Car Subscription for Self-Employed Individuals, Freelancers, and Independent Contractors
Car Subscription Plans for the Self-Employed: Key Points at a Glance
- Deducting a car subscription from your taxes
If you use your car subscription for business purposes, you may be able to claim the costs as a tax deduction. The monthly payment can be claimed as a business expense if the vehicle is used for business purposes. - There are no hidden costs
The car subscription price includes all operating costs except for fuel. - From small cars to vans
Vehicles from more than 20 manufacturers are available to self-employed people with a car subscription. - The more unbound, the better!
The big comparison between car subscription, leasing and purchase at a glance. - Funding opportunities for e-cars
Many cities and municipalities promote the installation of wallboxes.
What is a car subscription for the self-employed?
Commercial vehicles, SUVs or small cars? Self-employed people choose their car subscription according to their individual needs – this also applies to equipment, duration and free mileage. MHC Mobility takes care of the rest: registration, vehicle tax, insurance, maintenance, repairs and much more are included in the car subscription for the self-employed. Only the costs for refueling and charging are borne by the drivers of the car subscription for the self-employed. The following costs are included in the monthly rate:
- Authorization
- Vehicle tax
- Motor vehicle liability insurance
- Fully and partially comprehensive insurance
- Consulting
- Tires/tire change
- Maintenance services
- Wear and tear repairs
- Accident prevention regulations (UVV)
- 24-hour emergency service
- Replacement car service
- Broadcasting fee
- Pick-up and delivery service
Car subscription for the self-employed: Deductible from tax
Self-employed individuals who use a car subscription service exclusively for business purposes can claim the full cost as a tax deduction. The monthly payment is fully deductible as a business expense. Anyone who uses a vehicle for business purposes at least 10 percent of the time can claim a portion of the costs for the car subscription as a business expense on their tax return. As a result, a car subscription for self-employed individuals is often more tax-efficient than a traditional car purchase, because the ongoing costs are treated as expenses immediately rather than being depreciated over several years.
Tax advantage car subscription for the self-employed: logbook and 1-percent rule
If self-employed people also use a car subscription privately, the tax office offers two options for claiming the tax advantage.
Keeping a logbook
If you choose this method, you can determine all business expenses for the car. The following details must be noted for each business trip:
- Date of the trip
- Start and finish location
- Reason for the trip – names of the business partners visited
- Name of the driver
- Odometer reading at the start and end of the trip
- If detours were taken, they must be justified
The 1 percent rule
This only comes into question if a vehicle is more than 50 percent is used for business purposes. If this is the case, a percentage of the gross list price of the vehicle is calculated and set as the monthly value, which must be taxed as a non-cash benefit under business income. In return, self-employed persons can charge EUR 0.30 per kilometer for kilometers driven for business purposes up to a distance of 20 kilometers and EUR 0.38 from the 21st kilometer onwards.
Car subscription for the self-employed: Tax benefits of electric cars and plug-in hybrids
E-cars are exempt from exempt from vehicle tax until the end of 2030. The requirement is that the vehicle must have been first registered by December 31, 2025. For professional use of more than 50 percent have electric cars or plug-in hybrid vehicles in the Auto-Abo Selbstständige a further tax advantage.
Electric cars with a gross list price of up to 100,000 euros are taxed at a rate of just 0.25 percent per month. For amounts over 100,000 euros , a monthly tax rate of 0.5 percent of the gross list price applies. The increase in the threshold from 70,000 to 100,000 euros has been in effect since July 1, 2025 (Section 6(1)(4) of the Income Tax Act). For plug-in hybrids, a tax rate of 0.5 percent also applies, provided they have an electric range of at least 60 kilometers or a maximum of 50 grams of CO2 emissions per kilometer.
Self-employed individuals with electric vehicles and plug-in hybrids therefore have to pay taxes on a lower monetary benefit than self-employed individuals who choose a vehicle with a combustion engine for their car subscription.
Is a car subscription tax-deductible? Can you claim a car subscription as a business expense, or is it tax-deductible? In the market, all of these terms are used to refer to the same process: When a car subscription is used for business purposes, the monthly payment can be recorded as a business expense in the accounting records and reduces taxable income. Learn more at Information page on tax deductibility.
How much does a car subscription cost for self-employed people? Transparent pricing
With leased vehicles, self-employed people have to calculate, because operating and maintenance costs are due in addition to the installment. This is different with a car subscription. The rule is: one installment, everything included! It almost goes without saying that there is no down payment, basic fee, final payment, capital commitment or residual value risk.
Car subscription for the self-employed: MHC Mobility offers 2 subscription models
The FlexiRent car subscription
Simply choose a vehicle from the preconfigured MHC Mobility pool, specify the term and free kilometers and you’re ready to go! Because: The vehicles from our MHC Mobility rental pool are available immediately. The term is as flexible as self-employed people often have to be: from 1 month to 60 months, anything is possible. And if things don’t go as planned, the term, free mileage, and even the vehicle swap in the FlexiRent car subscription can be adjusted within the contract term.
The SelectRent car subscription
With the SelectRent car subscription, self-employed people receive their vehicles in their desired configuration directly from the manufacturer. From the color and equipment to wrapping with the company logo or company-specific fittings for vans: configure and benefit from the advantages of the car subscription for the self-employed at the same time!
Maintenance and repairs
When self-employed people take out a car subscription, there are no additional costs for maintenance and repairs – regardless of how long the vehicle is used.
For any questions regarding your car subscription, dedicated representatives are available during business hours, and we also offer a 24-hour claims hotline for emergencies.
- Repair, inspection, service: 04286 7703-466, service@mhcmobility.de
- Damage: 04286 7703-444, schaden@mhcmobility.de
Self-employed car subscription: minimum terms and termination options
From 1 month to 60 months: the car subscription offers self-employed people flexibility without commitment. If you still want to use the vehicle after the term, you don’t have to do … anything! Without notice, the contract is tacitly extended under the same conditions. Cancellation is then possible on a daily basis with daily billing. Anyone wishing to terminate the contract prematurely can do so in return for an early termination fee of 100 percent of the unpaid installments.
For short-term rentals, check out the pages on 3-month car subscription and 6-month car subscription ready. For longer durations, the Long-term rental the right connection.
Requirements for a self-employed car subscription? Registration, documents and approval
The conclusion of a contract for a car subscription for self-employed persons is possible under the following conditions:
- Minimum age 18 years
- valid driver’s license
- good credit rating
We also need the following documents to check your creditworthiness by means of a Schufa query:
- Corporations (GmbH, AG, KG, OHG): Extract from the commercial register or business registration
- Partnerships (sole proprietorships, GbR, UG): Business registration, Schufa form, managing director’s ID card
- Self-employed individuals and freelancers: ID card, Schufa form, VAT identification number
If approved, the self-employed will immediately receive an offer for a car subscription. You would like a Car subscription without a credit check? Contact us and we’ll discuss what we can offer via chat or phone. MHC Mobility does not offer a completely Schufa-free car subscription, but for customers with poor credit, we explore individual solutions such as additional collateral or a customized contract structure.
Comparison between car subscription, leasing and purchase at a glance
What models are available for a car subscription for the self-employed?
MHC Mobility is manufacturer-independent. The selection of the existing rental pool is correspondingly large: the car subscription for the self-employed includes cars, small cars, SUVs, saloons, estate cars and light commercial vehicles from more than 20 Manufacturersincluding Audi, BMW, Jeep, Tesla and Volkswagen. The available fuel types are diesel, electric, gasoline and hybrid.
Car Subscription Plans for Freelancers and Self-Employed Professionals: What Makes Them Special?
Freelancers, independent contractors, and sole proprietors make up a large portion of MHC Mobility’s commercial car subscription customers. Unlike with corporations, an ID card, a Schufa form, and the VAT identification number (for freelancers) or the business registration (for sole proprietors and GbRs) are generally sufficient to conclude a contract. The credit check is adjusted accordingly.
Typical professional groups using MHC Mobility’s car subscription service include independent consultants, IT freelancers, architects, doctors, lawyers, tax advisors, small agencies, sole proprietors in the trades, and coaches. Freelancers who work on a project-by-project basis benefit particularly from the short minimum term starting at one month FlexiRent: The vehicle can be tailored to the duration of the project and returned daily once the project is complete.
Car subscription for the self-employed: take advantage of subsidies for e-cars
There are many regional subsidy programs that allow self-employed people with a car subscription to make additional savings. Many cities and municipalities promote the installation of wallboxes. Anyone who builds a charging station in Castrop Rauxel and purchases green electricity from the municipal utility company is rewarded with 100 euros. There is a similar offer in Frankfurt/Oder with a maximum subsidy of 500 euros, Fürth offers 200 euros for a private charging station and Heidelberg covers 50 percent of the acquisition costs (maximum 1,000 euros). It can be worth asking the regional authorities for funding!
Further examples of regional funding programs can be found at regional public utilities, state ministries, and economic development agencies, as well as via the KfW database.
FAQ: Frequently asked questions
Self-employed people with a car subscription can benefit from tax relief if they use their vehicle for business purposes for 10 percent or more. Those who also opt for electrically powered vehicles or plug-in hybrids get the most tax benefits and thus make a good contribution to sustainable mobility.
To take out a car subscription with MHC Mobility as a self-employed person, you must be at least 18 years old, have a valid driver’s license, a good credit rating and provide proof of your identity (see next point).
How long you have been self-employed is irrelevant when signing a contract for a car subscription. Self-employed persons must provide various documents to prove their identity. Depending on the legal form, these may include an excerpt from the commercial register or business registration (GmbH, AG, KG, OHG), business registration and Schufa form (from MHC Mobility) as well as an identity card GF (sole proprietor, GbR, UG) or identity card and Schufa form (from MHC Mobility) as well as a VAT identification number (freelancers).
Yes. The car subscription service from MHC Mobility is available to freelancers, self-employed professionals, and sole proprietors under the same terms and conditions as those offered to larger companies. To sign the contract, you’ll need an ID card, a Schufa form, and a VAT ID number (for freelancers) or a business registration and a Schufa form (for sole proprietors). The minimum term is one month.
MHC Mobility does not offer a car subscription plan that is completely free of Schufa checks. A credit check is a standard part of the contract initiation process. If a customer’s Schufa report is unfavorable, MHC Mobility will explore individual solutions, such as a modified contract structure, additional collateral, or a shorter contract term. A direct inquiry via the contact form or the service hotline will quickly clarify what options are available.
The monthly payment for a car subscription is a current operating expense, not a capital asset. Therefore, it is not depreciated over several years but is recorded as an expense in the month it is paid. If at least 10% of the vehicle is used for business purposes, a portion of the expense can be deducted; if it is used exclusively for business purposes, the entire amount is deductible. For more tax-related details, visit the page Car subscription plans are tax-deductible.
The monthly payment depends on the model selected, the agreed-upon mileage, the lease term, and availability. Because maintenance, insurance, vehicle tax, and service are included in the payment, the price can be directly compared to the total cost of leasing or purchasing. MHC Mobility will provide a customized calculation upon request.
At MHC Mobility, the car subscription is available exclusively for business use. Self-employed individuals who use the vehicle primarily for business purposes take out the subscription in the name of their company or sole proprietorship and can claim the monthly payment as a business expense. Personal use is permitted and is accounted for tax purposes either via a logbook or through the 1% rule (for internal combustion engine vehicles) or the 0.25% rule (for fully electric vehicles with a gross list price under 100,000 euros).
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