I have a quick question...

Is there any key benefits of paying for your motor vehicle in your personal capacity instead of having a fringe benefit?

A director earned a Gross Salary of R265 000 per month, and the company paid for his motor vehicle monthly and amount of R33000 and had a net salary of R157 000 per month.

Since, he has requested to increase his salary by the monthly cost of the vehicle so he would pay for the vehicle in his personal capacity. His new cost to company is

Old salary R 265 000
MV cost R 35 000
Additional PAY to keep his net at R157 000 (PM) R 30 000

Now, this is all fair and well, because he is also a shareholder, but I am trying to establish if there is any obvious benefit in doing this considering his net salary remained the same?