Legislative changes to the legal mobility budget

Since January 2024, there have been some adjustments to the legal mobility budget. In this article, we list all the adjustments.

1️⃣ From January 2024, and every subsequent year, the minimum and maximum mobility budgets will be indexed. This means that as a company, you will have to check every year whether the mobility budgets offered are within these limits. If they are not, you will have to adjust these employees' budgets. The limits of the legal mobility budget in 2024 are a minimum of EUR 3,055 and a maximum of EUR 16,293.

2️⃣ From 2024, Pillar 2 spending is limited to spending in the European Economic Region. This is the European Union plus Iceland, Norway and Liechtenstein. So renting a campervan in the USA is no longer possible through the mobility budget. Train tickets to/from the UK or Switzerland are thus also not possible. Companies that already have a mobility budget policy within the company will therefore have to adjust their policy accordingly.

3️⃣ The same applies to the management costs of the mobility budget, these are, for example, the usage costs for the Mbrella platform. These costs were already placed by Mbrella in pillar 2, so nothing needs to be changed here. Of course, whether or not this is passed on to the employee remains the employer's choice.

4️⃣ Another innovation is that mayors, aldermen and deputies can now also start using the legal mobility budget. Of course, if they also meet the condition for starting the mobility budget.

5️⃣ Finally, clarity has been brought to how the TCO should be calculated for calculating the legal mobility budget. More information can be found in this article or in this webinar.