Company Car Calculator Germany
Taxable benefit of a company car in Germany: 1% rule, 0.5% for plug-in hybrids or 0.25% for EVs, plus commute (0.03%) and the tax at your personal rate.
Benefit in kind / month
€787.50
Tax burden / month
€275.63
Detailed calculation (monthly)
Benefit in kind / year
€9,450.00
Tax burden / year
€3,307.50
1% rule: Combustion 1%, plug-in hybrid 0.5%, electric 0.25% (GLP up to EUR 100,000, acquired from 07/2025) or 0.5%. Commute: 0.03% x GLP x one-way km. Without guarantee.
Note: These calculations are for informational purposes only and do not replace professional tax or financial advice. All information without guarantee.
FAQ
Frequently Asked Questions
How is a company car taxed?
Private use of a company car is taxed either via the 1% rule (1% of the gross list price per month) or through a driver's logbook. For electric vehicles, only 0.25% or 0.5% of the list price applies.
What is the 1% rule for company cars?
Under the 1% rule, 1% of the car's domestic gross list price at first registration is added to your taxable income each month. Additionally, 0.03% per kilometer of the commute distance is added.
Which personal tax rate should I enter?
Enter your marginal tax rate – the rate at which the last euro you earn is taxed – not your average tax rate. In 2026 it is around 32% at a taxable income of €40,000 and 42% from €69,879; church tax and the solidarity surcharge may be added. Example with the default values: a combustion-engine car with a €45,000 list price and a 25 km commute results in a monthly benefit in kind of €787.50, i.e. about €275.63 tax per month at 35% and €330.75 at 42%. The calculator does not include social security contributions on the benefit in kind.
Guide
What is the Company Car Calculator Germany?
The company car calculator computes the taxable benefit of a company car and the resulting tax burden. It compares the 1% rule with the logbook method.
How does the Company Car Calculator Germany work?
Under the 1% rule, 1% of the gross list price is taxed monthly as a benefit in kind. For commuting, 0.03% per kilometre of distance is added. Electric and hybrid vehicles use a reduced list price. The logbook method taxes actual private use.
Key Data and Facts
1% rule: 1% of gross list price monthly. EVs up to 100,000 euros (acquired from 1 July 2025; 70,000 euros before): 0.25% (quarter rule). More expensive EVs and plug-in hybrids: 0.5%. Commute: 0.03% per km.
Step-by-Step Guide
How to calculate the non-cash benefit of a company car step by step: 1. Determine the gross list price (BLP): The manufacturer's recommended retail price at the time of first registration, including VAT and optional extras. 2. Determine the type of drive: Combustion engine: 1 % of the BLP. Electric car up to 100,000 EUR BLP (acquired from 1 July 2025; 70,000 EUR before): 0.25 % (quarter rule). Electric car above this limit: 0.5 %. Plug-in hybrid: 0.5 % (with at least 80 km range or max. 50 g CO2/km). 3. Calculate the commute: An additional 0.03 % of the BLP per kilometre of distance (one-way) per month. Alternatively: individual assessment at 0.002 % per trip (worthwhile with fewer than 15 trips/month). 4. Add and tax the non-cash benefit: The amount is added to the gross salary and taxed at your personal tax rate. Example: combustion-engine company car, BLP 45,000 EUR, 25 km commute. 1 % rule: 45,000 x 1 % = 450 EUR/month. Commute: 45,000 x 0.03 % x 25 km = 337.50 EUR/month. Non-cash benefit: 787.50 EUR/month. With tax class I and a marginal tax rate of 35 %: about 275 EUR of additional monthly tax burden. Electric car with 60,000 EUR BLP: 60,000 x 0.25 % = 150 EUR/month – considerably cheaper.
Calculation Example
Combustion-engine car, gross list price 45,000 EUR, 25 km commute. 1% rule: 450 EUR. Commute (0.03% x 25 km): 337.50 EUR. Benefit in kind: 787.50 EUR/month. Extra tax burden (approx. 35%): approx. 275 EUR/month.
Sources
Official sources
Calculations are based on applicable German laws and official data:
- Einkommensteuergesetz (EStG) — gesetze-im-internet.de
- Bundesministerium der Finanzen (BMF)
- Statistisches Bundesamt (Destatis)
Full methodology at Methodology.
Reviewed by Konstantin Iakovlev · Last updated:
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