Leasing a folding bike as a company bike can save tax and convert salary. For leasing a folding bike as a company bike, the key points are: salary conversion, the tax advantage of the 0.25% rule for bicycles, and the contract terms. The tax advantage of a folding bike as a company bike applies when the bike is used mainly for commuting.
How Company Bike Leasing Works
The employer leases the folding bike and passes it to the employee. The lease rate is deducted from gross salary. This reduces the taxable income. For the salary conversion with a company folding bike, the tax and social security savings usually outweigh the private use value. The 0.25% rule applies to bicycles and pedelecs (25 km/h). For S-pedelecs, the 1% rule applies.
The 0.25% Rule for Bicycles
With the 0.25% rule, only 0.25% of the list price per month is taxed as a non-cash benefit. For the 0.25% rule on the company folding bike, this significantly reduces the tax burden compared with the 1% rule for cars. A folding bike with a list price of 2,000 EUR results in a taxable benefit of 5 EUR per month.
| Vehicle type | Rule | Monthly taxable benefit (2,000 EUR) |
|---|---|---|
| Bicycle / pedelec (25 km/h) | 0.25% | 5 EUR |
| S-pedelec (45 km/h) | 1% | 20 EUR |
| Car (combustion) | 1% | 20 EUR |
Contract Terms and Risks
Check the lease term, the monthly rate, and the handling of insurance and maintenance. For the contract risks of company bike leasing, pay attention to the final payment, early termination, and what happens if you leave the company. A lease term of 36 months is common.
Is Company Bike Leasing Worth It?
For employees with a high tax rate, the savings are greater. For low earners, the advantage may be small. Calculate the net cost: lease rate minus tax savings minus the employer subsidy.
Frequently Asked Questions
Can I lease a folding bike as a company bike?
Yes, folding bikes and pedelecs qualify for company bike leasing with the 0.25% rule. Ask your employer about the provider.
How much tax can I save with a company folding bike?
With the 0.25% rule, the taxable benefit is low. The actual saving depends on your tax rate and the employer subsidy. Calculate the net cost.
What happens if I leave the company during the lease?
The lease usually continues or must be settled. Check the contract terms before signing. Some providers offer a takeover option.
Is insurance included in company bike leasing?
Often yes, but not always. Check whether insurance and maintenance are included in the lease rate.
