Calculating BIK for Company Cars 2023

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BIK Changes from 2023

At Jensen Fleet we aim to make managing your company fleet easier. This handy guide will help you to calculate the BIK due from each employee on their company car.

From January 2023 the way we charge BIK to company cars is changing. The new system will be based on the CO2 emission from each vehicle and the business mileage completed. The new minimum BIK rate after discounts will increase to 9%, and the maximum rate will be 37.50%

Temporary Changes to the BIK System for 2023

On the 7th of March 2023 the government announced temporary changes to the new BIK system they had put in place from January 2023.  These measures are temporary and will run to December 2023 & will be backdated to January 2023.

The main changes after the 7th of March are as follows:

1) A relief of €10,000 to be applied to the Original Market Value (OMV) of cars in the C02 Categories A-D.

2) The €10,000 relief will also apply to vans and Electric Vehicles. For EV’s this means the total relief allowed is now €45,000

3) Vehicles which fall into CO2 category E will not get any relief.

4) The threshold for highest mileage band is being reduced by 4,000km from 52,001Km to 48,001km. This means that employees who travel high amounts of mileage will enter the lowest rate of BIK earlier.

 

Please find details below:

  1. The amount of business mileage and CO2 emission category
Lower Level Upper Level A B C D E
Kilometres Kilometres % % % % %
— 26,000 22.5 26.25 30 33.75 37.5
26,001 39,000 18 21 24 27 30
39,001 48,000 13.5 15.75 18 20.25 22.5
48,001 — 9 10.5 12 13.5 15

 

  1. The CO2 emission category of the car is as per the following table.
Vehicle Category CO2 Emissions (CO2 g/Km)
A 0g/Km up to and including 59g/Km
B More than 59g/Km up to and including 99g/Km
C More than 99g/Km up to and including 139g/Km
D More than 139g/Km up to and including 179g/Km
E More than 179g/Km

 

Example

An employee has the use of a car provided by his or her employer on January 1, 2023. The OMV of the car is €55,000. With the new temporary measures applied, the OMV will reduced by €10,000 to €45,000.

Per the manufacturer, the car produces 79g/km in CO₂ emissions. The actual business kilometres in the year were 47,000 kilometres. 79g/km in CO₂ emissions puts the car in vehicle Category B.

As the employee drove 47,000 kilometres in the year, the cash equivalent is equal to the OMV x 15.75%

BIK Calculation: Cash Equivalent (OMV less €10,000) €45,000 x 15.75% = €7,088

The temporary measure of the reduction of €10,000 will save this employee €1,575 in the tax year.

Records

Employers, are required to maintain records of the kilometres travelled by each employee. This should be maintained on a weekly / monthly basis to calculate the BIK to be reported on a real time basis via the weekly/monthly payroll returns. Revenue have advised that employers should review this regularly (at least quarterly) to ensure the BIK recorded to Revenue is as accurate as possible.

Company Vans from 1st January 2023

From 2023 onwards the cash equivalent on company vans will increase from 5% to 8% of the OMV.  With the temporary measure in place the OMV can be reduced by €10,000.

Electric Vehicles

For an electric vehicle made available for an employee’s private use during the years 2023 – 2025, the cash equivalent will be calculated based on the actual original market value (OMV) of the vehicle reduced by:

  • €35,000 in respect of vehicles made available in the 2023 year of assessment (OMV can be reduced by €10,000)
  • €20,000 in respect of vehicles made available in the 2024 year of assessment
  • €10,000 in respect of vehicles made available in the 2025 year of assessment

If the reduction reduces the OMV to Nil, a BIK charge will not arise. Any portion of OMV remaining, after the reduction is applied, is chargeable to benefit-in-kind at the prescribed rates.

Payroll Implications

As these changes will be backdated to the 01.01.23 there be a one off adjustment to BIK in the next payroll cycle.

For more information on the vehicles, we can provide please contact Jensen Fleet Solutions on 01-4605250 or info@jensenfleet.ie

 

 

Volkswagen All Electric ID.4

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Volkswagen All Electric ID.4

Arriving in Ireland & ready to shake up the electric car market the Volkswagen ID.4 could be the game changer.  This urban SUV can put be put up against the likes of the Hyundai Kona and the Tesla Model 3 & come out as a firm fan favorite.

This vehicle comes with 4 trimlines and ranges in price from €39,500 for the ID.4 City to €59,000 for the business & comes with two battery types, the 52 kWh to the 77-kWh allowing charge capacity of 360 – 520 Km.

The exterior of the ID.4 is similar in size to the Nissan Qashqai & Audi Q3, with a fantastic exterior to match.  With a huge glass panoramic roof that stretches over the entire roof to draw your eye too and with the allowance of 18-to-21-inch alloys this vehicle shows off a fantastic design from VW.  The vehicle also includes by design recessed handles for improved aerodynamics and 3D LED taillights & optional lighting at the front.

Inside the ID.4 is extremely spacious in the front and back and comes with a centre touch screen of 30.5 cm.  Along with the multifunctional steering wheel there is an optional head up display directly onto your windscreen.  Also, we have an option of over 30 background colours to choose from to personalise the vehicle to your specification.

Extra features on the Volkswagen ID.4 Include Illuminating communication tool, wireless smartphone charging, voice assistant and keyless entry this vehicle really feels like driving us into the 21 centuries.

As Volkswagen and Ireland heads towards a carbon neutral position this vehicle could really help the process due to the size and capacity of the new ID.4 model.

If you are looking to lease or rent a vehicle for your company, contact us today on 01 4605250 or email info@jensenfleet.ie

 

 

 

 

 

Why Choose Jensen Fleet?

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At Jensen Fleet Solutions we know that your fleet is essential to smooth business operation. We specialize in personalized professional vehicle leasing whereby we take the hassle out of fleet management, leaving you free to focus on your business. Once provided with your company’s preferences in terms of car, annual mileage and finance term, we […]

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New Contactless Sales Service

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Looking to buy a new car? Our new contactless sales service will allow you to browse and buy cars online without leaving your home. You can even apply and be approved for finance online for your convivence.

You can view the used cars we have for sale online and our new 360 degree interior photos give you an in depth look at the vehicle without needing to come to our showroom. We can also send you a video of the car by request.

Once you purchased the car we offer a delivery service to complete the contactless sales service. All our vehicles are fully sanitized before final sale for your safety.

Other benefits of buying a Jensen Fleet vehicle include:

  • Full service history
  • One owner vehicles
  • Fully valeted
  • 6 months warranty which you can opt to upgrade to 12 months
  • Fully serviced
  • SIMI garage so you can buy with confidence.

Check out the used cars we have for sale today at jensenfleet.ie/sales and contact us on 01-4605250 or email info@jensenfleet.ie for more information.

Covid 19 Update from Jensen Fleet Solutions Ltd

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Update 30/03/2020

Following on from the Taoiseach announcement on Friday the 27.03.20 we have decided in the best interest of all involved to close our office for the next 2 weeks.

We will however continue to run with a skeleton staff working from home & will always be on call to assist with any issues.

With the closure of most garages and tyre providers we will endeavour to keep any frontline staff on the road by any means possible.

Your Partner, Jensen Fleet

Regards

Leanne Nolan, Ian Hand & the Jensen Fleet Team.

New Cars Coming in 2020

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There are plenty of exciting new cars coming in 2020! Here’s some of the cars we are most excited about this year.

 

Alfa Romeo Tonale

Alfa Romeo Tonale – Concept Car

Alfa Romeo’s new small SUV will also be their first car available as a plug-in hybrid as well as the conventional petrol and diesel-powered options. The Tonal is a great looking SUV featuring stand out design and should include the brand’s iconic shield grille which will be flanked by slim LED headlights and the usual offset grille.

 

Land Rover Defender

Land Rover Defender – Actual Car

The new Land Rover Defender was met with a great reception when it was officially revealed at the 2019 Frankfurt Motor Show. The new Defender will feature all the creature comforts that owners of the old car could only dream of having, such as a touchscreen infotainment system, parking cameras and a premium sound system!

 

Mercedes EQA

Mercedes EQA – Concept Car

The Mercedes EQA will be the smallest electric car from the brand and is an electric version of the A-Class hatchback. It will be looking to compete with the Tesla Model 3 and the new Volkswagen ID3. The EQA will feature selectable drive modes, enabling the drive to change the characteristics of the electric powertrain.

 

BMW iX3

BMW iX3 – Concept Car

BMW’s answer to the Audi e-tron and Jaguar I-Pace is the iX3. The iX3 will be based on the X3, instead of being produced totally from scratch, but will have a revised exterior including a blanked-off kidney-shaped grille. It will benefit from the latest-generation eDrive technology which combines the motor, transmission and drivetrain control into a single unit.

 

Volkswagen ID3

Volkswagen ID3 – Actual Car

The new Volkswagen ID3 looks to be a promising alternative to the Golf for buyers interested in going electric. Based on Volkswagen’s modular electric platform, MED, the ID3 promises ample space and range between 230-330km (with the small battery), 300-420km (with the medium battery) and 390-550km (for the large battery).

 

Ford Mustang Mach-E

Ford Mustang Mach-E – Actual Car

The new Ford Mustang Mach-E is an all-electric SUV with sporty looks and coupe-like roofline and nods to the brand’s legendary Mustang with the triple vertical tail-lights and fastback rear. All these features combined give the Mach-E a much sportier look than most electric SUVs, making it stand out from the crowd.

 

Aston Martin DBX

Aston Martin DBX – Actual Car

Aston Martin describes their first SUV as “an SUV with the soul of a sports car”. The luxury 4×4 will be the most practical Aston to date with plenty of cabin space for 5 people and a spacious boot. It will still very much be an Aston Martin at heart thanks to it s542bhp twin-turbocharged V8 engine (the most powerful V8 in any current production Aston). However, the estimated price of over €300,000 will put the majority of us off this particular beauty.

 

If you’re looking to lease or rent a vehicle for your company, contact us today on 01 4605250 or email info@jensenfleet.ie.

Advantages of Buying an Ex-Lease Vehicle

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Are you looking for to upgrade your vehicle? Here’s some of the benefits of buying ex-lease vehicles from Jensen Fleet Solutions.

advantages-of-buying-ex-lease

 

Visit our vehicles sales page to see some of the ex-lease vehicles we currently have for sale. If you’re interested in any of our vehicles call us on 01-4605250 or email info@jensenfleet.ie.

Top Electric Cars

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Deloitte predicts that worldwide sales of Battery Electric Vehicles will rocket from 4 million in 2020 to 21 million by 2030, whereas sales of traditional internal combustion engines will plummet. Sales of electric vehicles in Ireland in 2019 are already up 165% on the previous year. There are many benefits of electric vehicles: zero emissions, less servicing meaning lower maintenance costs, low tax, no BIK on vehicles under €50,000 and no petrol or diesel costs. We’ve taken a look at some of the best electric vehicles on the market right now.

Jaguar I-Pace

Jaguar’s first electric car is a rapid, desirable, good-lucking SUV. Not only does it look great, it is fun to drive, has a decent range and a large, comfortable interior. It boasts a range of up to 470km*. The I-Pace won several awards at the 2019 World Car Awards including; World Car of the Year, World Car Design of the Year and World Green Car. Available now from €92,895, the high price will probably put people off this particular beauty.

 

Hyundai Kona Electric

With prices starting from €38,630, the Kona Electric is a more reasonably priced alternative to the I-Pace but still with an impressive range (up to 449km*).  The Kona Electric is currently battling the Nissan Leaf for Ireland’s best selling electric car and may knock the Leaf off the number one spot. While it may not stand out as much as some of the more premium cars like the Tesla, Jaguar and Audi, it is still a brilliant drive.

 

Tesla Model 3

The Tesla Model 3 is the much hyped newest model Tesla which was released in Ireland this year and is the most affordable Tesla to date with prices starting from €48,900. Behind all the hype you will find a well-engineered car with a supercar performance and gadgets galore. Boasting a range of up to 530km* and going from 0-100km/hr in 3.4 seconds, this electric car is not for the faint hearted. Read about our Model 3 test drive here.

 

Nissan Leaf

The Nissan Leaf is the number one best selling electric vehicle in Europe, and has the advantage of being at this longer than anyone else. While the Leaf may not be as exciting as some other models, with pricing starting at €29,890 it is a much more affordable option and the latest model is available with a 62kWh battery giving it a range of 385km*, better than previous models. With a smooth, quiet drive and plenty of interior space, you can see why it remains Europes best selling electric vehicle.

 

BMW i3

The smallest electric vehicle on our list, the i3 is a great city car with futuristic styling. It is engaging to drive and has a decent range (over 200km*) and with an interior that is recognisably a BMW this will appeal to BMW fans who are looking for a small premium electric vehicle. Available now and prices start from €35,760.

 

Tesla Model S

The landmark electric car that shook the motor industry, the Model S is a premium saloon car with impressive electric motors, batteries, range (610km*) and infotainment system. A powerful machine with plenty of high-tech appeal, the Model S is definitely a car that will stand out in a crowd. Prices for the Model S start from €89,900.

 

Volkswagen e-Golf

The e-Golf has everything you like about a Golf just electric. The range is a bit smaller than its rivals (231km*) but it offers the comfort and security of the familiar Golf shape. For this reason it could be the ideal stepping stone electric car. Prices start from €42,250.

 

Hyundai Ioniq

The Ioniq is an ideal electric car for families as it has a good size boot and is comfortable, roomy and efficient to run. It is also available as a hybrid or plug-in hybrid. The range is a decent at 311km* and prices start from €34,850.

 

Audi e-tron

Audi’s first electric car is an SUV with a very similar styling to the Q5. The range is good (391km*) and performance is great. A handy feature of the e-tron is charging points on both sides of the vehicle, making charging easier. Audi has made the e-tron to feel similar to its other vehicles in order to persuade regular SUV buyers to make the jump to electric. Prices start from €99,750.

 

Tesla Model X

The final Tesla on our list, the Model X is most famous for its amazing ‘falcon’ back doors that are guaranteed to turn heads! It is the largest Tesla available, it can seat up to 7, and has all the modern and clever technology you would expect from a Tesla. Prices for the Model X start from €95,500 and its range is up to 500km*.

 

If you’re looking to lease or rent a vehicle for your company, contact us today on 01 4605250 or email info@jensenfleet.ie.

 

*Driving range may vary slightly depending on many factors including, road conditions, your driving style and even the temperature. 

Tesla Model 3 – The Test Drive

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Read more

The Electrifying New Audi e-tron

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Design

The new Audi e-tron has everything you would expect from an Audi, including aerodynamic design, superior technology and an elegant and luxurious interior, but it’s powered entirely by electricity. Set to rival the Tesla Model X and the Jaguar I-Pace, the e-tron is a conventional looking SUV (similar in size to the Q7) that seats five and has a large 605-litre boot. It comes with 20″ wheels as standard, LED headlights and charging points on both side.

Interior

As you would expect from an Audi, the e-tron has high quality interiors and all passengers are sure to be comfortable with plenty of headroom in the rear seats. There is a technological feel to the interior, with plenty of great extras (all at an extra cost). The dashboard as a 10-inch touchscreen with a second 8.3-inch screen underneath. The screens feature OLED technology, and the Audi virtual cockpit comes with a new curved OLED screen. Passengers in the rear don’t miss out, they can use the displays in the centre console allowing them to adjust the climate control and infotainment system. Other key technology features include, a 360 degree camera, keyless entry, adaptive cruise control and other driver assistance systems.

Technology

One of the options for the e-tron is a world-first, side cameras instead of wing mirrors. These virtual wing mirrors use a small camera to process the image digitally and show it on the high-contrast OLED display on the inside of both front doors. The driver can easily adjust the display using the touchscreen function, just like using a smartphone. Wing mirrors may not need to be upgraded to cameras but it is a cool feature.

Engine

Like most electric vehicles, the e-ton is a quiet and smooth drive and comes with different driving modes from Off-Road to Efficient to Dynamic. It has an electric motor at the front and one at the rear which jointly produce 300kw of power, propelling the e-tron from 0-100km/hr in less than 6 seconds.

Charging

The e-tron has a range of up to 391km and can be charged at home using a domestic socket or specially fitted wall box, or at a high-powered charging station. These 150kw charging stations can charge the battery to 80% in 30 minutes and 100% in just 50 minutes. Audi is working on expanding the charging infrastructure in Ireland through a joint venture called IONITY. This will see six charging stations built on main routes, with each station having six 150kw charging points.

If you’re looking to lease or rent a vehicle for your company, contact us today on 01 4605250 or email info@jensenfleet.ie.