Using your own car for work?

[girlfriend44]

I don't mean driving to work, I mean using your own car as part of the job. Visiting People and Places etc as part of the Job.

Although you get paid mileage, that dosent really cover the true cost of using the car for example wear and tear?

You see alot of jobs say must drive but how many people are getting the true cost of using their car back.

Does it annoy you?

There’s no such thing as the HMRC rate. 45p is the maximum you can be paid tax free so most organisations use it to keep things simple for payroll purposes. Every NHS trust is a separate entity and makes its own financial policies.

If you’re driving short journeys through congested cities the mpg could easily be 15mpg

Under those conditions you probably wouldn’t be driving at all. Public transport would be quicker.

I do all my driving on short journeys in a big city. Most of my journeys are 3 - 13 miles. (When doing a long journey, I take the other car).
I would be very concerned if not getting 30 mpg.

@BIossomtoes not if you're doing constant home visits it isn't

I get 45p per mile but I end up making money on that as I'm paid from my front door and my Volvo is a dream to run

I receive around £350 per month tax free in mileage

It does seem unfair that the the lowest paid workers, domestic cleaners and carers, who will tend to do multiple short journeys which are tough on your car and they probably struggle to cover costs/ maintenance at .45p. Someone who covers 100 miles a day on a motorway will be making a profit.

Although you get paid mileage, that dosent really cover the true cost of using the car for example wear and tear?

It depends on what car you have.
I drive a 5 year old, efficient, low tax car that cost under £10k a couple of years ago.
The 45p a mile easily covers all the running costs of fuel, insurance, servicing etc. I find most months I can easily cover the running costs and most of the car loan.
In return I get to have car to use at weekends and holidays that costs me basically nothing other than the fuel for personal use.

Ouch What on earth are you driving that 45p a mile doesn't cover fuel.

I had a 7 seater car a few years back. Was still only a 1.6 engine though so didn't cost more to run than my current one

If 45p doesn’t cover your fuel you have a very thirsty car!

It’s set by HMRC, 45p. Take it up with the government and not your employer. It’s a real hassle accounting for the tax for paying people more. I’m a tax manager. If we pay more I always recommend a round sum annual amount which yes is taxable like salaries. We actually tell people to avoid driving and get trains buses and taxis.

I hope all of the people using their car for work have the correct insurance

When I was working in care we got 45p/mile for taking "clients" out, we were persuaded by the company it was a good deal and insurers would simply change your insurance to cover for work use.

The reality was that many insurers refused or wanted extra money for business use. There were also issues where one client got confused and opened the car door onto a bollard and another wet the seat, all at the expense of the car owner. Many refused to do it after that.

I claim 42p per mile, when I go into the head office I claim about £60 from the company in mileage allowance, and it costs me about £15 in fuel, so the remaining £45 is for the likes of wear and tear, insurance, depreciation etc.

It doesn't cover fuel, the extra insurance, the wear and tear etc. it's also short, city journeys I do in stop and start traffic and I have a diesel engined, big car .

My car costs around 12p-15p per mile, depending on roads and traffic.

Business use insurance doesn't cost me any extra.

I get 45p per mile plus 5p for each passenger.

This more than covers the wear and tear to my car.

Our team have stopped using their vehicles for work purposes until the mileage rate is increased.
I won't use my car anymore when I realised that in one year I drove nearly 4000 miles for work related journeys and they don't pay me for the depreciation of my vehicle.

But they do pay towards the minimal depreciation that 4000 miles would cause.

4000 miles equals about £1200 a year over and above fuel towards the cost of your car. I'd see that as a much appreciated nice little earner.

If they’re getting 45p a mile they’re idiots. 4000 miles is £1800, if that doesn’t cover all the expenses and then some I dread to think what you’re driving.

Agree with the last 2 posts.

I don't think your team have done their maths very well @Creamteasandbumblebees

Also it costs more to insure your car to use it for business rather than just commuting

Very little. It cost me about a tenner for the year.

Obviously there's so much to take into account, not just petrol. Tyres, insurance, servicing, mot, depreciation...