I’ve just changed jobs and now have a job where I will be driving circa 35-40k miles per year. I will be paid the recommended 45p per mile for first 10k miles, 25p per mile thereafter. I drive approx 8k personal miles currently.

I don’t want to risk running a car with no warranty and being stung with a large repair bill. Running this sort of mileage over 3 years I’d be out of warranty.

I have seen this company http://www.permonth.co.uk have any of you used them?

What do others who drive high mileage do for there cars?

will you get a car allowance for such high mileage?

Yes, they’ve agreed to pay the mileage rate. Apparently as a business it works better for them.

will you get a car allowance for such high mileage?

He’ll get: “I will be paid the recommended 45p per mile for first 10k miles, 25p per mile thereafter.”

I get the same but dont drive as higher miles as what jambaron will be doing. The way I look at it is 15p goes on my per mile costs (basically fuel) so anything after that goes in the maintenance/warranty kitty (ie self warranty/insure) so if I do 10000miles thats £3k in the maintenance kitty and that’ll pay some big bills IF needs be. Personally I bought a £3k car…if it makes it through 10000 miles, its paid for itself and owes me nothing. If jambaron does 35k in a year thats £5500 after per mile costs…good amount for the self warranty kitty in my book but horse for courses

Another option may be to buy a 3rd party warranty for an older car, which would help mitigate any maintenance problems. The issue might be how you’d cope with the car being out of action during repairs, so a new one may be better in that respect.

Perhaps buying a car based on warranty alone isn’t ideal, but Kia offers 7 year / 100,000 mile warranties on their cars.

And using nuke’s figures above, after 3 years you’d have ~ £16.5k after that for ongoing maintenance or a change of vehicle.

I do similar miles to you and I’ve done both options of buy /45p and lease. Work lease is by far the best option for me, but mine’s a full service jobbie, so pays my money and not one thing to deal with. It’s just lunched its gearbox at 98k miles – they’ve taken it away, left me a car and fixing mine. It’s a no brainier if you like an easy life 🙂

(Edit: How much fun are these petrol Mazda 3’s!)

45p per mile for first 10k miles, 25p per mile thereafter

I used to get that. On top of £600 a month car allowance.

You are being lightly bummed. It works better for the company? I bet it does.

That website is crazy expensive.

Agree with the hyundai/kia route, alternately just buy something and put the excess in a rainy day fund. That allowance will give you more than 10k a year, say fuel is 2 of that, you could buy a 3 year old repmobile (say, insignia) outright every 2 years. Most modern cars will do 120k without breaking a sweat, if it does break down just pay the £500 average repair cost to fix it. It’d work out much cheaper overall than that site

Sounds like you’re on a bit of a bum deal. If I was doing that mileage I’d want the company to take the risks.

Tot up your annual mileage payment (12k?) and find a maintained/tyre etc lease for that mileage for a car you’d be OK in (not too flash, golf or focus etc) then work out your fuel economy (10p a mile ish diesel only on my octavia 2.0 and more if/when diesel goes back to 140p) and see how much is left.

Whatever is left is “free” but I bet the figure is negative!

45ppm is usually a rate for casual car users, not someone doing 1k every week.

Whilst I don’t disagree with what 5lab says, mine’s an Insignia and the figure of £3,000 was grumbled by the lease company at the cost of sorting mine this time ( that said, if the purchase of my new car hadn’t been delayed then it would be already off their hands by now.)

That’s coupled with a previous cost of replacing the heater matrix, tyres, brakes including a couple of callipers, a goosed radiator, a mysterious electronics issue where it looses power for 5 seconds in driving rain, and the bodywork bill when I drove over an entire exhaust unit that had fallen off the van in front.

..and the clutch is on it’s way out. And the fuel economy has fallen through the floor since new (nearly 70mpg to 55mpg for the same journey)

Don’t underestimate what 4K miles a month does to a car 🙂

I’ve not a clue about lease etc but, as a guide, I get 40ppm when working freelance and that’s only 20 miles or so per week.

Think I would want more ppm than they are offering.

just had a look, apparently Hyundais now have 5 year unlimited milage warrantys, so I’d be looking to pick something like this

http://www.autotrader.co.uk/classified/advert/201707047033129?make=HYUNDAI&radius=1500&sort=sponsored&postcode=pa328xp&onesearchad=Used&onesearchad=Nearly%20New&onesearchad=New&advertising-location=at_cars&model=I40&year-from=2015&page=1

(ie, any 2 year old i40) up every 3 years, and run it for a further 120k miles. at 5 years and, say 150k miles, it’ll probably be worth £4,500 (looking at similar ones for sale now), so its costing you 2k a year to own, with a manufactures warranty (which is probably better than an aftermarket one). Total cost before maintenance of £170/month

Thanks for the replies. I had the option to take a company car but it would not have been big enough for family and bikes etc. I’m not too fussy with cars so this seemed a better deal. I’ll definitely look at the hyundais, look good value per month, and we’ll spec’d.

Yeah, got to admit that Hyundai option makes sense on the surface. Had an i40 hatch for 6months or so and it was a very comfortable mile muncher.

How often do you need to stuff the car full of family or/& bikes? Have a close look at that and then work out hire car costs for those days. Running a company owned car and hiring as necessary may be cheaper and less risky for you.

you might also be able to pay more to get a bigger company car (you certainly can at a lot of places). at the sort of milage your looking at, I’d go down that route, there’s no point putting that sort of mileage onto something you own yourself

Just for transparency for future googling; turns out mine didn’t need a new gearbox. Just a clutch, flywheel, timing belt, pulleys, major service and a cuddle.

They are giving you the government recommended tax rates for mileage by the looks to avoid you any tax issues:

https://www.gov.uk/government/publications/rates-and-allowances-travel-mileage-and-fuel-allowances/travel-mileage-and-fuel-rates-and-allowances

It will work out a lot easier for them as they just pay you the expense. No P11D submit, no issues with lease companies etc etc.

The issue for you is that if you have a weeks holiday or similar you lose that money from your expenses but still need to pay for a car so a lease could be a bad thing.

No matter what they pay you per mile I feel sorry for you having to drive that many miles a day what with some of the **** that are currently out there on the roads.
Fwiw my new Kia optima estate is huge, ticks every single box gadget wise, comes with that previously mentioned warranty and there ate some silly deals on lease going about but not sure of the mileage that you’re on about.

I do the above, now as a limited company but previously as an employee.
Used to get between £3.5K and £4k taxed allowance towards the vehicle plus the government rated mileage at 45ppm to 10,000 then 25ppm after 10,000.
Now I just pay myself the 45/25ppm rate.
Most years I do between 30k and 35k so the money is put into a separate account to pay towards repairs and fuel off my credit card each month.
First car cost £5500, four years old with 60k on, got to 105k and sold towards another at four years old with 55k on.
Ran that up to 105k then sold again and got a three year old with 45k on at £9000.
All cars have been Avensis diesels, (uninspiring but reliable with low maintenance costs) averaging 45mpg and I either have had the manufacturers warranty or used Warrantywise as a third party cover.