Company Car OPT Out drivers.
04-12-2005, 02:17 PM
#1
PassionFord Post Whore!!
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Company Car OPT Out drivers.
What schemes do your company offer and is it worth while?
Our offer 40p a mile for 866miles
then 25p for the next 1500 or more
then 10p there after.
Our offer 40p a mile for 866miles
then 25p for the next 1500 or more
then 10p there after.
04-12-2005, 11:46 PM
#3
PassionFord Post Whore!!
At those rates, I'd tell them to give me one of their cars and see them buy, tax, insure, maintain and fuel it!
However, the rates you quote look more like reimbursement for putting fuel in a company car. I get 16p/mile for fuel in my company car and so in just 10,000 business miles I'm £115.20 better off than you would be!
If they are supplying one of the efficient ECO schemes where they buy, tax, maintain and insure the car and you sign a loan agreement for it but get an allowance for most/all of the payment cost, then the rates are fair enough so long as you can choose a car you want to drive.
When using your own car for business, your employer can pay you up to 40p/mile for 10,000 miles per annum, then 25p/mile for any mileage over that level. Any reimbursement above these rates is taxable or, as BigNige says, you can claim tax relief on any shortfall.
Be aware, though, that the Government are reviewing the Approved Mileage Rates because they may be too high and encouraging drivers out of company cars and into private cars that are often older, less efficient, and more polluting or less well maintained. Or maybe its the loss of the BIK tax that is bothering them? Either way, committing to an ECO scheme that depends largely on mileage reimbursement to work is not a good thing to do right now.
However, the rates you quote look more like reimbursement for putting fuel in a company car. I get 16p/mile for fuel in my company car and so in just 10,000 business miles I'm £115.20 better off than you would be!
If they are supplying one of the efficient ECO schemes where they buy, tax, maintain and insure the car and you sign a loan agreement for it but get an allowance for most/all of the payment cost, then the rates are fair enough so long as you can choose a car you want to drive.
When using your own car for business, your employer can pay you up to 40p/mile for 10,000 miles per annum, then 25p/mile for any mileage over that level. Any reimbursement above these rates is taxable or, as BigNige says, you can claim tax relief on any shortfall.
Be aware, though, that the Government are reviewing the Approved Mileage Rates because they may be too high and encouraging drivers out of company cars and into private cars that are often older, less efficient, and more polluting or less well maintained. Or maybe its the loss of the BIK tax that is bothering them? Either way, committing to an ECO scheme that depends largely on mileage reimbursement to work is not a good thing to do right now.
05-12-2005, 01:14 AM
#4
PassionFord Post Whore!!
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the other approved mileage rates are shocking though
i only get 9p per mile fuel allowance in my company car... I can onl break even if i take half an hour to accelerate up to 56mph and hold it... lol
my opt out scheme just gives you a payment per month in place of the car... i.e. id get £250 I think - but insuring, buying and maintaining a car aint worth it IMO
if youre opting out like this though you get fuel rates as per the company car drivers
i only get 9p per mile fuel allowance in my company car... I can onl break even if i take half an hour to accelerate up to 56mph and hold it... lol
my opt out scheme just gives you a payment per month in place of the car... i.e. id get £250 I think - but insuring, buying and maintaining a car aint worth it IMO
if youre opting out like this though you get fuel rates as per the company car drivers
but i get a pretty good car allowance 
05-12-2005, 06:57 AM
#6
PassionFord Post Whore!!
MBrian
The other rates are for using a company car and the Government had pledged to review them whenever fuel costs increase by 10%, but that was just another broken promise.
However, the rates WERE increased a month or two ago but only for cars over 2 litres. So much for encouraging drivers to choose smaller cars!
Your employer could pay more but you would have to pay income tax on the difference. ACFO and various other bodies have been campaigning because it has become impossible for pay and reclaim drivers to cover their costs at these rates and
The other rates are for using a company car and the Government had pledged to review them whenever fuel costs increase by 10%, but that was just another broken promise.
However, the rates WERE increased a month or two ago but only for cars over 2 litres. So much for encouraging drivers to choose smaller cars!
Your employer could pay more but you would have to pay income tax on the difference. ACFO and various other bodies have been campaigning because it has become impossible for pay and reclaim drivers to cover their costs at these rates and
05-12-2005, 11:04 AM
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my fookin focus is about 1999 CC
just misses out!!!
I drove 100 miles last night feathering the throttle - got the mpg showing 63!! constant 56 mph on a dual carriageway
gauge usually reads between 35 and 43mpg - which knock off the error of 3 mpg and I only get between 32-40 mpg and need about 45mpg to break even.
just misses out!!!
I drove 100 miles last night feathering the throttle - got the mpg showing 63!! constant 56 mph on a dual carriageway
gauge usually reads between 35 and 43mpg - which knock off the error of 3 mpg and I only get between 32-40 mpg and need about 45mpg to break even.
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