company car vs car allowance

zygurat789

cheesy*wotsit wrote: »

Oh god. I've looked through this thread and don't understand it at all. I'm starting a new job that includes a car allowance of £300 p/m. I know what car I want, petrol Ford Fiesta, CO2 of 99, value of about £18k after extras. How on earth do I work things out? Who pays the VED, who holds the V5 "log book" Help!!! :eek::o

All that you receive will be salary.
You buy the car
You pay for everything
It's all yours
you are responsible

cheesy*wotsit

zygurat789 wrote: »

All that you receive will be salary.
You buy the car
You pay for everything
It's all yours
you are responsible

Oo-er. Even the insurance? That's going to cost a fortune since I've got to have business use... haven't I? Company isn't very helpful in relation to this, they are very, hmmm 'closed'.

jimmo

cheesy*wotsit wrote: »

Oo-er. Even the insurance? That's going to cost a fortune since I've got to have business use... haven't I? Company isn't very helpful in relation to this, they are very, hmmm 'closed'.

A car allowance is a monthly sum of money, normally paid, and taxed, with your salary and is intended to enable you to buy or lease your own car and you then have to maintain the car because it is yours.

Some employers who provide company cars will give you a price list (of how much it will cost them to provide different cars) and let you choose any car you like subject to a maximum monthly cost.

In that case you would not be getting a car allowance, you would be getting a company car.

If you can clarify which you will be getting we may be able to help but I fear you have a lot to learn in not very much time.