Car Ins - NCD after company car

biglugs

Not having a company car means you are free to drive an old banger which costs you a lot less than the tax. But that means a much older car, with massive risk in terms of repairs and maintenance, depreciation, insurance etc.
I have a fully expensed company car which costs hundreds in tax each month but I still wouldn't give it up because I have absolutely no motoring worries. As a company we have looked into the idea of allowing staff a cash option instead, and whichever way we looked at it we just couldn't see any staff benefit whatsoever in going down that route - so for my company if you need a car for business it has to be a company one!
But the biggest bonus of all is not having to haggle with dodgy car dealers for second hand motors.

nearlyrich

biglugs wrote:

I have a fully expensed company car which costs hundreds in tax each month

My Audi A3 has a P11D value of £4666 (I think that's the right number) according to the tax office that means I pay just £1200 more tax per year which works out at roughly £25 per week, the insurance on that car would cost me £800 per year at last years rates. I think many people get confused with the P11D value and the actual amount of tax they pay. However if the car is fully expensed the tax on the fuel benefit or fuel card is in addition to the tax on the car so you might pay more than if you buy the fuel and the company reimburse you for business miles. I don't spend too much on my private miles because I shop around for my petrol, it usually works out that I buy a couple of tanks per year when I am off say at Christmas or if we go away for a long weekend and drive a few miles.