Job offer - help with paying for private fuel

nutmegman

Hi, hopefully someone can help, here is an extract from a contract i have been offered


"The Company will pay for fuel used for approved business travel. You will be required to pay for fuel used for private use. The cost of private fuel is calculated as a proportion of the total fuel you purchase which has not been used for approved business use. Fuel may be purchased with a Company issued chargecard, subject to your agreement that the cost of private fuel may be deducted directly from your salary. "

How do i evalute this to arrive at my potential take home pay, is the fuel deducted before tax etc

all help welcome

fengirl_2

The fuel is deducted after tax as it is not tax deductable, being for private use.

nutmegman

fengirl wrote: »

The fuel is deducted after tax as it is not tax deductable, being for private use.

Thank you, does this mean that my private fuel is non taxable? this i just pay the cost price as in price per litre at the pump???

Ambermum

nutmegman wrote: »

Thank you, does this mean that my private fuel is non taxable? this i just pay the cost price as in price per litre at the pump???

You will probably have to keep a log of your business miles, then give the total mileage on your car each month. That will show how much mileage you have used privately. The cost of fuel for those private miles will be taken out of your take home pay, just as if you had paid it at the pump. So joyriding won't be quite so joyful come pay-day! Hope that helps.