Help with vehicle mileage reimbursement

[jasonphoto01]

So my company offers all its sales reps a gas card they use at the pump, with only a receipt (no mileage needed). With us now having sales reps with electric vehicles who do most of their charging at home, I'm trying to devise a system to reimburse those with electric vehicles. Does anyone have an algorithm with their company that works or any ideas? Thanks!

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[stynes]

Use mileage. That's what the government does.

 

[Oldsmobile_Mike]

Man, what company do you work for and are they hiring? LOL. j/k, but that's great of you to be so proactive in offering this benefit. I'd think whatever your local electric utility charges per kWh would be a good starting point. Or just use the federal mileage rate, might be easier (and also accounts for things like wear & tear, tires, etc.)?

 

[jjswan33]

There is more to a mileage reimbursement than fuel costs, pretty good deal for your company though I guess.

IMO mileage is the only way to do this that is fair to everyone anything else and the employees are holding the bag when it comes to maintenance, depreciation etc.

 

[Donald Stanfield]

Why don't you just use the IRS standard deduction as your reimbursement? I think it's like 53 cents a mile or something. That's good enough for the IRS to calculate out fuel and wear and tear on the vehicles. I would think it would work for your purposes. There are apps that even work with GPS to track and log mileage and that would be easy enough of you to keep track of but back in the day we used paper logs.

Basically where you went, starting mileage and ending mileage. Then to the next call or appointment so on and so forth.

 

[q177onique]

So my company offers all its sales reps a gas card they use at the pump, with only a receipt (no mileage needed). With us now having sales reps with electric vehicles who do most of their charging at home, I'm trying to devise a system to reimburse those with electric vehicles. Does anyone have an algorithm with their company that works or any ideas? Thanks!

My previous company had an EV plan. I was given a higher monthly car allowance since I didn’t use the gas card. I currently have a car allowance and expense mileage.

 

[SANZC02]

So my company offers all its sales reps a gas card they use at the pump, with only a receipt (no mileage needed). With us now having sales reps with electric vehicles who do most of their charging at home, I'm trying to devise a system to reimburse those with electric vehicles. Does anyone have an algorithm with their company that works or any ideas? Thanks!

Sounds like the company provides gas but not full mileage credit. If the are paying gas based on receipts they could do the same thing for EV charge receipts. Any public charging they would have a receipt, most home chargers will also provide a monthly charge summary as well that could be submitted and paid based on local rates.

That would be like kind where the full mileage reimbursement may not be the expense they are looking to cover.

 

[jasonphoto01]

Yes, my company provides $600 monthly for wear and tear on the vehicle, as well as the CC for gas. Expensing a charge at a station is easy enough, but most ppl are charging at their homes, and that cost gets bundled into their home electricity bill. How would you easily see what portion of their monthly bill is allocated for charging? You could use mileage, but then that would mean every sales rep with an electric vehicle would have to submit mileage, as well as their monthly bill that shows what they pay per kWh, plus what their vehicle gets in mileage per kWh, then do the math to total the expense, and that's a big pain in the butt compared to just pay/reimburse at the pump.

 

[jasonphoto01]

I should add that I'm apprehensive about mileage logging being a factor because that would more than likely mean it would also have to be implemented to ICE vehicles as well. This would solve a problem for electric vehicle owners but create a new pain point for everyone else.

 

[SANZC02]

Yes, my company provides $600 monthly for wear and tear on the vehicle, as well as the CC for gas. Expensing a charge at a station is easy enough, but most ppl are charging at their homes, and that cost gets bundled into their home electricity bill. How would you easily see what portion of their monthly bill is allocated for charging? You could use mileage, but then that would mean every sales rep with an electric vehicle would have to submit mileage, as well as their monthly bill that shows what they pay per kWh, plus what their vehicle gets in mileage per kWh, then do the math to total the expense, and that's a big pain in the butt compared to just pay/reimburse at the pump.

Does the charger you use not provide usage stats? I can get the total kW charged by month from mine, I think most will do this unless you are using a portable charger. So far this month I have charged 155 kW on this charger.

 

[Craigins]

I should add that I'm apprehensive about mileage logging being a factor because that would more than likely mean it would also have to be implemented to ICE vehicles as well. This would solve a problem for electric vehicle owners but create a new pain point for everyone else.

Why would it be a pain point for everyone else? They don't want to track miles driven for work?


Here's the gsa rate

https://www.gsa.gov/travel/plan-boo...owned-vehicle-pov-mileage-reimbursement-rates

 

[Donald Stanfield]

I should add that I'm apprehensive about mileage logging being a factor because that would more than likely mean it would also have to be implemented to ICE vehicles as well. This would solve a problem for electric vehicle owners but create a new pain point for everyone else.

At the end of the day it's up to the company to decide the policy. If you feel, as the policy maker, that tracking mileage is beneficial for whatever reason the sales workers all need to accept it. If that's the best way to integrate EVs then so be it. Plus that incentivizes ALL your employees to drive efficient vehicles because the cheaper the running costs, as in BEVs, the more money you MAKE per mile. Money you earn in credit can accrue quickly with a highly efficient vehicle. So the Rivian's extra cost would easily be made up by the additional tax credit assuming you're putting on significant mileage.

So it's a net gain for all employees who are willing to take advantage of the program to either drive a nicer car or put money in your pocket.

 

[Deacon]

Yes, my company provides $600 monthly for wear and tear on the vehicle, as well as the CC for gas. Expensing a charge at a station is easy enough, but most ppl are charging at their homes, and that cost gets bundled into their home electricity bill. How would you easily see what portion of their monthly bill is allocated for charging? You could use mileage, but then that would mean every sales rep with an electric vehicle would have to submit mileage, as well as their monthly bill that shows what they pay per kWh, plus what their vehicle gets in mileage per kWh, then do the math to total the expense, and that's a big pain in the butt compared to just pay/reimburse at the pump.

The Rivian app shows all charging sessions - date, time, and total kilowatts charged at each session. I have a spreadsheet that I enter all my charging sessions. I know how much the utility charges per kilowatt and I have reciepts (from the EA app) showing costs and kilowatts at EA charges. Pretty easy to keep track of.

 

[Trandall]

Yes, my company provides $600 monthly for wear and tear on the vehicle, as well as the CC for gas. Expensing a charge at a station is easy enough, but most ppl are charging at their homes, and that cost gets bundled into their home electricity bill. How would you easily see what portion of their monthly bill is allocated for charging? You could use mileage, but then that would mean every sales rep with an electric vehicle would have to submit mileage, as well as their monthly bill that shows what they pay per kWh, plus what their vehicle gets in mileage per kWh, then do the math to total the expense, and that's a big pain in the butt compared to just pay/reimburse at the pump.

My company does the same with a vehicle allowance plus fuel card. I asked If I could turn in my gas card and get an increase to my vehicle allowance. They checked my typical monthly fuel charges and offered me an additional $200 for vehicle allowance. I think my typical fuel was $200- $300/ month so they "made out" and works well for me because I charge at home which is under $100/ month in added cost.
Maybe propose something along these lines.

 

[iansriv]

Use mileage. That's what the government does.

I agree with this. Another simple way is to provide a fixed monthly allowance.

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