Estimate what an electric vehicle would cost you through salary sacrifice, and how much you could save compared to a personal lease.
This EV salary sacrifice calculator uses HMRC 2026/27 progressive income tax and National Insurance bands to estimate your costs. Enter your details below.
This is the gross monthly amount you would sacrifice from your salary.
The vehicle’s list price including VAT and delivery.
Used to estimate monthly fuel and electricity costs.
Enter your details and click Calculate to see your estimated costs.
These figures are estimates based on HMRC 2026/27 rates. Income tax bands: 20% basic, 40% higher, 45% additional. Personal allowance: £12,570 (tapers for income over £100,000). Employee NI: 8% (£12,570-£50,270), 2% above. BiK rate: 4% for fully electric vehicles. Employer NI: 15%. This calculator does not account for pension adjustments, student loan deductions, or Scottish/Welsh income tax rates.
A side-by-side view of what you pay each month through salary sacrifice compared to running a petrol equivalent.
Enter your details above and click Calculate to see the full electric vs petrol cost comparison.
Three simple steps to estimate your salary sacrifice costs.
This is your total salary before any deductions. You can find it on your payslip or employment contract. The calculator uses this to work out your current tax and National Insurance position.
The monthly lease cost is the gross amount that would be deducted from your salary. The vehicle’s P11D value (list price including VAT and delivery) is used to calculate your benefit-in-kind tax. Your scheme provider or employer can give you both figures.
The calculator shows what the car would actually cost you each month after tax and NI savings, and how this compares to leasing the same vehicle privately. It also shows what your employer saves in National Insurance.
Use this salary sacrifice car scheme calculator to see what a new electric vehicle would cost you each month. Here is a step-by-step breakdown of the calculation.
When you enter a salary sacrifice arrangement, the monthly lease cost is deducted from your gross salary before income tax and National Insurance are calculated. This means you save tax and NI on the amount you sacrifice. The calculator works out your income tax and NI on your full salary, then again on your reduced salary, and shows you the difference.
At the same time, HMRC charges you benefit-in-kind tax on the company car. For fully electric vehicles, this is calculated as 4% of the vehicle’s P11D value (list price). That BiK value is added to your taxable income, so it is taxed at your marginal rate. Because the BiK rate is so low for EVs, the tax charge is almost always much less than the tax and NI you save.
The net effect is that your monthly cost for the car is the lease amount minus your tax savings minus your NI savings plus the small BiK tax charge. Our salary sacrifice car calculator accounts for income tax, National Insurance, and the 4% BiK rate for electric vehicles, using the full progressive UK tax bands so that a sacrifice straddling the basic and higher rate boundaries is handled automatically.
More tools and guides for drivers and businesses going electric.
Full guide to how salary sacrifice works, with worked examples
OpenBenefit-in-kind rates and the company car vs allowance decision
OpenContract hire, finance leasing, and tax advantages
OpenAll EV tools, guides, and comparisons in one place
OpenCommon questions about this salary sacrifice calculator.
Content produced by
Ryan is the founder of Brumble and has over a decade of experience in the UK motor finance and insurance industry. He created Brumble to make it easier for UK drivers to understand the insurance and finance world by cutting through the jargon.
Originally published: 18 June 2026 · Last updated: 18 June 2026
EV Zone