The way companies organize employee mobility is undergoing fundamental change. What has been considered best practice for decades – the traditional company car via leasing contracts with three to four-year terms – is increasingly coming under pressure. Long delivery times for new vehicles, rising administrative costs, and changing employee expectations are forcing companies to rethink their mobility strategy.
At the same time, new models are emerging that promise greater flexibility: car subscriptions with monthly cancellation options are conquering the market, and digital mobility budgets enable employees to decide for themselves whether they prefer a car, the Deutschlandticket, or a company bike. For financial decision-makers and HR departments, this raises a central question: Which model fits our company – and how do we make an informed decision?
This article provides you with a factual decision-making basis. We compare the three main options for modern corporate mobility, analyze their respective advantages and disadvantages, and show through concrete scenarios which solution is suitable for which type of company.
Before we examine the individual models in detail, it's worth looking at the challenges companies face with traditional company car administration today. These problems are not new, but have significantly intensified in recent years.
Delivery times and planning uncertainty: The automotive industry has been struggling with delivery bottlenecks since 2021. What used to take three to four months now often takes twelve to eighteen months. For companies, this means: new employees have to wait months for their promised company car, or expensive bridging solutions must be found. The predictability that once characterized leasing has largely been lost.
Rising administrative costs: Administering a company fleet ties up considerable resources. Vehicle ordering, insurance management, claims handling, maintenance coordination, return processes, and tax calculation of the monetary benefit require dedicated personnel capacity. In medium-sized companies with 50 to 200 company cars, one to two full-time positions are often occupied solely with fleet administration.
Inflexibility with staff turnover: Leasing contracts typically run for 36 to 48 months. If an employee leaves the company prematurely, the vehicle remains – either it must be assigned to another employee, which doesn't always fit their requirements profile, or the company continues to pay the leasing rate without using the vehicle. In times of increasing job changes and shorter periods of employment, this problem is becoming increasingly pressing.
Changed employee expectations: The younger generation of specialists and managers defines mobility differently than their predecessors. While the traditional company car is still valued as a status symbol in many industries, the proportion of those who prefer flexible solutions is growing. Particularly in large cities, more and more employees consciously forgo their own car and instead use a combination of public transport, car sharing, and bicycles. A rigid company car model does not meet this need – and can become a disadvantage in the competition for talent.
Sustainability pressure and regulatory requirements: With the Corporate Sustainability Reporting Directive (CSRD), over 50,000 companies in Germany are now required to record and reduce their Scope 3 emissions. Employee commuting often accounts for a significant proportion – up to 50 percent of a company's total CO₂ footprint can come from mobility. Companies thus face the challenge of making their fleet more sustainable while precisely recording employee mobility.
These challenges have led more and more companies to look for alternatives. In the following, we examine the three most important models in detail.
Corporate leasing has been the standard model for company cars in Germany for decades. About 60 percent of all new registrations in Germany are attributable to commercial owners, a large part of them through leasing contracts. The major leasing companies such as Alphabet (BMW Group), Arval (BNP Paribas), ALD Automotive (Société Générale), and Deutsche Leasing have many years of experience and offer comprehensive fleet management services.
With traditional corporate leasing, the company concludes a contract with a leasing company for the use of one or more vehicles. The contract term is typically 36 or 48 months, in individual cases also 24 months. The company pays a monthly leasing rate, which depends on the vehicle value, the term, and the agreed mileage.
A basic distinction is made between two types of leasing: With operating leasing, also known as kilometer leasing, an annual mileage is agreed at the beginning of the contract – for example, 30,000 kilometers per year. At the end of the term, a settlement takes place: excess kilometers are charged additionally, under-mileage is refunded. The advantage of this model lies in predictability, as the residual value risk remains with the leasing company.
With finance leasing or residual value leasing, a residual value of the vehicle is determined at the beginning of the contract, which it should still have after the end of the term. If the actual market value is below this, the company must compensate for the difference. If it is above, the company benefits. This model has a lower monthly rate but carries a higher risk.
Most companies today opt for operating leasing, as it offers greater planning security. In addition to pure leasing, companies can book full-service packages that include maintenance, repairs, tire service, insurance, and sometimes fuel cards. These all-around packages significantly reduce administrative effort but are reflected in higher monthly rates.
From a tax perspective, leasing offers clear advantages: the monthly leasing rates can be fully claimed as business expenses and thus reduce taxable profit. The value-added tax from the leasing rates is also deductible as input tax, provided the company is entitled to deduct input tax.
For the employee who may also use the vehicle privately, a monetary benefit arises that must be taxed according to the one-percent rule. One percent of the gross list price is assessed monthly as additional income. For a vehicle with a list price of 40,000 euros, that's 400 euros per month. In addition, there is 0.03 percent of the list price per kilometer of simple distance between home and first place of work. At 25 kilometers commuting distance, that would be another 300 euros (40,000 × 0.03% × 25), so that the monthly taxable monetary benefit amounts to 700 euros.
For electric vehicles and certain plug-in hybrids, reduced rates apply: instead of one percent, only 0.25 percent of the list price is assessed if the vehicle has no CO₂ emissions or emits a maximum of 50 grams of CO₂ per kilometer and has an electric minimum range of 80 kilometers. This tax incentive makes electric vehicles particularly attractive in corporate leasing.
Large customer conditions and discounts: Leasing companies have considerable negotiating power vis-à-vis automobile manufacturers. The conditions that companies receive through leasing contracts are significantly below the prices that private individuals have to pay when buying a car. The larger the fleet, the better the discounts. Companies with several hundred vehicles can achieve fleet discounts of 20 to 30 percent on the list price.
Balance sheet advantages: With operating leasing, the vehicle does not appear in the company balance sheet, which does not burden the equity ratio. The monthly leasing rates are booked as business expenses. For companies that need to pay attention to their balance sheet ratios – for example because they have to prove credit ratings or creditworthiness to business partners – this is a relevant advantage over vehicle purchase.
Plannable costs: The monthly leasing rate is fixed for the entire contract term. With full-service contracts, maintenance, repairs, and insurance are also covered, so that hardly any unexpected costs arise. This predictability makes budgeting considerably easier and makes leasing particularly attractive for larger fleets.
Professional fleet management: Large leasing companies offer comprehensive services related to fleet management. These include digital fleet management tools, damage management, workshop coordination, tire service, and vehicle replacement in case of breakdown. For companies without their own fleet department, this is a considerable added value.
Tax deductibility: As already mentioned, the leasing rates can be fully deducted as business expenses, which reduces the company's tax burden.
Long contract commitment: The biggest weakness of traditional leasing is its inflexibility. Contracts usually run for three to four years and cannot be terminated early or only against high penalty payments. If the company's mobility needs change – for example through staff reductions, restructuring, or changed task profiles – the leasing obligations nevertheless remain.
Residual value risk with finance leasing: Those who opt for residual value leasing bear the risk of falling vehicle values. Particularly in times of rapid technological development – such as the transition to electromobility – this can lead to considerable additional payments if the agreed residual value is not achieved.
High administrative effort: Despite the services of the leasing companies, considerable administrative effort remains with the company. Vehicle selection must be coordinated, car policies must be created and enforced, tax calculation of the monetary benefit must be done monthly for each employee, damage cases must be documented, and on return, the vehicle condition must be checked. With larger fleets, this quickly ties up several full-time positions.
Long delivery times: As mentioned at the beginning, delivery times for new vehicles have risen dramatically since 2021. Even for large customers and framework agreements, companies today have to expect twelve to eighteen months waiting time. For new employees who have been promised a company car, this is unsatisfactory. Bridging solutions with short-term rentals are expensive and cause additional coordination effort.
Limited adaptability: If the requirements for a vehicle change during the term – for example because a field service employee moves to another position or an employee leaves the company – the vehicle cannot simply be exchanged or returned. It must be assigned to another employee, which doesn't always suit their needs, or it continues to run unused.
Despite these limitations, traditional leasing remains the right choice for many company types. In particular, companies with stable, large fleets benefit from the advantages: corporations with several hundred or thousand company cars that have dedicated fleet departments and can plan long-term achieve considerable cost advantages through fleet discounts and professional management.
Also for companies whose employees are primarily in field service and permanently need a company car, leasing is often the most economical solution. The predictability of costs and the possibility of regularly renewing vehicles speak for this model.
Traditional leasing is less suitable for companies with high staff turnover, for start-ups and fast-growing companies with difficult-to-predict needs, and for organizations that want to give their employees more flexibility in mobility choice.
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The car subscription has established itself as a real alternative to traditional leasing in recent years. What initially appealed mainly to private individuals is increasingly being discovered by companies. Providers such as SIXT+, FINN, ViveLaCar, Cluno, and numerous others have specifically expanded their offerings for business customers and offer fleet solutions with considerable flexibility.
A car subscription works on the all-inclusive principle: the company pays a monthly flat rate that includes all costs except fuel. These include insurance (liability, comprehensive and partial comprehensive), vehicle tax, registration, maintenance, repairs, tire changes, and sometimes even the broadcasting fee for the radio installed in the vehicle. The company doesn't have to worry about anything – the vehicle is delivered ready to drive and can simply be returned at the end of the contract.
Contract terms are significantly shorter and more flexible than with leasing. Depending on the provider and chosen model, terms between one and 24 months are possible. Many providers also offer a monthly cancellation option after a minimum term of three to six months. This flexibility is the central difference from traditional leasing.
Vehicle selection is usually made via online platforms. Mostly stock vehicles are available, which can be delivered within a few days or weeks – an enormous advantage compared to the long waiting times with new car leasing. The vehicles are usually young (often under one year old) and have modern equipment.
If necessary, the vehicle can be exchanged for another model during the term – for example if the requirements change. A field service employee who initially uses a sedan can switch to a station wagon or van when the project changes. This adaptability is not possible with traditional leasing.
The monthly costs of a car subscription are usually above the pure leasing rates of comparable vehicles. While a leasing rate for a mid-range car is around 350 to 450 euros (without insurance and maintenance), a comparable car subscription costs between 500 and 700 euros per month – but all additional costs are already included. The higher costs are explained by the shorter term, the higher flexibility, and the included services.
Tax-wise, car subscriptions are treated like leasing: the monthly subscription rate is fully deductible as a business expense. Value-added tax is also deductible as input tax. For employees who use the vehicle privately, a monetary benefit also arises that must be taxed according to the one-percent rule or alternatively via a logbook.
Many providers charge a one-time start-up fee or provision fee, which depending on the provider is between 0 and 500 euros. Some providers also require a deposit, which is refunded when the vehicle is returned. These one-time costs should be considered in the overall calculation.
Maximum flexibility: The biggest advantage is the short commitment. Companies can react quickly to changed needs. If the company grows and additional vehicles are needed, they can be provided within a few days. If demand shrinks, contracts can be terminated promptly. This flexibility is particularly valuable for project-based companies, consultancies, or agencies whose personnel needs fluctuate greatly.
No residual value risk: The vehicle is simply returned at the end of the term. The company bears no risk regarding vehicle value. Particularly with electric vehicles, whose residual value development is still difficult to predict, this is a relevant advantage.
Fast availability: While with new car leasing today there is often over a year of waiting time, car subscription vehicles are usually available immediately or within a few weeks. For new employees who have been promised a company car, this means: they can actually start with their vehicle promptly, instead of waiting months for delivery.
Minimal administrative effort: Since all services are taken over by the provider, coordination effort is almost completely eliminated. The company doesn't have to worry about insurance contracts, workshop appointments, or tire changes. In case of damage, the provider handles everything. This relief is particularly valuable for small and medium-sized companies without a dedicated fleet department.
Ideal for probationary employees: A common problem with traditional leasing: a new employee is promised a company car, but the probationary period still runs for six months. If the company already orders the vehicle and the employee doesn't pass the probationary period, an unused leasing contract remains. With a car subscription, the vehicle can be provided for six months and afterwards either converted into longer-term leasing or simply returned.
Testing electromobility: Many companies are hesitant to convert their entire fleet to electric vehicles because it's unclear whether the vehicles meet the requirements and how employees cope with them. With car subscriptions, companies can test electric vehicles for three to six months without long-term commitment. This allows risk-free testing of whether electromobility works for their own fleet.
Higher monthly costs: As already mentioned, the monthly subscription rate is higher than a comparable leasing rate. Calculated over three years, the car subscription can thus be 20 to 30 percent more expensive than traditional full-service leasing. For companies with large fleets and long-term needs, leasing is therefore often the more economical choice.
Limited vehicle selection: While with leasing almost any vehicle can be configured, with car subscriptions usually only stock vehicles are available. The selection is thereby limited. Those who have special requirements – such as all-wheel drive, tow bar, or specific equipment – don't always find the right vehicle.
Kilometer limits: Most car subscriptions include a maximum annual mileage, which depending on the tariff is between 10,000 and 30,000 kilometers. Excess kilometers are charged at the end of the contract, typically between 0.10€ and 0.30€ per km. For high-mileage drivers with over 35,000 km/year, traditional leasing is usually more economical, as with car subscriptions the excess kilometer costs can outweigh the flexibility advantages.
Less negotiating room: While large companies can negotiate considerable fleet discounts with leasing, conditions with car subscriptions are usually standardized. Volume discounts exist here too, but they are lower than with direct leasing with manufacturers.
Car subscriptions are the ideal solution for companies that value flexibility higher than absolute cost optimization. This model is particularly suitable for growing companies whose personnel needs are difficult to predict, for project-based companies with temporarily increased vehicle requirements, for start-ups that don't want to commit long-term, and for companies that want to test electromobility first before converting their entire fleet.
Also for smaller companies without their own fleet department, the car subscription is attractive because administrative effort is minimal. A managing director can book a vehicle with a few clicks without having to deal with insurance, workshops, and tax calculations.
Car subscription is less suitable for companies with large, stable fleets, for which traditional leasing is significantly cheaper, and for companies with very specific vehicle requirements that need individual configurations.
The mobility budget represents a fundamentally different approach than leasing or car subscription. Instead of providing individual vehicles, employees receive a monthly budget that they can use for various forms of mobility. They decide themselves whether to finance a car subscription, use the Deutschlandticket for public transport, lease a company bike, or choose a combination of different options.
This approach reflects how mobility has changed in recent years: away from the rigid assignment of a single vehicle towards a flexible mix of different means of transport, depending on situation and need. An employee living in the city center might consciously forgo a car and instead use public transport and car sharing. A colleague in a rural area, however, needs their own vehicle. The mobility budget enables both to choose the optimal solution for them.
The company first defines which employees are entitled to which budget. This can be based on hierarchy levels, functions, or be uniform for all employees. Typical budgets are between 100 and 800 euros per month, depending on position and mobility needs.
Employees receive access to a digital platform through which they manage their budget. There they can choose from various mobility options: car subscriptions from various partner providers, the Deutschlandticket as a job ticket, bike leasing for company bicycles, e-bike leasing, fuel cards for gas stations, charging station access for electric vehicles, and sometimes car sharing credit or taxi/ride-hailing vouchers.
The big difference from the traditional company car: the employee makes the decision themselves. They don't have to choose from a predetermined list of three approved vehicle models, but can use their budget as it suits their life situation. If they live close to the office, the Deutschlandticket plus bike leasing might be enough. If they live further away, they use their budget for a car subscription. If their situation changes – for example through a move – they can flexibly adjust the mobility forms.
Tax processing is automated via the platform. Depending on the chosen mobility form, different tax regulations are applied: the Deutschlandticket as a job ticket is tax-free according to Section 3 Number 15 EStG, bike leasing can be granted tax-free via the 0-percent rule, car subscriptions are taxed like traditional company cars via the 1-percent rule, and for certain mobility forms the benefit in kind of 50 euros per month can be used. The platform automatically calculates which tax treatment is optimal and delivers the corresponding data directly to payroll accounting.
A significant advantage of the mobility budget lies in tax optimization. While with the traditional company car the 1-percent rule always applies, with a mobility budget various tax-free or tax-favored models can be combined.
An employee can, for example, receive the Deutschlandticket for 49 euros tax-free as a job ticket, additionally lease a company bike via the 0-percent rule, and beyond that use 50 euros as tax-free benefit in kind for occasional taxi rides or car sharing. In total, they thus receive a mobility benefit of over 100 euros monthly without taxes or social security contributions arising.
For employers, this means: wage ancillary costs decrease, as no social security contributions are due on tax-free benefits. At the same time, the attractiveness of the benefit for employees increases, as they receive more net than with a comparable gross supplement.
This calculation becomes particularly interesting with salary conversion: employees can waive part of their gross salary and receive a mobility budget instead. Through tax optimization, they often receive more net value than they lose through the salary waiver. Employers additionally save social security contributions. A win-win situation arises where both sides benefit.
Maximum employee flexibility: Employees can decide themselves which form of mobility suits them. This significantly increases satisfaction, as not everyone needs or wants a car. Especially for younger professionals in large cities, this flexibility is a real advantage over the traditional company car.
Lowest administrative effort: While with traditional leasing the company must manage each contract individually, with the mobility budget everything runs through a central platform. The HR department only sees the monthly total amount, tax calculation is automated, and employees organize their mobility independently. Companies report time savings of up to 90 percent compared to traditional fleet administration.
Tax optimization: Through the combination of various tax-free and tax-favored mobility forms, considerable tax advantages can be realized for both employers and employees. The platform takes over the calculation and ensures that all regulations are correctly applied.
Sustainability promotion: Since employees can also choose public transport, bike leasing, and other sustainable options, the CO₂ emissions of the fleet are reduced. Companies that must record and reduce their Scope 3 emissions benefit from this. In addition, it can be precisely tracked via the platform which mobility forms are used and which emissions are associated with them.
Attractiveness as an employer: In the competition for specialists, a flexible mobility budget can be a real differentiating feature. It signals that the company takes modern forms of work and individual needs seriously. Especially for companies with hybrid working models, where employees don't come to the office daily, the mobility budget is more attractive than a company car that sits unused most of the time.
Scalability: If the company grows, new employees can be added to the system within a few minutes. No new leasing contracts need to be negotiated, no framework agreements need to be adjusted. The system scales seamlessly from ten to a thousand users.
Car subscription integration: Employees who still need a car can access partner networks for car subscriptions via the mobility budget. They thus receive the flexibility of a car subscription, financed through their budget, and the company doesn't have to worry about contracts with subscription providers.
Paradigm shift required: The mobility budget requires a rethink. Companies that have been working with traditional car policies for decades must let go of the idea that company cars are assigned according to hierarchy levels and status symbols. Not every corporate culture is ready for this.
Complexity in implementation: The initial conversion from an existing leasing model to a mobility budget requires planning. Existing leasing contracts are still running while the new system is being introduced in parallel. A clear communication strategy is needed to bring employees along and address possible resistance – for example from executives who want to keep their status symbol company car.
Not suitable for all industries: Companies with very specific vehicle requirements – such as construction companies that need vans with special bodies, or companies that wrap their vehicles with company logos – reach limits with a mobility budget. Here, traditional leasing or purchase remains the better choice.
Higher initial effort for budget determination: The company must define which employees receive which budget. This requires an analysis of previous mobility costs and a decision on how budgets should be distributed fairly and transparently. Should all employees receive the same budget? Or are there different levels depending on position? These questions must be clarified in advance.
The mobility budget is particularly suitable for companies that live modern forms of work and grant their employees trust and autonomy. Typical users are IT companies, consultancies, agencies, service providers, and other industries with office and knowledge workers. Also for companies with hybrid working models, where employees only come to the office two to three days a week, the mobility budget is ideal, as not everyone permanently needs a car.
Companies that take their sustainability goals seriously and want to reduce their CO₂ footprint also benefit. The mobility budget automatically promotes more sustainable mobility forms, as employees can consciously decide to switch to public transport and bicycles instead of using a car.
Finally, the mobility budget is suitable for companies that want to minimize their administrative effort. Small and medium-sized companies without a dedicated fleet department can reduce their mobility administration to a fraction of the previous time.
The mobility budget is less suitable for very hierarchical companies where the company car plays a central role as a status symbol, for industries with highly specialized vehicle requirements, and for companies that must strictly minimize costs and are therefore dependent on the favorable conditions of large leasing contracts.
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Get infoChoosing the right mobility model depends on various factors. The following matrix helps you make an informed decision:
Company size and fleet size
Large companies with several hundred vehicles and their own fleet department benefit from the fleet discounts with traditional leasing. The complexity of administration is manageable here through specialized teams, and the cost advantages are considerable. Small and medium-sized companies with ten to a hundred vehicles should weight administrative effort more heavily – here car subscriptions or mobility budgets can be more economical overall despite higher individual costs because personnel resources are saved.
Staff turnover and growth dynamics
Companies with high turnover or strong growth – such as start-ups, scale-ups, or consultancies with many project staff – need flexibility. Here car subscriptions or mobility budgets are the better choice, as they are quickly scalable and no long-term commitments are entered into. Traditional industrial companies with stable workforces can, however, use the predictability and cost efficiency of leasing contracts.
Mobility needs and usage profiles
If all or most employees permanently need a vehicle – for example in field service, in care, or in rural regions without public transport connections – traditional leasing is often most economical. If employees have different mobility needs, work hybrid, or are in large cities with good public transport connections, a mobility budget offers the greatest satisfaction and flexibility.
Budget framework and cost orientation
If absolute cost minimization is the goal, with large fleets there's no way around traditional leasing with fleet discounts. The monthly costs per vehicle are lowest here. If, however, total effort – i.e., direct costs plus personnel costs for administration – is to be minimized, car subscriptions or mobility budgets can be more economical despite higher vehicle costs.
Sustainability goals
Companies that must reduce their CO₂ emissions and report CSRD-compliant benefit from a mobility budget. It actively promotes sustainable mobility forms and at the same time delivers precise data on the means of transport used and the associated emissions. With traditional leasing, sustainability can be controlled through the specification of electric vehicles, but flexibility and measurability are lower.
Corporate culture and employee expectations
In traditional, hierarchically structured companies, the company car is often an important part of compensation and status. Here a radical change to a mobility budget can meet with resistance. In modern, flat organizations with high employee autonomy, the flexibility of a mobility budget is appreciated. The culture must fit the solution – otherwise even the best concept fails due to lack of acceptance.
Availability and delivery times
If fast availability is crucial – for example because new employees need a vehicle promptly – car subscriptions or mobility budgets with car subscription options are the better choice. Traditional new car leasing currently often fails due to long delivery times.
To make the abstract advantages and disadvantages more tangible, let's look at three concrete company types and which solution would be optimal for them.
Scenario A: Medium-sized mechanical engineering company with 150 employees
The company employs 150 employees, of which 30 in field service with permanent vehicle needs, 20 managers with company car entitlement, and 100 employees in production and administration without company cars. The company is based in a rural region, most employees commute with their own car. There is no dedicated fleet department, administration of the 50 company cars is done by the HR department on the side.
Recommendation: For the 30 field service vehicles, traditional leasing is recommended, as these vehicles are permanently needed and cost efficiency is highest here. For the 20 managers, a mobility budget could be introduced that gives them the choice between car subscription, leasing, or other options. Since many need a car anyway, most will opt for a car subscription or leasing, but some could also rely on alternative mobility forms. This hybrid solution combines the cost efficiency of leasing with the flexibility of a mobility budget.
Scenario B: IT consultancy with 80 employees in Munich
The company advises corporations on digitalization projects. Employees work hybrid, about three days a week they are on-site at the customer, two days in the home office. Most customers are in Munich and surroundings, some projects run nationwide. 20 employees currently have company cars, the remaining 60 use public transport or private cars. The company is growing strongly, 30 new employees are to be hired in the coming year. Staff turnover is 15 percent per year.
Recommendation: For this company, a mobility budget is the ideal solution. Employees have different mobility needs: those who live in the city center get by with public transport and occasional car sharing. Those who live in the surrounding area need a car. Project employees who travel nationwide need flexible solutions. A mobility budget enables everyone to choose the right option. Due to high turnover and strong growth, flexibility is crucial – new employees can be immediately added to the system, departing employees cause no unused leasing contracts. The low administrative capacity additionally speaks for a digital solution with self-service.
Scenario C: Pharmaceutical corporation with 500 field service employees nationwide
The company employs 500 field service employees who visit doctor's offices and clinics daily. Each employee permanently needs a vehicle, average mileage is 35,000 kilometers per year. The company has its own fleet department with five employees. Vehicles are regularly renewed after three years. There are clear specifications for vehicle classes and equipment.
Recommendation: For this company, traditional leasing is the most economical solution. Fleet size enables considerable discounts with manufacturers and leasing companies. Vehicle demand is stable and long-term plannable. The own fleet department can handle administration professionally. High mileage speaks for leasing instead of car subscription, as with subscriptions excess kilometers are expensively charged additionally. However, the company should check whether part of the fleet can be converted to electric vehicles to achieve sustainability goals and benefit from tax incentives.
In practice, a company doesn't have to decide strictly for one of the three models. Often a combination is sensible, where different employee groups receive different solutions.
A typical hybrid approach could look like this: field service employees with permanent, high vehicle needs receive traditional leasing vehicles, as cost efficiency is highest here. Managers and employees in probationary period receive a mobility budget that gives them flexibility and at the same time creates no long-term obligations for the company. For temporary projects with additional vehicle needs, car subscriptions are used that can simply be returned after project completion.
This hybrid approach requires somewhat more coordination but combines the advantages of all three models: cost efficiency with permanent needs, flexibility with changing requirements, and employee satisfaction through freedom of choice.
Another sensible hybrid: companies that want to gradually convert their fleet to electromobility can first test some electric vehicles via car subscriptions before concluding larger leasing contracts. This allows risk-free testing of whether the range is sufficient for actual use purposes, how employees cope with charging technology, and whether total costs are actually lower than with combustion engines.
Regardless of which model you choose – implementation requires careful planning. The following steps have proven successful in practice:
The question is no longer whether companies should move away from traditional company car models, but when and how. The three presented models – traditional leasing, car subscription, and mobility budget – each have their justification. The optimal solution depends on company size, industry, corporate culture, and specific mobility needs.
Traditional leasing remains the most economical option for large, stable fleets with long-term needs. Car subscriptions offer the ideal solution for companies that need flexibility and don't want to commit long-term. Mobility budgets represent the most modern approach and combine cost efficiency, employee satisfaction, and sustainability promotion – however, they require a rethink and don't fit every corporate culture.
The trend clearly goes towards hybrid models, where companies combine different solutions and give their employees more freedom of choice. Digitalization makes it possible to efficiently manage even complex mobility models. Companies that proactively shape this change secure competitive advantages in the fight for talent and position themselves as modern, employee-oriented employers.
The decision for a particular model should not be made hastily. A thorough analysis of own requirements, involvement of all stakeholders, and careful evaluation of providers are the basis for a successful conversion. Companies that approach this process in a structured way benefit long-term from lower costs, more satisfied employees, and more sustainable mobility.
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