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Old 02-03-2014, 09:06 PM   #1
Giant Cranium
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Default Company car vs car allowance?

Work are updating the company cars soon and want to move me from a ve commodore ute to a single cab triton.

I'm 195cm tall and won't fit in the triton. Even the dual cab is to small as the seat won't go any further back.
I have told my boss but he isn't to concerned so I was thinking of a car allowance. They give us 15k a year to do it.

My other option is to go the ohs route. Claim that it is unsafe and hope that a further up manager is concerned.

What is everyone thoughts on what I should do. Pros and cons of the above options.
I also do about 35000 Km a year.

Here is a photo of the car issue
and me in the ve

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Old 02-03-2014, 10:10 PM   #2
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Default Re: Company car vs car allowance?

You will need at least 22k to novate a car and not be out of pocket. I had a company provided XR6 ute fully loaded with luxury pack. My company was taken over and I now get an additional 25k. That car costs about 23k to lease with fuel etc. Your lease will be about 40% pre tax and the rest after tax. What it really costs depends on what tax bracket you are in.

Stick with the car if you can. And remember, you will not have a choice re Commodore or Falcon soon anyway.

15k will not get you anything on a novated lease. You will be far worse off.
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Old 02-03-2014, 10:18 PM   #3
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Default Re: Company car vs car allowance?

My brother is 6.2 and he drives a 2013 glxr triton d/c and he has put spaces? or done something to the drives seat to comfortably sit in it. Probably a good idea look on new triton forum and/or ask the guys there.
As for the car allowance I personally think $15000 and doing 35000 km is not a great deal at all. I'm personally on car allowance and get $16500 and do less then 20000 km. Which isn't the best either best either.You need to work out what type of money you are going to spend/outlay on the car and if required set up etc. Lets say the car cost $40k on road set up you have the car for 4 years thats $98.03 a week, insurance $1k a year roughly thats $19.23 a week, rego+greenslip roughly $1500 a year thats $28.85 a week, 35000km a year is roughly 673km a week and if you get 10L/100@$1.50 a litre thats $100.95 a week thats a total cost of $247.06 a week and thats without factoring in the cost maintenance, wear and tear and etag/tolls etc and your only getting $15000 a year which is $288.46 a week. You really need to be getting more $$$ or do less km's to make the car allowance work IMO but ask your accountant.
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Old 03-03-2014, 08:58 AM   #4
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I looked at the spacers but that will only make my legs closer to the steering wheel. Nothing can be done on them to make the seat slide further back which is what I need. Also don't really want to modify the seat on a company car. If anything happened if say I'd be in a bit of strife.
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Old 03-03-2014, 10:02 AM   #5
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Default Re: Company car vs car allowance?

Taking a car allowance will also leave you with a car/ute you may or may not need if you change jobs.

I would pursue the right company car that fits your physical size the best.
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Old 03-03-2014, 11:47 AM   #6
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Default Re: Company car vs car allowance?

15k sounds a bit low, the award is 74c a Kilometre now I think.
see if they will do it that way, you'll need to keep a log book
& If your doing 35000/year 90% work use that will get you $23,310
that's nearly 70k to cover you for a 3 year lease and running costs.. the rest you pocket

15k annually you would be out of pocket IMO
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Old 04-03-2014, 05:21 PM   #7
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Default Re: Company car vs car allowance?

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My other option is to go the ohs route. Claim that it is unsafe and hope that a further up manager is concerned.
in an accident, your knee is going through that dash, seat belt or not.
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Old 04-03-2014, 06:26 PM   #8
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Default Re: Company car vs car allowance?

According to the fleet manager, our company leased four fully maintained FG II EcoLPi Utes for $635/mth each......
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Old 04-03-2014, 06:57 PM   #9
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That seems so cheap. Must be after all the rebates that a company would get compared to me
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Old 04-03-2014, 07:01 PM   #10
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Default Re: Company car vs car allowance?

Do you neeeed a brand new car?
Take the $15k
pick up a $15k FG
???
Profit.
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Old 04-03-2014, 07:02 PM   #11
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Default Re: Company car vs car allowance?

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According to the fleet manager, our company leased four fully maintained FG II EcoLPi Utes for $635/mth each......
That would most likely be a 5 year lease biased on 20000km/year.
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Old 04-03-2014, 09:17 PM   #12
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Default Re: Company car vs car allowance?

ok, the Holden Driver has almost exactly the same issue as you GC. I have asked him about it (he lol'd at the pics as it looks just like him in the hated Forester) and this is his advice. He drives about 70,000k's a year.

1) dont sign any new company agreement that includes the new car. He actually crossed those parts out - now he is the only person still in a commodore out of a fleet of 250+ vehicles nationwide.

2) get a report from your chiro / physio etc stating the vehicle is unsuitable for you & may result in long term health issues for you & that a more suitable replacement should be found. Keep the original safe & forward to relevant HR & senior management. This will get attention as you have just given them a heads up that if they make you take the vehicle they may be up for a workcover claim in future that they will be liable for.

3) keep records of when you brought the issues to your managers attention or any correspondence (try to put all your objections in writing /email) and any responses or lack thereof.

4) whinge as much as possible & don't take no for an answer, but

5) give them the option to get an ergonomic assessment done by an independent party if necessary.

Its not easy and in our case this has been ongoing for almost 3 years however he still has a commodore that he fits in. He is trialling other cars at company expense but so far none are suitable.

Good luck. PM me if you want to.
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Old 04-03-2014, 09:24 PM   #13
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Default Re: Company car vs car allowance?

by my calculations, 15k/yr would only cover you for a 13k secondhand car or small new car to cover 35k per year with rego, insurance,basic maintenance,tyres and fuel etc.....
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Old 04-03-2014, 10:51 PM   #14
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Default Re: Company car vs car allowance?

With a lease you cant claim depreciation.
With a car allowance you can and if it costs more than the 15k it just comes off the tax from the rest of your income anyway....

buy a really nice car and pay no tax at all is my opinion.
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Old 05-03-2014, 10:23 AM   #15
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Default Re: Company car vs car allowance?

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Originally Posted by Giant Cranium View Post
My other option is to go the ohs route. Claim that it is unsafe and hope that a further up manager is concerned.
What is NSW's version of Worksafe? Ring them up and explain the situation say you're not getting any concern from the managers and email them the photos, mention how it will be dangerous in an accident.

Its up to them if you have an accident, can they cover the medical costs for a new knee and then times that by 7 over the next 3 years in workcover premiums?

In Victoria if you have medical expensives covered by Workcover, the company will pay the medical expensives times 7, over the next 3 years on their workcover premium, so thats talking $$$.
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Old 05-03-2014, 11:08 AM   #16
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Default Re: Company car vs car allowance?

Quote:
Originally Posted by Mr Hardware View Post
Do you neeeed a brand new car?
Take the $15k
pick up a $15k FG
???
Profit.
Nothing stopping him purchasing 2nd hand, I for one did. Paid it off and now make a profit though its knocking on 200,000kms now.
but he's doing 35000 kms per year, and a 15K FG will already have a few on it.
so you need to factor in wear and tear and replacement.
you really need to spend about 40K give or take, plus you get depreciation with tax.

bottom line is 15K/year is well below the award. his company would have made a good deal on a 5 year lease with the Tritons, so its likely that all its costing them.
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Old 05-03-2014, 01:06 PM   #17
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Sent an email to the boss (more like my lawyer fiancé sent it from my email). Pointed out some facts with photos backing them up and had a phone call today from me apologising saying that he didn't know it was so bad. Told me car allowance won't happen as he said I'll be out of pocket to much. So he has arranged for the ohs and fleet buyer to spend a day test driving cars. So a good outcome so far
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Old 05-03-2014, 01:54 PM   #18
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Default Re: Company car vs car allowance?

Quote:
Originally Posted by Giant Cranium View Post
Sent an email to the boss (more like my lawyer fiancé sent it from my email). Pointed out some facts with photos backing them up and had a phone call today from me apologising saying that he didn't know it was so bad. Told me car allowance won't happen as he said I'll be out of pocket to much. So he has arranged for the ohs and fleet buyer to spend a day test driving cars. So a good outcome so far

well there you go...talking the matter out amicably wins the day
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Old 05-03-2014, 02:05 PM   #19
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Default Re: Company car vs car allowance?

Sounds like you have a reasonable and pragmatic boss.

Good outcome so far.
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Old 05-03-2014, 02:19 PM   #20
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Default Re: Company car vs car allowance?

Good show! I'm glad you didn't have to suffer driving a Triton.
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