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warwick1
By warwick1 | AA Member | 2 Posts | 2 September 2013 at 2:48pm

Hi I use my 2004 BMW 545 for company use.

They only pay 0.77 cents per KM to cover fuel and usuage. I do on average of 700km per month.

What is the running cost of my vehicle and what is the fuel running cost of my vehicle

ABayliss
By ABayliss | AA Expert | 2169 Posts | 2 September 2013 at 3:12pm

77c is the IRD rate. The AA rate for a 4.4 litre car would be $1.07 per km, but that's based on a 3 year old car where depreciation is still high. A 9 year old car has already depreciated significantly, so the IRD rate is probably more appropriate for you to use.

warwick1
By warwick1 | AA Member | 2 Posts | 2 September 2013 at 8:17pm

Thanks, but it still does not cover my petrol and wear and tear!

ABayliss
By ABayliss | AA Expert | 2169 Posts | 3 September 2013 at 8:54am

If you do the sums, I think you'll find it should just cover your actual cost of running. Just out of curiosity I just did a very quick calculation including fuel, oil, reg, wof, insurance, R&M, tyres and depreciation (allowing $2k P/A for depreciation), at 77c per km, coincidentally it works out approximately a break even point for your car ($539 per month).