Calculate Clearly Before Accept Allowance
If you are working in the middle of big company then you usually have regular facility which the company gives you for sure. The facility is usually in a form of bonus, mess or transportation. The last thing is the important thing because it costs more money for the employees. Transportation is related to the cost of employee to go to the company to work every day. Every company tries to make efficiency spending every month including in the transportation of the employee but the company also doesn’t want their employee not to work maximized because of bad transportation for go and coming home every day. Rather than supplying a car or motorcycle, several company choose to use the car allowance. It is the extra money given to the employee as the substitute for transportation cost such as paying petrol or maintenance for the car or motorcycle. The company pays you money instead of supplying you with a car, and yes it is taxable. Before accepting the allowance offer from the company the employee should calculate how much actual cost which they have spent every day and then comparing with amount offered by the company. If the amount offered at least same or better more than you spend every month then the employee should accept the offer. The company usually hires service from the provider of allowance such as CRS Inc.
