Company cars calculation and information

Summary

Information on how Sage 50 P11D calculates company cars.

If you provide company cars and fuel benefits to your employees, they're liable for NI contributions.

This is based on the value of the car and the fuel they use.

Sage 50 P11D automatically calculates the cost of a company car. The exact calculations depend on the type of fuel or power used by the car.

The calculations typically comprise five elements:

Sage 50 P11D calculates the total cost of the company car
The percentage that applies to the total cost is based on the type of fuel or power, and the CO2 emissions of the car
The percentage-reduced cost is then divided by the time for which the car is available to the employee during the tax year
Contributions made by the employee for use of the car are deducted
The resulting value rounds down to the nearest whole pound

The value calculated is the P11D Cost of the company car.

If a car is a pool car, it's not available for private use. Because of this, pool cars aren’t available in Sage 50 P11D.