Buy or lease?

Esse85

Advice here would be appreciated.

For the last 10 years or so I've always had a fully expensed company car.

I'm starting a new job next month that offers a car allowance monthly payment instead.

I'm wondering what's the best option financially, should I buy a second hand car or lease? I'm also a little worried my insurance might be pretty high as I've been under company insurance since 2010.
Probably expecting to do 40000km annually.

Mike9832

Lease

Insurance will be mental and you still need alot of cash for a car capable of doing 40,000km trouble free

Leaseplan etc do all inclusive packages

raxy

Mike9832 wrote: »

Lease

Insurance will be mental and you still need alot of cash for a car capable of doing 40,000km trouble free

Leaseplan etc do all inclusive packages

With leaseplan you will pay more to lease the car than you would to buy it yourself. From my own (rough) calculations it would cost about the same as a pcp deal where you give the car back at the gfmv of pcp. But with pcp when trading in you will be offered more than the gfmv figure making lease a more expensive. When my pcp deal ended I was offered ~3500 more than the gfmv.
Not sure how the ops mileage would affect it.
I would be buying a reliable older 2nd hand car.

Large bottle small glass

I've been driving 40k km work related for over 20 years.

Buying a good 2nd hand car isn't difficult; depending on your risk profile/knowledge of cars you can buy from near new to pretty old.

My current car a w204 Merc I bought at 5 years old and 160k km. Has been bullet proof for the most part for last 3 years. I'll probably keep for another 2 years or so. Have bought 2 and 3 year old cars previously

Once well serviced and driven appropriately cars go forever for the most part.

Depreciation is the big cost, but I've always kept it in the €2-€3k bracket with just regular maintenance.

colm_mcm

How much business mileage do you see yourself doing?

Esse85

Maybe 30k

Due to the fact its a new role for me, I can't be anymore specific.

colm_mcm

Are you pretty confident that you’ll stick the job out?

What level of car are they offering?

Heres Johnny

colm_mcm wrote: »

Are you pretty confident that you’ll stick the job out?

What level of car are they offering?

No car, just an allowance was my reading of it anyway

Esse85

colm_mcm wrote: »

Are you pretty confident that you’ll stick the job out?

What level of car are they offering?

As above poster said, just a monthly car allowance.

colm_mcm

Oh sorry, I thought it was an either/or situation.