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Company Car Fuel Allowance, any help please?
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My partner and I are both Sales Reps, I have my fuel paid for (fuel card) and I also get 12p a mile. My partner has just had a new Company Car delivered (Vauxhall Astra Club Diesel 1.7 CDTI). At the moment he gets 15p a mile paid but no fuel paid but the 15p works out that the fuel is pretty much paid for, BUT the Company that he works for has been overheard to say that this amount may be going down to 9p a mile, this means that basically my partner will be paying THEM to be out on the road surely, 9p a mile is never going to pay for his fuel consumption that he is currently using. This there anyone out there who could give advice on this?
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Kat
Not sure if you want advice on the policy or the numbers.....
9p/mile is low, our actual cost of fuel is running at about 11p/mile at the moment, we pay 12p for company cars and keep an eye on it. There may be something in his contract of employment on how he is reimbursed.
Your partner's car should tell him his average fuel consumption - miles per gallon.
If this number is, say, 40 it should be divided by 3.78 to give miles per litre ie 10.6 miles per litre.
Then take what he actually paid for the fuel and divide it by the miles per litre. eg 97.9p per litre divided by 10.6 gives you a fuel cost of 9.24p per mile.
Not sure if you want advice on the policy or the numbers.....
9p/mile is low, our actual cost of fuel is running at about 11p/mile at the moment, we pay 12p for company cars and keep an eye on it. There may be something in his contract of employment on how he is reimbursed.
Your partner's car should tell him his average fuel consumption - miles per gallon.
If this number is, say, 40 it should be divided by 3.78 to give miles per litre ie 10.6 miles per litre.
Then take what he actually paid for the fuel and divide it by the miles per litre. eg 97.9p per litre divided by 10.6 gives you a fuel cost of 9.24p per mile.
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