Company car, change to van? Lease something fun? what to do?
Discussion
Currently im a traveling engineer, have a new ford focus estate provided, so have around £3k deducted from my tax allowance for the car, and then pay tax on private miles.
Ive been considering swapping out for a van, so the tax would drop to £500 a year. then leasing a hot hatch, either a polo gti or a fiesta st on a 2 year deal, currently both are available for less than £200 a month plus a £1000 deposit, which works out about 5k over the 2 years. plus the cost of fuel and insurance, ( a member on here got a polo gti including a years insurance free) i dont do a great deal of private mileage at the moment but i do fancy something fun.
what would you do? without getting into the debate of leasing vs buying a shed, i dont want a shed. am i missing something?
Ive been considering swapping out for a van, so the tax would drop to £500 a year. then leasing a hot hatch, either a polo gti or a fiesta st on a 2 year deal, currently both are available for less than £200 a month plus a £1000 deposit, which works out about 5k over the 2 years. plus the cost of fuel and insurance, ( a member on here got a polo gti including a years insurance free) i dont do a great deal of private mileage at the moment but i do fancy something fun.
what would you do? without getting into the debate of leasing vs buying a shed, i dont want a shed. am i missing something?
I think your tax calculations are wrong for a start. Correct me if I'm wrong, but BIK on vans is £3,000, so you get taxed as if you've had that much wages at whatever your rate of tax is (20 or 40% for most of us).
In other words, your tax allowance gets reduced by that much, which by the sounds of it is the same as your car, so I don't really see how you benefit.
However, if you don't do any private miles in your van, you don't need to pay any BIK at all, although you will need to keep records to prove it. You're allowed the odd trip to the tip etc in any year though.
In other words, your tax allowance gets reduced by that much, which by the sounds of it is the same as your car, so I don't really see how you benefit.
However, if you don't do any private miles in your van, you don't need to pay any BIK at all, although you will need to keep records to prove it. You're allowed the odd trip to the tip etc in any year though.
For about 10 years I had just a works van as my main form of transport with motorbikes as a weekend toy.
Modern vans are nice to drive and have most of the toys a modern car has.
its the reason I can run a 996 as a "toy" car now as I have a works van on which I pay very little tax even with declared mileage.
It depends on what you need in the boot, I'd test out the vw caddy, I'm currently in a "base" model one and air con, a decent stereo and cruise control seem to be base spec these days.
When my proper company van arrives from ford it will have the lot, heated seats parking sensors etc etc.
If you can do with just two seats and don't have an image issue driving a van about ( I never have never will ) then go for it.
They are also very usefull for tip runs and moving all manner of things
edit: I typed this before slomo. my tax on my works vans all supplied by the company I work or worked for was always very small normaly less than £500 a year off my personal allowance, I did always inform my bosses that the van would get private use and sent in the mileage accordingly weather they acted on the information I sent in I dont know.
Modern vans are nice to drive and have most of the toys a modern car has.
its the reason I can run a 996 as a "toy" car now as I have a works van on which I pay very little tax even with declared mileage.
It depends on what you need in the boot, I'd test out the vw caddy, I'm currently in a "base" model one and air con, a decent stereo and cruise control seem to be base spec these days.
When my proper company van arrives from ford it will have the lot, heated seats parking sensors etc etc.
If you can do with just two seats and don't have an image issue driving a van about ( I never have never will ) then go for it.
They are also very usefull for tip runs and moving all manner of things
edit: I typed this before slomo. my tax on my works vans all supplied by the company I work or worked for was always very small normaly less than £500 a year off my personal allowance, I did always inform my bosses that the van would get private use and sent in the mileage accordingly weather they acted on the information I sent in I dont know.
Edited by mobile chicane22 on Saturday 21st March 18:13
Super Slo Mo said:
I think your tax calculations are wrong for a start. Correct me if I'm wrong, but BIK on vans is £3,000, so you get taxed as if you've had that much wages at whatever your rate of tax is (20 or 40% for most of us).
In other words, your tax allowance gets reduced by that much, which by the sounds of it is the same as your car, so I don't really see how you benefit.
However, if you don't do any private miles in your van, you don't need to pay any BIK at all, although you will need to keep records to prove it. You're allowed the odd trip to the tip etc in any year though.
I think BIK is if the car is a perk of the job. We have them to do the job as on call kind of thing. Ide have to check that.In other words, your tax allowance gets reduced by that much, which by the sounds of it is the same as your car, so I don't really see how you benefit.
However, if you don't do any private miles in your van, you don't need to pay any BIK at all, although you will need to keep records to prove it. You're allowed the odd trip to the tip etc in any year though.
The vans in question are either a transit connect or a traffic. Although I would try and convince them I need a transit custom with air con. We have caddys on our fleet. They are base spec with no air con or leccy windows
Nickbrapp said:
Super Slo Mo said:
I think your tax calculations are wrong for a start. Correct me if I'm wrong, but BIK on vans is £3,000, so you get taxed as if you've had that much wages at whatever your rate of tax is (20 or 40% for most of us).
In other words, your tax allowance gets reduced by that much, which by the sounds of it is the same as your car, so I don't really see how you benefit.
However, if you don't do any private miles in your van, you don't need to pay any BIK at all, although you will need to keep records to prove it. You're allowed the odd trip to the tip etc in any year though.
I think BIK is if the car is a perk of the job. We have them to do the job as on call kind of thing. Ide have to check that.In other words, your tax allowance gets reduced by that much, which by the sounds of it is the same as your car, so I don't really see how you benefit.
However, if you don't do any private miles in your van, you don't need to pay any BIK at all, although you will need to keep records to prove it. You're allowed the odd trip to the tip etc in any year though.
The vans in question are either a transit connect or a traffic. Although I would try and convince them I need a transit custom with air con. We have caddys on our fleet. They are base spec with no air con or leccy windows
A company car may be less than this, it may be more, depending on its emissions and list price; you ought to do a spot of research to find out.
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