Are Fuel Cards Really Worth It?
Your business vehicle(s)' fuel expenses can be reduced thanks to company fuel cards, especially since the majority of them are only accepted at stations with special discounts. Additionally, fuel cards eliminate the time and money required for administration and accounting associated with a pay and reclaim system.
Continue reading to find out if it would be beneficial for your firm to get a workplace gasoline card.
5 benefits of a company fuel card
A company fuel card offers a number of advantages that might help your business save money while filling up the vehicles. Here are six advantages of a fuel card that may help you decide if it's the best choice for you.
Discounted fuel
The discounts that your company receives at the gas pumps when filling up are the main advantage of having a company fuel card. The fixed national price per litre of fuel is typically announced a week in advance by many fuel card issuers. This typically costs 1-2 pence less than the going rate. This will be significantly more for motorway pricing, frequently around 10p less.
Paying drivers' expenditures at a rate-per-mile can result in overpaying for fuel because fuel prices are variable by nature. With a fuel card, you can make sure you're always paying the correct amount and maintain control over how much money your company spends on fuel.
A business can save a tremendous amount of money by using the car regularly and travelling long distances.
Secure fuel purchases
A company fuel card will be limited to simply allowing payments for topping off the vehicle's fuel tank, unlike a business debit or credit card. Additionally, the majority of service providers allow you to link a fuel card to a particular driver and/or vehicle.
It is much simpler to keep track of how much each company car is costing the company to operate with this degree of protection.
No fuel receipts
It's not necessary to preserve receipts as proof of payments while using a workplace gasoline card.
On bills listing all the transactions done at the pumps, each gasoline payment will be recorded. You can ask for a printed copy of the provider's weekly detailed invoice for the amount spent on fuel.
From an accounting standpoint, this can save a tonne of time by displaying all of your company's gasoline expenditures in one location. Because these invoices comply with HMRC regulations, less time is required for administrative tasks.
Additional services
Numerous companies that sell fuel cards also include extra services in their consumer packages. For instance, you might receive a specialised account manager from some providers or fleet management reports to assist you in managing a fleet of vehicles.
You can use some cards to make purchases outside fuel. This can consist of essential lubricants like engine oil, coupons for nearby car washes, and car-related accessories.
No fees
That largely depends on the fuel card you select. fuelGenie does not levy fees for routine use, in contrast to many fuel cards.
Some or all of the following costs may be assessed by other cards: a fee for each card issued, an annual fee, a network service fee, convenience fees, invoice fees, and risk-based fees.
How do company fuel cards work?
Before using your company gasoline card, you should confirm that it is compatible with those stations. You can choose whether you want regional, national, or global coverage, and certain cards will have greater networks than others.
All you have to do to use the card is adhere to these 6 steps:
- Locate an approved fuel station
- Fill up your car
- You will be prompted to provide the registration number of your company vehicle after presenting your company fuel card
- If you want to keep track of your miles, you will be asked
- You'll be prompted to sign for the transaction after your card is swiped to make the payment
- Make a decision regarding whether or not to keep the receipts.
Are fuel cards worth it?
fuelGenie can benefit any company trying to better manage and reduce their fuel spending because:
- Savings of 3p+/litre by directing drivers to low-cost supermarket petrol stations*
- Absolutely no costs associated with cards or transactions
- 24/7 web dashboard for simple administration
- HMRC-approved bills for simple VAT refunds
- Credit facility with low rates and no minimum spending
- Unlimited free fuel cards are available.
- With the use of supermarket loyalty cards, drivers can also earn personal reward points.