Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

Search
  • FIRST POST
    • biggarnut01
    • By biggarnut01 29th Nov 17, 2:08 PM
    • 3Posts
    • 0Thanks
    biggarnut01
    Cash Allowance for Car
    • #1
    • 29th Nov 17, 2:08 PM
    Cash Allowance for Car 29th Nov 17 at 2:08 PM
    I'm being offered a cash allowance instead of a company car for a new salaried job and would appreciate anyone's guidance on the best way to make this financially work for myself so that I pay the minimum amount of tax and also so I can negotiate the best means for how fuel mileage is settled.


    Any thoughts welcome.
Page 1
    • engineer amy
    • By engineer amy 30th Nov 17, 9:01 AM
    • 627 Posts
    • 1,127 Thanks
    engineer amy
    • #2
    • 30th Nov 17, 9:01 AM
    • #2
    • 30th Nov 17, 9:01 AM
    Found these links which should be of some use to you.


    The first explains the tax implications of both with worked examples, and advises that the rules changed in April of this year (I wasn't aware), with different scenarios.
    The second allows a direct comparison. (I haven't checked this for accuracy, but hopefully will be a good guide)




    https://www.clm.co.uk/company-car-tax/#cash


    http://comcar.co.uk/cashorcar/


    Just remember that with the company car, the employer is generally responsible for insurance,tax, MOT, maintenance, depreciation etc etc. With a cash allowance, this becomes your responsibility. Depending on the mileage allowance the company will give you, this may make up for some of those costs plus wear and tear.
    Mortgage = 113,495 (May 2009) 72330 Feb 18
    Halifax CC 0% = 0!!! Car Loan = 0!!!!!
    PAYDBX16 #106 = 12377/12377 (100%)
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

421Posts Today

4,607Users online

Martin's Twitter