Does anyone know anything about lease cars and maternity leave?

[Fgg3]

I'm panicking I've made a big mistake. I work for the NHS and decided to order an electric car through their lease scheme as they're doing no BIK deals at the moment which are very reasonable. I'm also 21 weeks pregnant.

I thought I'd done my reading carefully. It'll take several months for the car to arrive, so the salary sacrifice won't affect the assessment of my maternity pay (I'm in the middle of my assessment period now, so what I earn now is what my maternity pay will be based on).

However I'm worried about when I'm actually on maternity leave. Obviously my pay will go down. If it takes me below minimum wage, will they remove the salary sacrifice element and make me pay the salary deduction instead? It's twice the cost! I'm a Band 6 and looking to take 11 months off, averaging my pay throughout.

My partner interprets that they can't, because my technical salary remains the same whilst I'm off, I just don't get paid all of it. I don't see it that way and just see that I get paid less therefore I may have to switch to salary deduction or hand my car back.

They've just placed the order for the car so I may have to pay £500 to cancel it now, plus I'll still be needing a car

I'll call payroll on Monday but it's ages until then!

Am I missing something? You say you're 21 weeks now and the car will be provided in a few months' time. Presumably you knew you'd be starting your maternity leave then and you would be in receipt of maternity pay, rather than your normal pay?

Is your question whether you'd be able to keep the car and not pay for it during your maternity leave?

I looked this up and the rules seem horrifically complicated. And from what I understand it can depend on the employer so maybe not the same blanket rules for everyone. I'd ask your employer where you stand re this. No point in worrying before you have the facts.

Ordering a new lease car means op would get a brand new spanking September reg

My ex and I had company leases for the past 7 years. I'd avoid like the plague. It wreaks havoc on your tax code. You might think you're getting a good deal but they reap the benefits the other side. Exh was getting letters from hmrc every couple of months to say his tax code had changed.

Nice idea but not beneficial in the long run

I think there's lots of questions to be asked here. Firstly, we don't know the terms of your lease, so we can't comment. Secondly, it isn't clear whether you'd be getting SMP only or contractual pay on top, what does your contract say? We don't know that either. Clearly you should have enquired first with your HR & Payroll about the implications of this arrangement whilst you're on maternity leave and whether you'd even be eligible to enter into this lease now. I'm not entirely sure if this is actually possible if you'd be at risk of falling below NMW soon. You definitely need to speak to your HR & Payroll asap, that's not a question for MN.

I'm aware MN cannot give me the full lowdown on my individual circumstances.

Yes I knew I was going on maternity leave but I had thought I had looked into it. I'm absolutely entitled to keep my car during maternity leave, my concern is whether I can keep paying for it via salary sacrifice, or whether I have to pay salary deduction instead for the duration of my leave (which is twice the cost). I get contractual maternity pay, 8 weeks full pay then 18 weeks half pay - hence my assessment period now.

I was hoping someone had some personal experience given how many people work for the NHS. Anyone who has had maternity leave or long term sickness whilst leasing a car through the scheme may be able to tell me. It's a long time until Monday for me to worry about it and it was worth asking.

MN have been so helpful with various questions in the past it was worth an ask.

It's quite late. You might get more replies tomorrow. Or you could try posting in the money section. I'm a worrier too. Hope you get sorted out.

Thank you @Viviennemary, you're right I am a worrier!

Hi, I’ve just ordered a car through NHS this morning and now worrying about the same thing.
What happened in the end? I think I may cancel my order.

@Fgg3 @Asg92

In the same boat, I would love some updates on the issue.

Thank you

Hi there, I’ve found myself in the same position - on a salary sacrifice which has reduced my payable mat pay, now being told the car payment is deducted out of that reduced amount, is this what happened for everyone on here? X

Hi, Could you let me know what the outcome of this was please? In a similar situation myself. Have tried to contact payroll but not had a response and feeling a little worried about deductions coming off my reduced salary sacrifice maternity pay 😬 thanks x

Hi my lease car is due back half way through my maternity leave and fleet solutions say I cant extend the contract. Can I order a new car and pay the early termination fee before I go off on maternity? Fleet solutions say I need to have a significant life style change to order early, which obviously I have being pregnant but my organisation need to authorise it? HR no help and trying to speak to payroll is like trying to speak to the man on the moon.. stressed.com

Hi, I know this was last year but I’m finding myself in this position now. Can I ask what happened in the end with yours? Salary sacrifice team in the NHS Trust told me I could just keep the car and extend lease while on maternity leave but I’ve just found out today from NHS Fleet that this isn’t an option. Been told I can’t order a car whilst on maternity leave as finance team in the Trust will reject it. Maternity leave starts next week and my lease is up in December 🙈🙈 One thought I had was ordering a new one today and trying to pay the early termination fee on my current one.

@snug3 I am now in the same position, I just ordered a new car and my manager approved it but worried now payroll will reject the order based on current earnings, I am wondering if there is a way around it..., do you mind telling me what happened in your situation?