A company car, van, or employer-paid health insurance isn't tax free — the cash value of the benefit gets added to your taxable pay, so it's charged at your full marginal rate: Income Tax, USC, and PRSI together. This calculator shows exactly what that costs you per year and per month.
For a car, Revenue applies a percentage of the vehicle's Original Market Value (OMV) based on its CO2 emissions category and your annual business mileage — from 6% for a zero-emission car driven over 48,000 business km, up to 37.5% for a high-emissions car driven under 26,000 km. For 2026, a €10,000 universal OMV reduction applies to categories A–D and all vans, with an extra €20,000 reduction for electric vehicles. Vans are a flat 8% of OMV after the same €10,000 reduction. Health insurance BIK is the full gross premium, though you can separately claim medical insurance relief at 20%, capped at €1,000 per adult and €500 per child.
A zero-emission (category A1) car gets a combined €30,000 OMV reduction for 2026 — the standard €10,000 plus an EV-specific €20,000 — and A1 also carries the lowest percentage rate in Revenue's table at every mileage band, so both the base and the rate work in your favour.
Yes — any contribution you make towards the vehicle's running costs is deducted euro for euro from the taxable cash equivalent, though it doesn't reduce the OMV or percentage rate used to calculate it in the first place.
Yes, completely separate — your employer can still give you up to 5 non-cash benefits worth €1,500 in total per year, entirely free of tax, USC and PRSI, regardless of what other BIK you're already paying on a car or health insurance.
Figures are estimates for informational purposes only, based on the assumptions you enter, and are not tax advice. Consult a tax advisor or Revenue.ie before making financial decisions.