Company car options/advice

zoole

Hi just been offered a new job with a company car/allowance, happy days. However I drive a 14 year old car, bought cheaply 5 years ago, well maintained, well specced, more than happy with it.

The company state that I need to have a car less than 5 years old, which is obviously a common policy. Just wondering what people feel the best options are. Also, can a company dictate the AGE of the vehicle I drive, considering its MOT'd, taxed, insured etc etc.

Cheers for any thoughts!

TadleyBaggie

zoole wrote: »

Also, can a company dictate the AGE of the vehicle I drive, considering its MOT'd, taxed, insured etc etc.

Of cause they can, it's their policy and breaching it could very well be a disciplinary matter. Whether they enforce it strictly is another matter.

zoole

Just seems a little strange, although I guess if you have to wear a uniform for work etc etc. Quickest job I was ever given after interview (15 minutes!) shorted job I've ever had now I think. The car allowance made the salary more reasonable....

Car_54

zoole wrote: »

Also, can a company dictate the AGE of the vehicle I drive, considering its MOT'd, taxed, insured etc etc.

Are they dictating the age of the car you drive, or simply attaching conditions to the money they pay you?

Would they be happy for you to drive your 14-y-o car and forego the car allowance?

I suspect their answer would be that you'd failed the IQ test.;)

fatrab

A lot of companies have strict requirements when it comes to car allowance. My current employer pays full allowance on vehicles up to 10 years old (or less if older - see below), but my last employer only allowed cars up to 7 years old and the emission levels allowed depended on your pay grade! I was Band C so my car had to be less than 7 years old and up to 130g/km CO2.

Another common clause in some company car allowance t&c's is that if your car is older than their preferred age, then a percentage of the allowance is deducted. My current employer deducts 10% if vehicle is over 10 years old.

A company I used to work for had a policy in place where vehicles over 10 years old had to undergo an annual inspection over and above the MOT which was carried out by an approved Autocentre at the cost of the employee.

I've also seen stipulations relating to the number of doors and the body type.

I'd query the 5 year rule with the HR department and find out if there's any scope for you to use your current vehicle at a reduced rate of allowance. If not then your snookered.

bengalknights

zoole wrote: »

Just seems a little strange, although I guess if you have to wear a uniform for work etc etc. Quickest job I was ever given after interview (15 minutes!) shorted job I've ever had now I think. The car allowance made the salary more reasonable....

The car allowance although taxed should not really be considered part of your salary but for exactly that to use against a vehicle.

In this case the employee can state there requirements for vehicle although you can check with them to see if they are willing to compromise or reduce the allowance for your current vehicle.

sillygoose

Employers have a 'duty of care' for employees, if they send you out to work in a car, even if its your own they can, and have been held responsible for your safety whilst doing so.

Its quite legitimate for them to specify a 'safe' age and mileage, type of vehicle and insist tyres and servicing are kept up to date.

If your the director of a company at risk of doing jail time if an employee cripples himself in an old car working for you, wouldn't you?

Setting these stipulations give some element of defence for the directors that they took reasonable steps to mitigate the risk.

Get a cheap loan and buy a decent 3 year old car with your car allowance, Hyundai or Kia with plenty of warranty still to run. Easy.