Jump to content

Company car lease vs cash

jacks09

By jacks09
in The Lounge

 Share

Recommended Posts

stevesmith

stevesmith

Posted
Posted
Which is better would really depend on your needs and current situation. The car would certainly be a nice option because it is a free ride, but if you already own a vehicle you may not have any need for a car. Also, if the car is leased, you will only be permitted to use a certain number of miles before the lease costs more money. This might mean restrictions with the vehicle through the company. The cash has its' own advantages obviously because cash is always a good option for anyone. The real question I would have for you would be what your current situation is and which would be more useful to you.
jacks09

jacks09

Posted
  • Author
Posted

Well......


Our little old car would not pass its MOT so I was waiting on this job offer or not before deciding.


Headline is we need a car. I would be paying 40% on the cash if i took it which makes it less compelling and it is paid monthly rather than as a lump sum.

The ?6600 allowance would allow me to lease throgh the company a brand new car and any excess is added ot my salary. Company car tax is a factor and on a ?30k car this would be roughly ?250 p/m. I'm leaning towards leasing a vehicle at about ?250-300 pm with the excess 250-300 taken as a cash and then used to cover some of the company car tax.......


Its all v confusing but i do realise it's a very fortunate position I am in.

DaveR

DaveR

Posted
Posted

The overall cost to you of taking the car will be the additional tax you wll pay on the benefit in kind plus the extra cash that you have foregone. The finance/payroll people at your new employer should be able to tell you exactly how much, but for a half decent car I'd expect it to be at least ?3.5 - 4k per year, not including any additional petrol allowance. That may well be less than it would cost you to buy/lease and run a similar car privately, but may, for example, be less than you currently spend running your own car.


We did the maths on this a few years ago when the option came up, and worked out that the additional cost of getting a nice new Audi rather than carrying on with our three year old Renault was about ?2500 per year - not worth it for us.


Edited to add - posted this before I saw your response. You've obviously got the figures so can do ther maths, but in your case comparing to costs of replacing your current car.

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share
Go to topic listing
  • Advertise Here

  • Latest Discussions

    • smith 41
      Blu ray player

      By smith 41 · Posted

      Hi if anyone has one pm me cheers 
    • Sue
      Plumber recommendation - A.F.E Plumbing Services

      By Sue · Posted

      You can always check when they registered on the forum, if you are suspicious. But I recommended Aria, and it certainly wasn't my only post on here, and it was a genuine recommendation. ETA: And he didn't ask me to make it, to the best of my recollection. But even if he had, many local tradespeople ask people to post on here if they are happy with the work that has been done.
    • Sue
      Forest Hill Road Group Practice, Patient Participation Group (PPG), Next Meeting, 6:30pm, Thursday 23rd January 2025 

      By Sue · Posted

      I am not a patient at this practice, but surely it is more sensible to have an initial  phone discussion, as often the GP wouldn't need to see someone face to face unless they actually needed to physically examine them? This then leaves the available face to face appointments for patients who need them. And if during  the phone call the GP felt you needed examining, then arrangements could be made for a face to face. If you feel your ailment is such that you will definitely need to be physically examined, can you not explain that to the receptionist?
    • Sue
      Noticeboard on Northcross Road

      By Sue · Posted

      Give Labour a chance, they've only been in government for a short time, and they inherited a mess! As regards the notice boards, to the best of my recollection they were originally intended as community notice boards, and certainly not for advertising local businesses (who would decide which businesses  should have the limited space on the boards, anyway?) East Dulwich may have become more gentrified since the boards were first introduced, but that surely doesn't mean they should now be completely  taken over for the benefit of  the "middle classes", to the exclusion of everybody else? As  NewWave says, surely these people have other ways to find out about groups and events of interest to them, which the "non middle classes" may not have access to, and even if they did may not be able to afford them. Several people including myself have complained to councillors about the state of the noticeboards in the past.  I think one of the issues is that they were originally maintained by local volunteers, who may have either moved out of the area or lost interest - or given up in despair when the boards were flypostered and/or vandalised. I completely  agree that the boards should be used for information about not for profit organisations in the area, but if regular maintenance can't be provided and/or they continue to be vandalised, then I think it would be better if they were removed altogether.

East Dulwich Forum

Established in 2006, we are an online community discussion forum for people who live, work in and visit SE22.

Home
Events
Sign In

Sign In



Or sign in with one of these services

Search
×
    Search In
×
×
  • Create New...