Just recentley jacked in my company Golf GTI for an allowance, in order to by my v7 uk. My company gave me an extra £6k per year, which i thought was good..... or is it?

 

I would say that's pretty good, especially if they will pay you business mileage (which isn't taxed) as well. I think you can get something like 45p for the first 4k miles and then 25p per mile.

 

Is that before tax or after? Thats where it makes the difference.

Works out at £500 / month gross - about 3-350 after tax. (but you can get some back from the taxman!)

You should be able to buy plenty of cars on 350/month but remember to budget for maintenance / services / tyres etc... I would say this is about average for someone expected to use their car for business purposes. The highest I have seen is £700 AFTER tax! Yes, I work in IT....

My scoob costs me around £350 month and I save the rest of my 'allowance' to pay for upkeep, insurance, tyres etc... I even get a little left over for 'unofficial' maintenance (PPP...)

Mak.

 

Current mileage rate is 40p per mile for 10000 miles then 25p after that.

 

Before tax, PLEASE tell more on getting some money back off the fu****g taxman,or i suppose the best bet would be for me to ring them up.

I still get a better tax code though as i wont get taxed as having a company car now, but as for getting anymore at of them LET ME KNOW!

 

I get a car allowance, £450 pm before tax, I get all my petrol paid aswell.
Even though, I can still claim cash back from the tax man. I paid an accountant £100 to sort it all out, got about £1000 back last year from 20K miles(ish).
I have all the forms and info you need, so mail me and I'll sent them to you.
I'm offline for a while now, i'll be reading my email tonight.

 

Stevie, after handing back the company scoob, my tax code changed from K (negative)456 to positive 345 L in my favour and not theirs (included petrol card). That is a reasonable return in terms of money back along with your allowance, which you must also consider.

Cheers

Jim

 

My allowance £10k pa before tax

Hugh

PS Useful also being the author of the policy

 

I get around £500 month allowance before tax.
After tax is this is £300. (40% )
I am saving £140 in company car tax and £95 in fuel tax.
This leaves me £535 "Better off" a month to fund my own car.
I get 45p/25p a mile for business.

This is enough to run my STi7 without too much of a loss.

My Mrs is luckier as she gets £600 p/m

Oh, and we both work in IT

 

My firm has have a nice little piece of software that can give you all the necessary details. Email me if you would like me to run your details through it. There will have to be a small charge but could save you money in the long run.

BB

 

ProperCharlie is quite right, you can claim tax relief for using your private car for business travel.

There are 2 methods of calculating the tax relief:

The simple method; 45p/mile for the 1st 4,000 and then 25p/mile (cars 1400 - 2000cc)

or

The Exact method; Calculate all of the running costs (car tax, Insurance, service, petrol etc.) and apportion the costs for the business mileage.

From the 2002/03 tax year, costs can only be calculated using the Inland Revenue Authorised rate of 40p per mile for the first 10,000 miles and 25p per mile thereafter. This rate applies irrespective of engine size. The Exact method will no longer be available.

Roger

 

I am currently getting £800.80 per month before tax.

I use this to fund my MY99 PPP Turbo, and have some cash to spare
for maintenance, fuel etc.

I also run an old Cavalier for commuting purposes, as I don't
want to put too many miles on the Scooby (my daily commute is a
150 miles round trip).

Andy.

 

I currently get 600 p/m before tax and because of the high mileage I do my tax code has been adjusted and it works out at only losing about £10 a month in tax.

Pay £350 a month for a scooby and pocket the rest However I pay £119 a month in insurance due to needing business cover and very little no claims

I am in Software Pre Sales - Our Sales guys get loads more !!!!!

 

Also remember you can claim back money on interest paid on loan of car.

I.E

Interest paid in year £2000
If 50% of the cars use was on company business, then
you can claim back half of this ie £1000.

at 40% tax thats £400
and 25% tax £250

Every little bit helps.

Jonathan

 

I get ~£450 car allowance before tax + a petrol card for personal & business mileage.

I'm in a lower tax bracket than all you rich IT people so I'll be paying between 20-25% of the £2860 taxible benefit for having the fuel card. So I'm "only" having to pay £572-£715 for a years petrol, and I'm likely to spend a lot more than that (at the current rate I'm filling up!)

Matt

 

Chins,

Finance interest is no longer claimable, since 6 April 2002.

Only mileage at 40p for 10,000 miles then 25p per mile.