Car Maintenance and Gas Allowance Policy: What Should Be Covered and How to Set Limits?

My company is in the process of formulating a car maintenance and gas allowance policy. I was wondering if you can share your insights or experience on this regarding coverage, limits, etc.

Thank you very much! 😀

Based on our current job structure and analysis of our industry, this is what we are doing at our sites in the UK - we have made adjustments for the new cycle. Hope it helps.

Cheers!
Rekha

Allowance | Lease
Current | Proposal | Current | Proposal
Board/AR | 880 | 900 or 950
90 | 770.00 | 850.00 | 750.00 | 800.00
80 | 660.00 | 750.00 | 600.00 | 650.00
70 | 660.00 | 700.00 | 500.00 | 600.00
60 | 550.00 | 600.00 | 450.00 | 500.00
50 | 495.00 | 500.00 | 450.00 | 450.00

Hi,

My company is in the process of formulating a car maintenance and gas allowance policy. I was wondering if you could share your insights or experiences regarding coverage, limits, etc.

Let me share our experience in India:

Car Maintenance: Rs 4.75 per km, Rs 350 per month for maintenance, and Rs 12,000 per annum for tires and tubes replacement.

Cheerio,
Rajat

Hi,

Let me share my experience. I have developed and implemented a policy on Car Maintenance & Gas Allowance in my company for the employees/executives who are using their own vehicles for official purposes. These are mainly marketing personnel and purchase personnel.

The components were:
- Average cost of petrol and diesel in the country, just to neutralize the taxation part.
- Past trends and fluctuations in price.
- Cost of lubricants.
- Cost of Tyres & Tubes.
- Average cost of service up to 1 lakh kilometers.
- Cost of depreciation.
- Average fuel consumption by different vehicles.

I added all these and worked out the per kilometer cost. I hope you will get the answer for your area for immediate and future implementation.

Regards,
Anil Anand