Skip to content
Count.ie

People & employment · Calculator companion · By K Imports

Company-car BIK and take-home impact: practical guide

This guide explains how to use the Count.ie company-car bik and take-home impact. Calculate 2026 car BIK, supported EV reductions, a single employee's take-home impact and employer-cost assumptions. Follow the inputs, method and worked example below, then compare your own scenario.

Guide written .

Open the Company-car BIK and take-home impact calculator

What to prepare

  • Use the contract, pay records, service dates and applicable working pattern.
  • Identify the relevant jurisdiction, rule date and employee category.
  • Separate contractual arrangements from statutory minima and employer-cost estimates.

Understand the inputs

Assumed employer PRSI rate for incremental BIK (%)
Scenario input only; confirm payroll classification/rate. This input is applied throughout the estimate, not phased through the year.

The calculation method

2026 BIK = max(0, adjusted OMV × CO₂/mileage band − direct employee contribution). OMV reduction is €10,000 except category E, plus €20,000 for electricity-only cars. Compare the existing published-2026 single PAYE calculation with and without notional pay; remove notional cash and direct contributions from take-home.

Worked example

Illustrative inputs and their result.

Example inputs

Original Irish market value including VAT/VRT (€)
55000
Electricity-only car (not a hybrid)
Yes
Certified CO₂ emissions (g/km)
0
Full-year business distance excluding commuting (km)
23000
Direct annual contribution to employer (€)
0
Annual cash salary excluding BIK (€)
60000
Annual personal pension contribution (€)
0
Assumed employer PRSI rate for incremental BIK (%)
11.4
Employer's annual lease/ownership and running costs (€)
8000

Calculated example result

Taxable Benefit
€3,750.00
Monthly Take Home Reduction
€147.62

How to interpret the result

A payroll or employment estimate does not determine a legal entitlement by itself. Contract terms, eligibility, service history and specific statutory exceptions can matter.

Compare the same role and working pattern when changing a pay or staffing assumption. Confirm statutory questions with the cited guidance or a qualified adviser.

Common mistakes to avoid

  • Do not mix weekly, monthly and annual pay without converting consistently.
  • Check whether service dates and working days are included as the method requires.
  • Do not assume all employees share the same eligibility or contribution treatment.

Assumptions and sources

Full-year single-assessed Class A employee aged 35, standard tax credits. Employer PRSI is an entered scenario rate. Vans, part-year availability, pool cars, special 20%-reduction concessions, married/medical-card/age profiles and foreign OMV adjustments are not supported.

Rules checked . Baseline rules year: 2026. Reviewed scope: 2026 full-year car/EV cash equivalent; restricted employee PAYE scenario. This does not verify every selectable year, date or Budget announcement profile.

Sources and further information

If your case falls outside this scope, use a more suitable calculator or contact us about an unclear method.

Related people & employment guides

Try your own scenario in the calculator

Browse the complete guide library