How much worse off will I be?

[brianb]

I'm currently driving a company astra 1.3cdti which I pay fuel and claim back my business mileage @ 13ppm,
Astra returns 50mpg and I'm doing 350miles per week (225 business miles) everything else is free

I'm considering opting out of the scheme and putting the £400 per month towards a megane 250,
Say said megane returns 28mpg with the same milage, I'll now recieve 45ppm and my tax band will go back up

if we say insurance is £75 per month, how much better/worse off will I be? (Discounting maintenance)

Megane will be purchased with a loan using £250 of the £400 per month

[bullitinhead]

£400 after tax or before,? Surely if its after tax you would be in a better band than a 1.e diesel astra?

Otherwise before tax proberbly wouldnt covrr the loan cost.

Bullit

[Brett748]

Don't know about tax but currently you are contributing £10 a week for fuel, with the Megane you will be £30 a week in profit.

More to the point, I'd rather cycle than drive a 1.3 CDTI, apply man maths and get the Megane.

[MuZiZZle]

This being PH, I'm going to suggest an E39 M5 over the Megane

[TREMAiNE]

MuZiZZle said:

This being PH, I'm going to suggest an E39 M5 over the Megane

Not an MX-5 or mapped 335D?

[Terminator X]

Won't / shouldn't you get a car allowance too if you opt out of company car scheme? Saving therefore more £'s in pocket as less BIK tax, more car allowance + 45ppm for company mileage?

TX.

[MuZiZZle]

TREMAiNE said:

Not an MX-5 or mapped 335D?

I don't think a supercar is the way to go!

[Baryonyx]

Brett748 said:

Don't know about tax but currently you are contributing £10 a week for fuel, with the Megane you will be £30 a week in profit.

More to the point, I'd rather cycle than drive a 1.3 CDTI, apply man maths and get the Megane.

This, absolutely this. I drive the 1.3CDTi Astra's at work and they are dreadful. Nearly all due to be replaced now, thankfully. Absolutely abhorrent cars. OP, do whatever it takes to get something better!

[anonymous-user]

Send me a PM and I'll send you a spread sheet that does the calc, it is 2012 but principle is the same just figures changed, I've sent it to a few other people on here who asked this question, but rememeber that the milage allowance from the tax man is greater if you buy a car over 2000cc so 1.9 etc are finacially worse than 2.1, general rule at around 400 a month is that if you run a new car you will be no better of, but get a 3 year old car, that you want, so you will not get depreciation, and you will get the same milage from the tax man, so you can run a great 3 year old car and be better off.
When I last had a company car in the UK (1996 ish) I had a 2.5 vectra, but my allowance allowed me to get a 2 year old 7 series and I was around 3 pounds a month better off after tax, but I am an old git so insurance was not a big issue.

[Number 5]

MuZiZZle said:

TREMAiNE said:

Not an MX-5 or mapped 335D?

I don't think a supercar is the way to go!

[blank]

Mileage allowance with HMRC does not change with engine size. Many employers have these rules but HMRC rates are 45p/mile for the first 10,000 miles per year and 25p thereafter.

If your employer pays 45p/mile there is no tax relief anyway. Maybe even a tax liability if you go over 10,000 miles and they keep paying you 45p.