Company car or take the money and buy something interesting
Discussion
Thinking about taking the money instead of a car from next year. Our company cars have gone downhill somewhat. I get £500/m before tax and was contemplating getting a 20k loan and buying something like a Porsche Boxster 981.
This way the company basically buys the car for me.
Is this a good option or would it work out more costly?
I will do about 10k miles per year and maybe half of that will be business miles.
This way the company basically buys the car for me.
Is this a good option or would it work out more costly?
I will do about 10k miles per year and maybe half of that will be business miles.
alan36 said:
Thinking about taking the money instead of a car from next year. Our company cars have gone downhill somewhat. I get £500/m before tax and was contemplating getting a 20k loan and buying something like a Porsche Boxster 981.
This way the company basically buys the car for me.
Is this a good option or would it work out more costly?
I will do about 10k miles per year and maybe half of that will be business miles.
Work out more costly than what? This way the company basically buys the car for me.
Is this a good option or would it work out more costly?
I will do about 10k miles per year and maybe half of that will be business miles.
What company car do you drive now? What mileage rate do you get?
What rate taxpayer are you on your £500/m?
Would your company be OK with you turning up for company business in a Porsche? Some will, I know mine wouldn't......
alan36 said:
I have a Ford Kuga at the moment and am 40% tax.
OK. So you're clearing under £300 a monthA £20k loan over 5 years is £384 a month. You then have to maintain it, tax it, insure it. Call it an even £650 a month.
Unless your Kuga is costing you more than £260 a month in BIK, you're going to be worse off monthly.
But, in 5 years, you'll have a Porsche that's only done 50k miles than you bought it with and has been paid off.
Opting out works if you keep the car long term. Are you willing to do that with your Porsche?
alan36 said:
The company dont state I have to use any particular type of vehicle.
Yeah, but is your boss going to be happy with you doing business and turning up in a Porsche?What the policy says and what the reality is can be different things......
Yep Porsche are one of very few companies that allow their manufacturer extended warranty product to get extended up to 15 years old or 125k miles.
I'd take a look at a newer 718 than an ancient 981, it's a great commuter car and far more fun than another company car. Most company schemes seem to push EVs now for tax purposes. Efficient but very dull indeed.
I'd take a look at a newer 718 than an ancient 981, it's a great commuter car and far more fun than another company car. Most company schemes seem to push EVs now for tax purposes. Efficient but very dull indeed.
The last few years I've had the money, I get £6.5k per year, I got a £20k loan for £420 a month over 4 years used some money I had about £4k and got a model Y performance. I get 55p per mile from work and make about £200 a month through that with currently low business miles but get 3p home charging.
A trip to Scotland last month from the midlands and I made £320 out of it just by the mileage claim.
Company cars were slowly going downhill at my place.
A trip to Scotland last month from the midlands and I made £320 out of it just by the mileage claim.
Company cars were slowly going downhill at my place.
jonwm said:
The last few years I've had the money, I get £6.5k per year, I got a £20k loan for £420 a month over 4 years used some money I had about £4k and got a model Y performance. I get 55p per mile from work and make about £200 a month through that with currently low business miles but get 3p home charging.
A trip to Scotland last month from the midlands and I made £320 out of it just by the mileage claim.
Company cars were slowly going downhill at my place.
That's what I do. Bought a Model Y but I have ordered a new Y on PCH. I cover around 10,000 business miles a year so that's £5,500 tax free income & net car allowance.A trip to Scotland last month from the midlands and I made £320 out of it just by the mileage claim.
Company cars were slowly going downhill at my place.
andrew-6xade said:
jonwm said:
The last few years I've had the money, I get £6.5k per year, I got a £20k loan for £420 a month over 4 years used some money I had about £4k and got a model Y performance. I get 55p per mile from work and make about £200 a month through that with currently low business miles but get 3p home charging.
A trip to Scotland last month from the midlands and I made £320 out of it just by the mileage claim.
Company cars were slowly going downhill at my place.
That's what I do. Bought a Model Y but I have ordered a new Y on PCH. I cover around 10,000 business miles a year so that's £5,500 tax free income & net car allowance.A trip to Scotland last month from the midlands and I made £320 out of it just by the mileage claim.
Company cars were slowly going downhill at my place.
If you want to save money - Tesla/EV
If you want to drive a fun/interesting car.......something else.
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