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Learning, Sharing, and Teaching => Ask a Mustachian => Topic started by: Aharon on November 12, 2013, 06:29:27 AM

Title: Company Car
Post by: Aharon on November 12, 2013, 06:29:27 AM
Hi!

I didn't introduce myself yet, I will do so in the main thread for this purpose later on. For now, I have a relatively urgent question: I'm German and work for a small consultancy specialized on energy. My Boss has offered me the so-called 1%-Regelung: I get to use a company car, but have to pay 1% of its brutto list price per month to him. I would get to choose a car. The offer is pretty good: I don't currently own a car, and would have to pay about 1.200 Euro per year for fuel, 900 € per year for insurance and about 130 € per year taxes if I bought a car myself - so about 200 € per month. I would also have to buy a car, and as I'm not very experienced in buying cars (this would be my first) I fear making a bad choice, ending up with a used car that Needs lots of care. I do drive a lot, both for Business and privately, so Managing life without a car is not an Option, especially since I live in a rural area, and our main Office is in a rural area, too (so moving closer to the Job wouldn't Change anything).

The catch: As we're a consultancy, my Boss would prefer if I Chose something a bit more representative. I'm currently torn between a Dacia Sandero Lauréate for about 12.090 Euro and a Skoda Octavia Ambience for about 24.000 Euro. The 1%-Regelung includes all costs of the car (fuel, taxes, repairs etc.), so all my Transportation Needs are covered for 120/240 Euro.

The questions:
Are there any advantages of buying an own car that I have not considered?
Given the above Facts, what arguments would you use to convince your Boss of the Dacia?
Emotionally, I want the Skoda, but I rationally know that financially, the Dacia would be a much better choice. Do you have any advice on how to combat consumerism in this case?

Thanks and best regards!
Title: Re: Company Car
Post by: gooki on November 12, 2013, 10:07:11 AM
The Dacia looks perfectly acceptable to me. No harm in asking.