Let's talk about the car TCO or Total Cost of Ownership.🚗 🚘 🚙

Why?

🥇 Because the federal government adopted a royal decree on the 10th of September (published on the 29th) which describes a proposed TCO formula to be used for the first pillar of the mobility budget.

There are many different ways to compute total costs of ownership with two types:

1. a sum of all the costs including the non-deductible part of the taxes

2. a sum of all the costs minus the deductible part of the taxes

The formula proposed here corresponds to the first type mentioned.

Note that parking costs and fleet management fees can be included in the TCO (as for the mobility budget, the management fees can be paid by the mobility budget).

The second part of the text details how to compute a fixed TCO (forfaitaire) for a specific employee (depending on his commuting distance).

🥈 The Federal Planning Bureau (Laurent Franckx) published his working paper on the TCO's in Belgium 🇧🇪 for different types of vehicles, regions and owners depending on the yearly mileage.

The charts talk by themselves.

You can see which propulsion type is the cheapest one.

It is also interesting to see the maintenance costs delta between electric vehicles and the others.