Understanding the total cost of ownership (TCO) of company-provided vehicles is becoming increasingly important, especially in Belgium where changing regulations are spurring employers to reassess their TCO calculations.
TCO encompasses all costs associated with owning and operating a vehicle over its lifetime, including purchase or lease costs, fuel or electricity expenses, maintenance, insurance, taxes and depreciation.
Understanding these costs is particularly important considering that, beginning in 2026, employers will be required to offer employees options for a variety of their mobility expenses (e.g., e-cars, e-bikes, public transportation).
Additionally, driven by environmental concerns and sustainable mobility, the Belgian government has introduced policies and tax incentives to promote electric vehicle (EV) adoption. Consequently, companies are re-evaluating their fleets and considering a switch to EVs to enhance cost efficiency, meet sustainability goals and comply with the evolving tax landscape. However, organisations currently lack a standardized method for calculating and managing TCO.
To access deeper insights into how Belgian companies are approaching TCO, WTW conducted its 2025 TCO Pulse Survey. Responses to the survey reflect whether TCO serves as a benchmark for vehicle selection, how it is calculated and how often businesses review or update their TCO references.
Three out of four Belgian organisations refer to TCO when making decisions about their company car selection (Figure 1). This is unsurprising, given the global shift toward EV company-car fleets and changing legislation.
The maximum TCO ranges from a median of €1,100 to €1,400 per month, with amounts varying by role (Figure 2). These results illustrate that TCO budgets are tailored to different roles, reflecting the varying mobility needs and responsibilities across the organization. For employers, recognizing these differences is essential for designing mobility benefits that are both cost-effective and aligned with employee expectations.
| Role | 25th percentile | 50th percentile | 75th percentile | Average | Number of responses |
|---|---|---|---|---|---|
| Business unit heads and country managers | €1,300 | €1,400 | €1,600 |
€1,500 |
31 |
| Executives | €1,300 | €1,300 | €1,600 |
€1,400 |
32 |
| Middle managers and senior professionals (non-sales) | €1,000 | €1,200 | €1,300 |
€1,200 |
34 |
| Supervisory and professional roles (non-sales) | €900 | €1,100 | €1,200 |
€1,100 |
24 |
| Sales managers | €1,000 | €1,200 | €1,300 |
€1,200 |
34 |
| Sales professionals | €900 | €1,100 | €1,300 |
€1,100 |
27 |
Despite the importance of TCO in company car selection, only 25% of organisations calculate it internally with an in-house tool or spreadsheet (Figure 3). The majority rely on third-party providers, and approximately 18% do not formally calculate TCO but, instead, use a combination of methods.
The reliance on external providers is likely because of the complexity of TCO calculations, especially as factors like EV charging infrastructure and fluctuating energy prices come into play. However, when outsourcing the calculation, it is important to have a third-party partner that is transparent about the data reflected and assumptions used.
Just 45% of organisations regularly update or review their TCO references (Figure 4). The majority that review or update their references only do so occasionally, such as when their suppliers change. A few respondents said they were unsure of the frequency for reviewing TCO references.
With the ongoing regulatory changes and increasing push for sustainable mobility, TCO matters more to Belgian organisations than ever. However, despite the recognized importance of TCO, few companies actively participate in TCO calculations and many are uncertain about how to approach those computations. The lack of regular updates and reliance on external calculations indicates that companies may not be fully equipped or confident in managing TCO internally, especially as the landscape evolves.
Belgian organisations may want to start checking market practices while waiting for guidance from the government on how to officially calculate TCO. High-quality and relevant data about TCO trends and company car ownership will be essential for this. By taking control of TCO calculations, Belgian companies can be in the driver’s seat, providing cost-efficient and relevant employee benefits — effectively steering their business forward even through uncertain times.
