Car allowance for contract

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Anonymous

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Ok the contract has been resigned. But even Quintiles reps get a car allowance. Mileage doesn't cut wear and tear on your car. You pay your own car insurance. At least keep up PSS in the industry. After all this contract will be launching Asmanex HFA.
 






Mileage doesn't over tires, oil, wear and tear. Gas is expensive too. Management please listen..car allowance with mileage, a paid vacation...something. Yes, I am grateful for having a job but sometimes feel taken advantage of.
 






Mmmmm.....apparently you dont know that the CLIENT determines if you get a company car or a car allowance (& the salary range and bonus too). The US Govt determines your milage reimbursement.
 






Anonymous said:
Mmmmm.....apparently you dont know that the CLIENT determines if you get a company car or a car allowance (& the salary range and bonus too). The US Govt determines your milage reimbursement.
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Do the math!$600/MTH car allowance x12,.19cents per mile x miles,TAX FREE,then multiply total yearly miles by.55cents tax write off.After subtracting your tax free car and mile reimbursement,you still have @ an $8000 tax write-off.My new car was paid off in the first year.Consult your accountant to verify this info.Given a choice,I would much rather go this route than a company car.
 






Anonymous said:
Mileage doesn't over tires, oil, wear and tear. Gas is expensive too. Management please listen..car allowance with mileage, a paid vacation...something. Yes, I am grateful for having a job but sometimes feel taken advantage of.
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Mileage at $0.565 does cover maintenance. If you drive 12,000 miles per year for your job, you get reimbursed $6,780.

If you opted for a an allowance of 3/5 (or 60%) of a generous allowance of $600 per month (because you have a 3 day work week instead of a 5 day work week) then your allowance would be, at most, $360 per month, or $4,320 per year. If you drove that same 12,000 miles, with a mileage reimbursement of $0.19, your mileage reimbursement would be $2,280. So, the allowance at $4,320 plus mileage of $2,280 would equal $6,600.

At 12,000 miles, you lose $180 with an allowance. At 15,000 miles, you lose $1,305. If you only drive 10,000, you are better off with an allowance by $570. But overages for auto allowances are taxable outside a range, as anyone who has received an allowance and driven few miles knows.

That is the math. The advice above to seek guidance on what to do with taxes is well taken. Nothing is tax free. Anyone who believes they can receive an auto allowance and mileage reimbursement without reporting them as reimbursed expenses while still taking the $0.565 rate would be incorrect. If you are audited and believe the allowance and mileage reimbursement is free money, but the milage deduction is okay to take, hope you don't get audited, or for a forgiving auditor if you do.

The simple answer is, the most fair and generous reimbursement structure is the mileage reimbursement at the federal rate of $0.565. The company is not obligated to that by law, by the way. They could pay much less per mile and let you figure it out on your taxes.

With the current structure, the more you drive, the better off you are without an allowance. That covers the wear and tear and depreciation. If you drive very little, then you don't need to worry about that as much.

As for paid vacation, it depends on how you want your money delivered, either maximum money allowed by contract for the hours you work, or a lesser amount per hour with a built in vacation. It is a zero-sum equation. There is a very specific amount of money to pay us for what we do. Moving the money around into different buckets with different labels doesn't do anything useful, but maybe psychologically it would be nice. I would rather get another raise!
 






Anonymous said:
Mileage at $0.565 does cover maintenance. If you drive 12,000 miles per year for your job, you get reimbursed $6,780.

If you opted for a an allowance of 3/5 (or 60%) of a generous allowance of $600 per month (because you have a 3 day work week instead of a 5 day work week) then your allowance would be, at most, $360 per month, or $4,320 per year. If you drove that same 12,000 miles, with a mileage reimbursement of $0.19, your mileage reimbursement would be $2,280. So, the allowance at $4,320 plus mileage of $2,280 would equal $6,600.

At 12,000 miles, you lose $180 with an allowance. At 15,000 miles, you lose $1,305. If you only drive 10,000, you are better off with an allowance by $570. But overages for auto allowances are taxable outside a range, as anyone who has received an allowance and driven few miles knows.

That is the math. The advice above to seek guidance on what to do with taxes is well taken. Nothing is tax free. Anyone who believes they can receive an auto allowance and mileage reimbursement without reporting them as reimbursed expenses while still taking the $0.565 rate would be incorrect. If you are audited and believe the allowance and mileage reimbursement is free money, but the milage deduction is okay to take, hope you don't get audited, or for a forgiving auditor if you do.

The simple answer is, the most fair and generous reimbursement structure is the mileage reimbursement at the federal rate of $0.565. The company is not obligated to that by law, by the way. They could pay much less per mile and let you figure it out on your taxes.

With the current structure, the more you drive, the better off you are without an allowance. That covers the wear and tear and depreciation. If you drive very little, then you don't need to worry about that as much.

As for paid vacation, it depends on how you want your money delivered, either maximum money allowed by contract for the hours you work, or a lesser amount per hour with a built in vacation. It is a zero-sum equation. There is a very specific amount of money to pay us for what we do. Moving the money around into different buckets with different labels doesn't do anything useful, but maybe psychologically it would be nice. I would rather get another raise!
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So,you pay taxes on the overage of $180,but the rest is yours,tax-free!What's your beef?
 












Stop worrying about lost gas. Just add up the amount of money you spend on gas and divide by .19 then submit that number as your mileage. You break even not lose money on fuel.
 


















The problem with the company telling the rep to "figure it out on their taxes" is that not everyone itemizes. I take the standard deduction, so I gain nothing. And 19 cents a mile does not even cover gas if you have an SUV. The auto allowance is supposed to cover a car payment, insurance, depreciation and maintenance. Companies that give out company vehicles are renting them and they pay all of that essentially.
 






The company pays the lease value of the car (and gas/maintenance if you have a PHH card), but you are taxed on all personal use. It is considered a benefit by the IRS and it has its hands out to collect.
 






Anonymous said:
The company pays the lease value of the car (and gas/maintenance if you have a PHH card), but you are taxed on all personal use. It is considered a benefit by the IRS and it has its hands out to collect.
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Are you saying they pay "A lease value" or the lease value of the car you are driving? In other words, will there be tax penalties if you have a 10 year old vehicle? Does anyone have first hand experience with this?
 












Anonymous said:
Are you saying they pay "A lease value" or the lease value of the car you are driving? In other words, will there be tax penalties if you have a 10 year old vehicle? Does anyone have first hand experience with this?
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The company would pay you a monthly lease value, say $400. You could buy, or lease, the car of your choosing. Some may also pay mileage, however any surplus (above and beyond business usage) is taxed by the IRS as a perk. Most bigger companies have now abandoned paying reps lease allowances, in favor of simply providing a company vehicle.

Back in the day, if a company provided a vehicle, it could be used personally with no IRS penalties. The IRS got wise and began to require reporting of personal use of company vehicles. Today, if you get a company vehicle or vehicle allowance, it's intended for business use. If there is personal use, it's considered a perk and is taxed by IRS.
 






























Anonymous said:
Wow. Really. We have jobs and by the end of the week Merck won't have jobs. Your so above us. We have all been laid off before. Wake up to reality.
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yes I am above you you illiterate CSO fuckstain. I know the difference between "your" and "you're". Did ANY of you CSO morons go to college? Stupid sample dropping assholes.
 






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