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Varying a salary sacrifice agreement

Joined:Wed Aug 08, 2018 11:06 pm
Varying a salary sacrifice agreement

Postby AngryVATman » Tue Dec 21, 2021 10:17 am

A company is looking to introduce an electric vehicle salary sacrifice scheme. The managing director has indicated that he would like to be able to claw back from employees any excess mileage or repairs charges that arise at the end of the contract by way of salary sacrifice.

Am I correct though that this is not possible, and any recharge of additional costs at the end of the salary sacrifice agreement would have to be paid from net wages (assuming the employee agrees)?

Alternatively, is it possible to amend the amount sacrifice after, say, 12 months if it turns out the mileage being incurred is higher than originally anticipated?

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