Good resources for what having a company car means.

[Wishihad]

Good morning

I have been offered a job on 40k. Substantially more than I am on now. The job also comes with a company car.

How do I work what my take home would be since, I think I would pay tax on the car. But not really sure how it works. Does it depend on what car it is etc?

Can anyone explain it or point me in the direction of an idiots guide to it?

Thank you

It does depend on the car purchase cost and the emissions and without knowing this its tricky to know for certain.
If you get to choose the car, go with a hybrid if possible as the emissions tend to be very low. It's made a big difference to my take home pay.

Brilliant. That's great news.

I have been head hunted, via an agency that works for them. Their is their third attempt at getting me to move to them.

The woman at the agency said she will find more details, but all she knows is that the person in my role at the moment, as a Mercedes. That's as much as she knows.

I can query this when I meet the director for breakfast next week.

Do I need a charging station at home for a hybrid......I realise I sound a bit thick...I am not I promise

Sorry, I forgot to check back.

Not for the car I have - Toyota CHR. It's not as a big as some I've had but to be honest I've been spoilt with some really nice company cars over the years and it got to a point where I thought saving money would be better for us.

This car just uses petrol and as it's running it charges (no idea how that works). For pottering around town the electric powers it and for motorways the petrol kicks in regularly. I think a tank costs about £40 and I want to say it does about 500 miles but I could be wrong.

I had an A-Class last year. Just remember the handbrake is on the right hand side on the dash. I had to phone my sister (who has one) before I could drive out of the carpark!

Well done on the job! I hope it goes well!

There's a calculator here that you can play with but it depends on what the deal is which you probably just can't know.

If you are expected to pay for fuel and then reclaim milage petrol costs then the numbers will work out very differently from if the company buys all the fuel and you are allowed to use it for private journeys at the company's expense.

@LifeBeginsNow thank you. That's good to hear. Would love a hybrid.

Also not keen on having an prestige car. Where I live is ok. But the village I am about a 4 minute drive out of is having a lot of people being broken into for the keys to their prestige cars. I wouldn't sleep ever.

At this point ( single parent) I want more cash in my pocket iyswim.

And thank you for the congratulation.

@YobaOljazUwaque thank you. I will save this and have a look when I know the details.

Suffering hugely from imposter syndrome this week.

Despite knowing I am good at my job, I am struggling to believe anyone would want ri pay me, what is a huge amount to me and a car on top of that.

I'm like that with each job I get. It's more money each time and I always have a wobble (and continue to do so even while I'm there!) about whether I should be there. Try and find some motivational podcasts (it'll help with the long drives too).

I just thought, you'll probably be given the previous employees car or a pool car for a while. A general rule is after about 3 months you can choose (from a list of specific requirements which comprises of price, emissions, etc) and that's when you can play around with the calculators to get the best deal. Don't forget optional extras bump up the purchase price so don't go too mad ;-)

My current car is is an audi that's 14 years old.

I am not one for picking out a luxury car. I just want one that gets me from a to b to c, making sure I end up at a again.

The cash is far more important. Infact I would prefer it if they offer more wage and no car. But they dont seem to do that.

Oh and yes, I will look up some imposter syndrome motivational chats.

I have worked with my best friend. She usually snaps me out of it.

Basically it takes a chunk out of our tax free personal allowance. Every car has an assigned value based on the purchase price/emissions. For example, if your tax free allowance was £12k, it may take your tax free allowance down to £8k (this is similar to mine, a big estate car) meaning you are taxed on £4K extra income so roughly £800 per annum.
That's it in simple terms!

Also finding out what the fuel arrangements are - I've been in companies where you buy the fuel and claim back business mileage - this can be a pain as expenses can take ages to come through. Right now I have a fuel card and declare personal mileage and am deducted 11p per private mile from my wage.

The HUGE benefit of a company car though is not having to worry about insurance, services, breakdowns etc, if should all be covered.