Flat-rate formula mobility budget from 2024 onwards
January 2024 - In March 2019, you as an employer had the opportunity to introduce the mobility budget in your company. As part of a simplification of this measure, a flat-rate formula to calculate this budget will be available from 1 January 2024.
To refresh
Through the mobility budget, an employee can exchange his or her company car for a certain budget. This budget is calculated based on the 'Total Cost of Ownership' (TCO) of the car. The TCO is the total annual cost to an employer for financing and using the company car.
The application of the mobility budget relies on three pillars on the basis of which an employee can spend this budget:
Pillar 1: choice of an environmentally friendly company car
Pillar 2: choice of sustainable means of transport, such as a bicycle
Pillar 3: payment of the remaining balance in cash
Two calculation methods
From 1 January 2024, as an employer you will have the choice between two calculation methods:
a calculation based on the actual cost of the company car
a calculation based on flat-rate costs
A calculation based on flat-rate costs is new. What elements should you take into account?
This flat-rate formula covers both the calculation of the mobility budget and the value of the car in the first pillar.
You must explicitly indicate your choice of lump-sum formula. If you do not, the calculation based on actual costs will compulsorily apply.
Your choice applies for a period of three years. After this period, you must again explicitly indicate which option you prefer (actual or lump-sum costs).
You must inform your employees of the new flat-rate calculation method.
Which is the best choice?
A calculation based on actual or flat-rate costs does not yield so many differences.
The main difference lies in the calculation of fuel and/or electricity costs. In the flat-rate calculation, this is calculated using a fixed amount per kilometre for commuting, plus 6,000 km per year of private travel. This flat-rate formula thus provides additional clarity and uniformity.
In both cases, you have to take into account already known costs, such as the leasing amount, CO2 contribution, non-deductible VAT and tax on non-deductible costs.
The new calculation method only applies to new entrants. No recalculation is required for ongoing mobility budgets. Existing agreements will remain in full force and effect.
