Company Car Tax Calculator for Germany

If you can use a company car privately, the tax office treats that as extra income: the geldwerter Vorteil. Under the standard method it is 1% of the gross list price per month, plus 0.03% per km of one-way commute, added to your gross pay and taxed like salary — including social contributions while your pay is below the ceilings.

A flat-rate valuation: instead of tracking actual private trips, 1% of the car's gross list price at first registration is added to taxable pay each month. It applies automatically unless you keep a proper logbook (Fahrtenbuch) and elect that method instead.

For fully electric cars acquired after 30 June 2025 with a gross list price up to €100,000, only a quarter of the list price counts as the assessment base — effectively 0.25% per month. Cars acquired between January 2024 and June 2025 keep the previous €70,000 cap; above the cap, half the list price applies.

Plug-in hybrids acquired from 2025 to 2030 qualify for the halved assessment base if they emit at most 50g CO₂/km or manage at least 80 km of electric range (WLTP). Otherwise the full 1% rule applies, like a combustion car. Mild and full hybrids without a plug never qualify.

The monthly flat method adds 0.03% of the assessment base per one-way kilometre. Per-trip valuation uses 0.002% per kilometre and actual office day, capped at 180 days across the year, with no monthly 15-day cap. It can help when you commute fewer than 180 days in a full year. Record the dates and agree the payroll treatment with your employer. This calculator displays the annual cost divided by 12.

The flat rate wins with lots of private driving and an average list price. A logbook wins when private use is small, the list price is high, or the car is already depreciated — then actual costs prorated by private share can be far below the flat rate. The catch: the logbook must be complete and tamper-proof, or the tax office falls back to the 1% rule.

Agreed payments from net salary reduce the taxable benefit down to zero. An excess payment does not create negative wages or a further deduction: a €900 payment against an €800 benefit still costs you €900. Salary sacrifice is different and is not modelled here. One-off purchase contributions require separate treatment with payroll.

Usually yes when the employer covers fuel, insurance, maintenance and depreciation: those costs typically dwarf the tax on the benefit. A quick check: this calculator's net cost per month versus what leasing, insuring and fuelling the same car privately would cost. For electric cars at 0.25%, the comparison is rarely close.

Yes. The assessment base is always the domestic gross list price at first registration, rounded down to full €100 — regardless of what the employer actually paid, discounts, or the car's age. That makes nearly-new used cars relatively unattractive under the flat-rate method.

The big change came mid-2025: the list-price cap for the 0.25% electric-car rule rose from €70,000 to €100,000 for acquisitions after 30 June 2025. For 2026, the income-tax tariff and contribution ceilings were updated (basic allowance €12,348, health ceiling €69,750, pension ceiling €101,400) — all reflected in this calculator.