The tax, PRSI and USC you skip is the saving, so it's worth most to higher-rate taxpayers. Not every employer runs it, so ask HR first.
Quick facts
- Standard bike
- Up to €1,250
- E-bike
- Up to €1,500
- Cargo or e-cargo
- Up to €3,000
- How often
- Once every 4 years
- Repay over
- Up to 12 months
- Self-employed
- Not eligible
How it saves you money
Your employer pays the shop, then takes the cost from your gross pay in instalments. "You do not have to pay tax, PRSI or the Universal Social Charge on your repayments." "Your employer then sets up salary deductions over an agreed period of up to 12 months to recover the costs."
"The tax exemption does not apply if you pay for the bike and your employer reimburses you." The employer must pay the supplier directly.
The limits
"€3,000 for cargo and ecargo bikes. €1,500 for pedelecs and e-bikes. €1,250 for other bikes." The limits include safety equipment such as lights, locks, reflective clothing and panniers, but not second-hand bikes.
"As an employee, you can use the scheme once every 4 years." "If you bought a bike anytime in 2026, you can buy a new bike and receive the next tax relief in January 2030."
Who can use it
"Not every employer takes part in the scheme. However, if they do, they must offer it to all their employees." "If you are self-employed, you cannot take part in the Cycle to Work Scheme unless you pay PRSI as an employee in addition to your self-employed work."
You sign an agreement that the bike is mainly for getting to and from work. Public servants must use a shop on the approved suppliers' list.
Common questions
How much can I spend on the Cycle to Work Scheme?
Up to €1,250 for a standard bike, €1,500 for an e-bike or pedelec, and €3,000 for a cargo or e-cargo bike, including safety equipment.
How often can I use the Cycle to Work Scheme?
Once every 4 years, counted by tax year.
Can self-employed people use the Cycle to Work Scheme?
No, unless you also pay PRSI as an employee.
Can I buy the bike and get my employer to pay me back?
No. The tax exemption does not apply if you pay and your employer reimburses you.