HMRC Mileage Rates....

MrRedundant

wealdroam wrote: »

So is it a benefit or not?

You don't seem too sure.

Well if you weren't too busy being a smart !!!! you would know the 40p/25p approved mileage rates have nothing to do with the BIK threshold at all.

;););););)

thescouselander

Lifes_Grand_Plan wrote: »

If you have the car for your own reasons then you have to pay the purchase cost, insurance, maintenance etc anyway...

So what car do you drive that it costs more than 40p per mile in petrol and a small contribution towards insurance / wear and tear etc?

My car gets 70mpg and costs 8p per mile to run.

Even if your car did 20mpg then that would only be about 30p per mile fuel cost leaving 10p per mile contribution to upkeep and wear & tear...

I think you are underestimating the cost of running a car.

The business use on the insurance can add quite a bit depending on who you are insured with - clearly I wouldn't need this at all if I don't use it for work. I only got it included at no cost on my current insurance by severely limiting my business usage - its a significant cost anyway.

Wear and tear can be significant too - quicker use of tyres and breaks etc. Added miles to the car - stone chips on the bonnet etc etc.

The point is I might use my car for work but on my terms - with the costs of motoring rising and the milage rates staying static I will tend to use my car less for work. This means my employer has to pay for alternative arrangements at higher cost - if other people are forced into the same view its hardly going to help businesses.

vaio

I think half the trouble is that the rates aren't keeping pace with even general inflation let alone fuel/insurance inflation

I remember getting 65p/36p in the 90s/early 00s which dropped to 40p/25p in 2002 and hasn't changed since.

The drop was touted as part of the battle against global warming whereas in reality it's just another tax on motorists/employees who are required/pressurised to provide their own transport for their employers business