Do you offer the Mobility Budget to your employees in Payflip and need to recalculate the TCO of one or more employees on the basis of the new formulas?
1️⃣ Choose the formula
You need to make 2 choices:
Which formula will you apply?
The actual costs formula
The flat-rate cost formula
How are you going to apply this formula and calculate the TCO?
On an individual basis, per employee
On a job category basis, by choosing a reference car
⚠️ The same method, whether actual or flat-rate, must therefore be applied to all the company's employees.
➡️ Formulas
| Actual costs formula | Flat-rate cost formula |
Formula details | Evaluation of the actual cost of the car allocated to an employee over the last 4 years of use (or as long as possible if used for less than 4 years).
The TCO is made up of all the actual costs incurred by the employer to finance a company car, as well as the related costs mentioned in the car policy. | The calculation depends on the type of vehicle. A distinction is made between :
In both cases, the TCO consists of:
|
For whom? 🤷🏽 | For employees who have a company car and decide to give it up in favour of the Mobility Budget | For employees who do not (yet) have a company car and therefore are not giving up an existing car. For example:
|
💡 In practice, Payflip has found that the flat-rate method for leasing cars is the most widely used. This method is :
easy to implement
and transparent for employees
It is often applied by job category on the basis of a reference car.
2️⃣ Share your formula choice with us
Once you have made your 2 choices (formula + calculation method), share them with us via chat so that we can prepare for you:
✍️ Your updated Mobility Budget policy
✍️ The corresponding annex to the employment contract
To enable us to draft these legal documents, please provide us with:
Which formula will you apply?
☐ Actual cost formula
☐ Flat-rate cost formula
How will you calculate the TCO?
☐ On an individual basis, per employee
☐ Per job category, with a reference car
We will prepare the legal documents and upload them in Payflip (tab 'Company' > 'Documents').
3️⃣ Calculate the new TCO amounts
1. Download our TCO calculator
Download our TCO calculator and save the file on your computer.
🤔 Do you come across cells where it says '"NAME?'? Click on the cell in question, put the cursor in the function bar and then press 'enter'. Everything should return to normal!
Read the instructions to find out how to use this file. 🎮
2. A few tips from Payflip on applying the new formulas
Actual cost formula | Flat-rate cost formula - leased or rented vehicles | Flat-rate cost formula - owned or financially leased vehicles |
There are no changes to the old calculation that Payflip provided. If you use this formula, you can continue to apply it.
For an update, see the tab for this formula in our TCO calculator. | There is no change from the previous calculation provided by Payflip, if fuel costs are included in the annual cost of the hire or lease.
| You must apply the new formula published by the government.
❗️Recalculate the TCO on the basis of the relevant tab in the TCO calculator. |
🎮 How do I use Payflip's TCO calculator?
Payflip has created its TCO calculation file, which we are making available to you so that you can calculate the TCO applicable to your employees yourself.
Download the TCO calculator here.
Payflip's TCO calculator file consists of 2 tabs:
The actual costs formula: you can calculate the TCO based on actual costs.
The flat-rate formula: you can calculate the TCO based on the flat-rate method depending on whether you use a leased/rented vehicle, or one purchased/financially leased by the company.
Once you have chosen the formula you will apply, calculate the TCO directly in the tab of the chosen formula.
How to do it?
🔵 Fill in the blue boxes
🟠 Make a choice in the orange boxes
📞For certain information, don't hesitate to ask your accountant (e.g. VAT or tax on expenses).
❓If you have any questions about the file itself, please do not hesitate to contact us via chat.