You may see on your account some abbreviations used. Here is a breakdown of these.
V2D
V2D is short for Visa 2 Drive, also known as Grey Fleet or Compliance+.
V2D (Visa 2 Drive) consists of Licence checks (UK & International), Insurance document checks, MOT/NCT checks, Tax checks, Fleet Policy and Eye Sight Checks. This is essentially an account that will be used to do all legal background checks to make sure both the employee has a valid driving licence, and that the vehicle being used is road legal.
AFR/AER
AFR stands for Advisory Fuel Rates -These rates are set by HMRC and reviewed every 3 months, in line with fuel prices. The link to the current rates is below.
https://www.gov.uk/guidance/advisory-fuel-rates
AER is exactly the same, however this stands for Advisory Electric Rates.
YTD/Actual Cost
YTD is an abbreviation for Year to Date, which is a calculation often used to determine the cost of private mileage. Year to Date is also referred to as ‘Actual Cost’. This looks at your tax year total figures and determines an 'Actual' representation of your pence per mile compared to a Advisory rate or Set rate by HMRC/your company.
A breakdown of the calculation is below:
YTD Total Costs / YTD Total Miles = Average PPM (Cost Per Mile)
Average PPM * YTD Private Miles = YTD Private Deduction
YTD Private Deduction – YTD Prior Deductions = Month's Deduction
Month Deduction - Employee Funded Costs (if any) = Payroll Total
This calculation is used to ensure that employees have paid the correct amount for any private fuel, based upon actual usage.
AMAP
AMAP is an abbreviation for Approved Mileage Allowance Payments (45p/25p). These payments are used for employees who use their own vehicle and are completing business mileage. This is a calculation used to reimburse employee's for any fuel costs and wear and tear of their own vehicle, of which is being used for Buisness use.
FE
FE is otherwise known as Fully Expensed. If you have a company vehicle as part of your role, sometimes you may be Fully Expensed meaning you do not pay back any personal deductions/ contributions back to your employer for using the vehicle privately, and all costs are covered by your company. Company car users who are Fully Expensed pay a higher Tax amount for the benefit of this instead.
BIK
BIK stands for Benefit-In-Kind. This is a kind of tax that is for any additional benefits or perks provided by your company in addition to your salary. For example, if you have a company vehicle or salary sacrifice vehicle as an additional perk, you will have BIK tax on top of your usual salary for this. This is otherwise known as 'Car tax'.
FC/PD
FC stands for Fuel card. This may also be shown as BC (Barclaycard).
PD stands for Private Deduction- This means that you pay a personal deduction for any personal miles completed in the vehicle.