Offering Free Fuel to your Employees? Reasons This Could be Harming your Business
Driving more miles
When your employees get fuel for free this generally encourages them to drive more than if they had to pay for it. This ends up being a huge expense for your company that could have been easily reduced by having more control on how you manage your fuel.
Tax experts, such as Alastair Kendrick from MacIntyre Hudson, point out that if employees revise their taxes and expenses carefully, they will discover that paying for their own fuel is actually saving them money.
Damaging the environment
We live in an era in which we all are aware of the importance of reducing carbon emissions. However, if your employees are doing extra miles because their fuel is free this is also having social costs.
Nowadays people want to join companies who share their belief system and protect the planet. You may want to explain this to your employees when they ask why your company doesn’t provide them with free fuel. Earth’s resources are limited and we should preserve them if we want to have an eco-friendly business.
The fuel that drivers get for free tends to be more expensive than that which they’d purchase if they were paying it from their own pocket. So you actually might be losing a lot of money just by providing them with free fuel, and this same money could be used to keep your business growing and create more chances and benefits for your employees. You may also choose to have a fuel management system to help you control the fuel expenses at your business.
If you want to know what else you can do to reduce the expenses of fuel at your company we are here to answer any inquiry you might have. You can phone us at 01254 291391 and we will be delighted to help you.