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New Job - Car Allowance Etc

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Hi All

I'm hoping you can help. I have been offered a new job and I have also been offered a company car and fuel card. I'm trying to work out if my salary will actually be any better if I take it.

I am currently on £25k and have virtually no commute. This new job is £31k (6k Increase) and I will be commuting 640 miles a week. They have offered me a 'Band A' car ( which i'm assuming s the cheapest band) or a car allowance of £4350. I would do minimal private mileage outside of this (perhaps 5k a year).

I am getting confused with all of the calculators etc. and what I really want to know is will I be better off after all of the company car tax and private fuel tax.

I will sell my old car if I take the company car which has cost me about £500 over the last three years.
I am not really fussed about the company car type as long is its comfortable for long journeys, but I don't know what is available until I accept the job!

Thanks

Comments

  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    The company car and fuel would depend on the list price, fuel type, co2 etc. Without this it's impossible to comment on figures.

    You only pay tax on a company car and fuel, no NI. You also don't have other expenses such as insurance/not/repairs etc.

    The car allowance is essentially just extra salary so taxed/NIC the same way.
  • jimmo
    jimmo Posts: 2,287 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Just to add to post 2 commuting is private mileage for fuel tax benefit purposes so you will need to know whether your employer will actually pay all that or will charge you for your private mileage.
    However I rather think that if I expected to do in excess of 30,000 (private) miles a year I would go for a company car regardless of the tax consequences.
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