Company car for private use
Your car from your employer.
The advantage of a company car that you can use privately is obvious. You have no costs for the purchase, tax, insurance and repairs of your car. Depending on the circumstances, the employer also pays the cost of fuel for private use. On the other hand, there are the costs for the taxation of the company car as a non-cash benefit. For a car with a combustion engine, 1% of the gross list price plus an additional 0.03% of the gross list price per kilometer for the journey from home to work is added to the salary for taxation purposes. Wage tax and social security contributions are then calculated on this. Electric vehicles are taxed more favorably.
Depending on the vehicle, place of residence and the extent of private use, a company car can therefore either actually be advantageous or become quite expensive. For a vehicle with an internal combustion engine, which is specified by the manufacturer with a gross list price of 35,000 euros, and 15 km one way to the place of residence, 507.50 euros are added to the taxable monthly salary. In the case of low private and business use, it may be advantageous to keep a logbook. Your tax advisor can best advise you on the best way to drive in your individual situation.
Due to the high capital intensity for the purchase of cars, company cars are generally only made available to special professional groups. These are often employees in sales or service.
If employers offer private use of a company car to at least some of their non-management employees, they can offer this criterion for the fairerjob@logistics premium seal.