Car allowance

Discussion in 'Applied Medical' started by Anonymous, Apr 19, 2011 at 8:44 PM.

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  1. Anonymous

    Anonymous Guest

    Can somebody please explain the car allowance formula? Is it better to get a newer car with better gas mileage or is it better to get an older car with less mileage. My new manager was not much help and saying it is a difficult formula to explain.

    I talked to another rep and they said it doesn't matter..you will get screwed anyway and it will cost alot out of your own pocket....

    Please serious replies only....which is the better way to go? Is it different for ALS vs TM's?
     

  2. Anonymous

    Anonymous Guest

    take whatever they will give you and write off the rest on your taxes. new car, old car, it doesnt matter. i always buy a newer used car, put 200k on it and then trade it in and do it all over again. the gov allows you to write off 43 cents/mile (i think, my cpa handles that). if your company reimburses, for ex, 33 cents/mile, you can write off the additional 10 cents/mile on your taxes. ive been a 1099 med device rep for 3 years and would love to have ANY type of reimbursement!
     
  3. Anonymous

    Anonymous Guest

    The car allowance is actually very fair. It depends on where you live, but is generally 4 to 500 a month base and 15 to 22 cents a mile. From my experience, as good or better than most places for a auto allowance.
     
  4. Anonymous

    Anonymous Guest

    Company car
     
  5. Anonymous

    Anonymous Guest

    +1 Industry standard is company car. Applied is not industry standard in many respects including this. Never has been, never will be under current management.

    Even with mileage reimbursement, there's no way $4-500/month pays for a vehicle, maintainence and depreciation. You don't get lost money back on your taxes. You only reduce your taxable income by that amount.

    Do the math. It's a losing proposition for the employee.