View Full Version : Vehicle Registration
01-23-2013, 10:41 PM
Putting my company in the form of an S-Corp.
My question for you fellas is: I have a truck that I use 80 business / 20 personal.
Should I register the truck personally in my name and then reimburse myself the expenses at the standard mileage rate?
Should I register the truck in the business name, then put the vehicle use on my w-2 and paycheck when I pay myself.
Not sure exactly how this all work, also not sure how it co-insides with insurance policies.
Currently I have the truck registered under me and my wife's names, and just have commercial use insurance on it.
01-23-2013, 10:56 PM
Talk with your accountant!
01-24-2013, 03:17 PM
First let me say, I'm not an expert in this field.
However, I would put the truck under the corp. The purpose is to release you personally from liability in the event of an accident and lawsuit. The business could loose everything but you would still be protected personally if the corp. owns the truck. If you get into a severe accident and you're the legal owner of the vehicle, you're personal assets such as your home is at stake. I would remove all personal liability.
Just my $.02.
01-25-2013, 04:31 AM
I'm in the exact same situation your in. Were an S-Corp, with two owners, running two 2500HDs. Due to financing, heres what both my accountant and insurance agent advised. Each truck has a magnet on it, payments are covered as marketing/advertising expenses (similar to how redbull vehicles are covered). Insurance wise, each vehicle is covered under a fleet policy (held by the company) that handles $1 million plus per vehicle. Anyone who drives the vehicle is covered up for a $1 million +. Anyone who regularly drives the vehicle must be added to the policy to insure protection.
Generally this should cover almost any problem that happens. Just be careful who you let drive your vehicle. If you do decide to put the vehicle in the company's name however, I'm not quite sure accounting wise how it works, but I'm pretty sure you would actually owe the company for any personal use of the vehicle. But I would definitely double check on that with your accountant. I know tax wise you would lose any write offs for mileage.
If you decide not to put any company logos on your truck and keep it in your name, you can reimburse yourself for mileage. But definitely talk with your insurance agent and accountant to decide what option is best for you.
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