German Company Car Calculator 2026
Work out the taxable benefit of your company car under the 1% rule and see straight away what it costs you in net pay every month.
| Private use (1%) | €450.00 |
|---|---|
| Commute to work | €270.00 |
| Taxable benefit | €720.00 |
| Net cost per month | €358.68 |
- The benefit is added to gross, taxed and insured, but not paid out. List price rounded down to full €100.
How the 1% rule works
For private use, 1% of the gross list price is taxed every month, plus 0.03% per kilometre of the one-way commute. A car with a €45,000 list price and a 20 km commute adds €450 plus €270, so €720 a month. That amount is added to your gross, taxed and insured, but never paid out.
Electric cars and hybrids
Pure EVs count at a quarter of the list price, 0.25%, as long as the price is at most the cap for their acquisition period: €60,000 until 2023, €70,000 from January 2024 to June 2025, and €100,000 for cars acquired from July 2025. Above the cap, half applies. Plug-in hybrids count at half if they emit at most 50 g CO₂ or, from 2025, drive at least 80 km electrically.
The 0.002% alternative
If you only drive to the office on some days, the commute can be taxed at 0.002% per km per actual commute day instead of the flat 0.03%, for at most 180 days a year. It pays off below 15 commute days a month.
Frequently asked questions
Does the list price apply to used cars too?
Yes. The German gross list price at first registration including options always applies, even if the car was bought used or at a discount.
Is there an alternative to the 1% rule?
A logbook (Fahrtenbuch). If you drive little privately, you are taxed only on the actual private share of the costs, but every trip must be recorded without gaps.
How does the benefit show up on my payslip?
It raises your taxable and insurable gross. You can enter it under More options in the Germany salary calculator.
Sources: Section 8 (2) and Section 6 (1) No. 4 EStG, Section 52 (12) EStG, LStR R 8.1.