifically for Ireland

• 📊 Accurate tax-based savings calculation

• ⚡ Instant results with no registration

• 📱 Mobile-friendly and easy to use

• 🔒 No personal data stored

• 🆓 Completely free

This calculator helps you make an informed decision before applying for the Cycle to Work Scheme through your employer.

Example: Cycle to Work Scheme Savings in Ireland

If you purchase a bike costing €1,500 and are on the 40% tax band, including PRSI and USC:

• Total tax savings: ~€780

• Net cost to you: ~€720

• Monthly deduction: ~€60 over 12 months

Actual savings may vary depending on your exact tax rates.

Who Can Use the Cycle to Work Scheme?

The Cycle to Work Scheme in Ireland is available to:

• Full-time and part-time employees

• PAYE taxpayers

• Employees whose employer offers the scheme

Self-employed individuals are not currently eligible.

Frequently Asked Questions (FAQs)

Is the Cycle to Work Scheme tax free in Ireland?

Yes. Bikes and approved safety equipment purchased through the scheme are tax free, as repayments are made from your gross salary.

How much can I save using the Cycle to Work Scheme?

Savings can range from 30% to over 50%, depending on your income tax band, PRSI, and USC rates.

What is the maximum limit for the Cycle to Work Scheme?

• Standard bicycles: €1,500

• E-bikes: €3,000

How long does repayment take?

Repayments are usually spread over 12 months, though some employers may offer shorter periods.

Can I use the Cycle to Work Scheme more than once?

Yes, but generally only once every 4 years, unless your employer allows otherwise.