How does bicycle leasing via end-of-year bonus work?
You may already lease a bike yourself, or you probably know friends or family who do so through their employer. More and more people are choosing a leased bike as a smart, tax-efficient alternative for commuting. Bike leasing is booming. No surprise there! Gliding to the office with the morning sun on your face…
For employers, offering bike leasing has become almost a must-have in their package of fringe benefits. But did you know that you can use not only your gross salary but also your end-of-year bonus to lease your dream bike?
In this article, we’ll explain exactly how bicycle leasing via the end-of-year bonus works and what the advantages and disadvantages are for you. Sit back, relax, and read on...
How does bicycle leasing via end-of-year bonus work?
With bicycle leasing via your end-of-year bonus, you put (part of) that bonus towards leasing a bike. Instead of receiving the full bonus in cash, the amount (or part of it) is used to cover the lease cost of your bicycle. This is only possible if your sector or your employer has an agreement in place that allows it.
How does it work in practice? If the joint committee in your sector permits bicycle leasing via the end-of-year bonus, you can request your employer’s approval. Once you get the green light, you can select a bike that fits your needs and budget through the leasing partner. You then exchange your end-of-year bonus (or part of it) to cover the lease payments.
And then... off you go! You’ll be on your bike in no time. And by the way, you can also use it privately in addition to commuting throughout the lease period.
What are the advantages of bicycle leasing via end-of-year bonus?
Leasing a bike through your end-of-year bonus offers plenty of tax and practical advantages:
- Fiscal benefit: redeeming your end-of-year bonus is exempt from social security contributions and taxes, resulting in a higher net benefit.
- Cost-effective: you enjoy a high-quality bike without the need for a large upfront investment.
- All-in formula: servicing, insurance, and roadside assistance are often included, preventing unexpected costs. Check with your leasing partner in advance to see what is and isn’t included.
- Wide choice: you can lease a broad range of high-end bikes, from electric city bikes to speed pedelecs and cargo bikes. Even sports bikes are an option: road bikes, mountain bikes, and gravel bikes.
And on top, cycling is a sustainable and healthy means of transport! It not only boosts your fitness but also helps reduce your carbon footprint.
What are the disadvantages of bicycle leasing via end-of-year bonus?
The benefits of bicycle leasing are clear, but there are a few things to keep in mind, including:
- No cash payment: the portion of your end-of-year bonus used for bike leasing will, of course, no longer be paid out in cash.
- Restrictions by sector: not all sectors or joint committees allow this option.
- Contract commitment: you are bound by the lease contract term.
- Possible costs: if you change jobs, there may be additional costs or administration involved in taking over or terminating the contract.
Want to know more about bicycle leasing via your end-of-year bonus? Our experts will be happy to help
Frequently asked questions
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Bicycle leasing via the end-of-year bonus is only possible if approved by the joint committee or the sector. Currently, agreements exist in the following sectors: JC 200 (Supplementary National Joint Committee for Employees), JC 207 (Petroleum Sector), JC 310 (Banking Sector), JC 329 (Socio-cultural Sector), JC 335 (Technology and Consultancy), JC 330 (Health Institutions and Services), JC 111 (Metal Industry – Manual Workers), JC 209 (Metal Industry – Clerical Workers), and Education (education and CLB staff via the Flemish government, from 2025).
Not every company in these sectors automatically offers bicycle leasing via the end-of-year bonus. Check with your employer or HR department to find out whether this scheme is available to you.
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With bicycle leasing via your end-of-year bonus, you use your annual bonus to pay for the lease. With gross salary exchange, you trade in part of your monthly gross salary instead. Both options have tax advantages, but the end-of-year bonus is typically a one-off, larger amount, while salary exchange spreads the cost monthly.
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Because your end-of-year bonus is part of your salary and influences pension accrual, using it for leasing may mean it is no longer counted in your future pension calculation. However, the impact is limited and depends on the size of the bonus and how often you exchange it.
