Whats the value of a company vehicle?

[JeremyD]

Originally Posted by URY914

So if I don't drive it on the weekends there would be no personel use. Therefore no IRS/tax issue correct?

Yep and if you have a personal car then you can make the argument that it's 100% company.

Good for you Paul -

and we figure company vehicle benefit at 10K minimum - more likely more.

Figure monthly payment - Insurance and Gas and maintenance and it's a big perk.

[widgeon13]

Originally Posted by Scott R

I'm an exempt employee and I don't draw an actual salary per say. Every hour of every day is "work" for me.

That makes a difference. The personal vs business use is dictated by mileage. Driving back and forth from the office is normally not business mileage. At least in my case it wasn't. We had to report business mileage and personal mileage and then the percent personal was reported on my w2 as part of the 12 month lease value of the vehicle.

Monthly lease $400 X 12 months = $4800 at 30% personal = $1440 added to my w2

That's how our company accounted for it.

[Scott R]

Originally Posted by widgeon13

That makes a difference. The personal vs business use is dictated by mileage. Driving back and forth from the office is normally not business mileage. At least in my case it wasn't. We had to report business mileage and personal mileage and then the percent personal was reported on my w2 as part of the 12 month lease value of the vehicle.

Monthly lease $400 X 12 months = $4800 at 30% personal = $1440 added to my w2

That's how our company accounted for it.

It makes sense, this thread is certainly a learning experience for me.

[URY914]

I'm only 8 miles, 10 minutes and 3 traffic lights from the office.

[azasadny]

Because we paid a "subsidized" lease payment for our company lease cars, there was no impact on our W2's and we could drive them as much as we wanted. Great benefit, I truly miss it...

[speeder]

What does it cost to lease a new F-150? Add is fuel and insurance, (if it's provided), then deduct the percentage of that total that it's driven on company business. If it's used 100% for company business, than I'd say that its value is zero. It's simply a tool provided for you to do your job.

If you get to use it a certain amount for purely personal use, then that proportion of the above calculation would be the amount. Make sure to account for whether or not fuel and insurance is paid completely by employer.

Am I doing this wrong?

[Macroni]

It is a great benefit.....

[svandamme]

i have a company bmw with fuel card.
The lease to my boss is about 730 including taxes, i pay a small legal tax on the benefit of the car i use.. and i can get to work without having to pay he diesel .. on a good month that's a nother 250 euro worth of diesel.. most of it is work related but i can pretty much drive as much km's as i want, nobody is counting.

if i didn't have that benefit, i would need at least a 1500 euro raise to compensate that, probably more.. Basically it's a tax avoidance trick in Belgium, we have high income taxation, giving a car is much cheaper to my employer..And he can deduct the cost in taxes (to some extent, it used to be 100% but they are limiting it, based on emissions, which is why i get teh low CO version) which i as a private person could not do at all

And for me, i don't have to bother with monthly payments , maintenance, insurance, car taxes.. I simply drive the snot out of it, and drop it off at the garage for maintenance and repairs.. It's an amazing benefit to me.