Hi all!
I have a company car that i use for both personal and company stuff.
The way it works is, I put the petrol in the car, and the company give me the money back for any company miles that i do. I get back 13 pence per company mile.
When i first started i did a few sums and it all looked like it would work out in terms of getting the right amount of money back.
Now with the recent hikes in the price of petrol, I re-did the sums and some real world tests and i worked out that i am actually loosing money... and a fair amount!
Here is a test i did yesturday;
I drove from High Wycombe to Sheffield and back and racked up 330 miles round trip. Before i left i put 45 litres of petrol in my car which cost me £45.00.
I did the trip and returned having basically used all those 45 litres!
now - I had worked out previosly that if i managed 36 MPG i would just about break even (dependant on the cost of petrol at that exact second). So i did the trip and the car told me i managed 39.3 mpg which i fairly impressed with. Its a 1.8 petrol civic and i am fairly pleased that i managed 39.3. I wasn't driving like a granny, but i wasn't booting it.
so now i come to do the sums and things don't stack up.
So I spend £45 on fuel.
the company gives me 13p a mile back so 330x0.13 = £42.90.
So i have lost out £2.10
Not a lot you say, but if i do a trip into london i average more like a registered 30 mpg or less.
So in summery there are two issues here... the first one is that my car LIES to me!
I didn't average 39.3 mpg, it was more like 33.4 mpg! 6mpg out, so when i am doing a registered 30 mpg is it more like 25mpg? I think it is!
so when i normally average 30 - 35 on work trips i am starting to loose as much as £10 per tank or more!
the other month i drove to scotland and back and racked up 1400 miles in one week. I could have lost out as much as £40 on that trip.
the second issue is that i raised all this with the company i work for, and they agreed with my sums and said yes i was loosing out, but were not prepaired to adjust the rate at which they pay back millage as it is what the government set it at.
so i could be loosing hundreds of pounds a year in petrol, and as the price of petrol goes up i will loose out more and more. When i filled up the other day, i got it fairly cheep, but i could have spend up to 108.9p per litre that tank would have cost £49 and i would have lost more!
One last thing to add to the equasion is that the government set the petrol to 13p for engines up to and including 2ltr, and 10p for the equiv derv! But the company give te derv drivers 11.5p a mile so all the derv drivers make money, and the petrol drivers (fewer of us) loose out! SO if they give the derv drivers more than the government rate, why not give the petrol drivers over the government rate?????
I am not prepaired to loose money to the company on this, but what can i do? any ideas or comments?



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