Salary Calculator with car allowance

biancazzuri

Hi All!

I'm just about to switch jobs which includes a car allowance. For budgeting purposes, I would like to calculate my take home pay (and tax/NI) after feeding in elements such as pension % but also car allowance which is not pensionable.

I see that thesalarycalculator is fairly comprehensive but does not include a field for car allowance. Should I just enter the car allowance amount under 'Bonus' and just add the Year Total to the Bonus Period to work out the take home amount? If this is not the right way to do it then does anyone know of an alternative calculator?

In the absence of a perfect calculator, if I throw out some made up numbers would someone be able to shed some light on the calculations/methodology please? :-

Salary £60kpa
Car allowance £10kpa
Pension contribution 6%
Tax code 1100L

Apologies if I'm posting this in the wrong place or has been answered previously.

Thanks in advance!

JReacher1

I think car allowance is just classed as salary. I don't believe there are special tax rules for it.

Add car allowance to your salary and stick it in the salary calculator.

biancazzuri

If I do that and put in 6% pension, then will it not apply that contribution to the total £70kpa, when in fact it should only be against the basic pensionable salary of £60k?

maninthestreet

https://www.thesalarycalculator.co.uk

biancazzuri

Thanks. This is the site that I am already looking at - it doesn't have a car allowance field. So my question is whether it's appropriate to use the 'Bonus' instead?

hcb42

whether you put it in bonus or add it to salary, it will still be treated as salary


If you don't pay pension on the car element of salary you could just add this back on, it is not going to be much, assuming an average car allowance of £400-£500 per month

redpete

Add the car allowance to the basic salary and reduce the pension % so that the actual amount in £ for pension is correct (in your example salary = 70000, pension = 5.14%).