Your mileage reimbursement program can go a long way toward saving your business money, time and help keep you in compliance. But, it’s tough to build and maintain a mileage reimbursement program that satisfies both businesses and employees. We’ve put together a free guide offering mileage reimbursement best practices for business.
Why You Should Download The Mileage Reimbursement Guide
This practical guide helps you:
- Save Money: Up to 34.5 percent of employees admit to in inflating their mileage for reimbursements, according to a Chrome River study. This contributes to the $2.8 billion per year in overall expense fraud, Chrome River found.
- Boost Productivity: Employees spend up to 4 hours per week manually logging expenses, including mileage. That’s time and effort that could be used for more valuable activities.
- Be Compliant: A standardized mileage reimbursement program ensures you’re complying with all applicable laws, minimizing your chances of lawsuits. It also gives you credible records that can stand up to scrutiny from financial institutions and the IRS.
It also covers why automation and standardized reporting are the foundational pieces of an effective mileage reimbursement program.
Why You Need A Mileage Reimbursement Program
Nearly three-quarters of the total U.S. workforce will be mobile by 2020, according to an IDC study. That means that more and more businesses need to figure out ways to properly reimburse employees for the use of their personal vehicles.
But roughly 50 percent of businesses with mobile workers don’t even have a mileage reimbursement program, according to MileIQ research. Even if there is a plan in place, relying on manual tracking means businesses are still missing out.
This can lead to a major drag on your bottom line. Research suggests that up to 34.5 percent of employees admit to inflating their mileage for reimbursements, contributing to the estimated $2.8 billion in the annual cost of expense fraud for U.S. businesses. Additionally, employees waste time logging miles—employees reportedly spent four hours per week logging and reporting expenses, including mileage.
An effective mileage reimbursement program for businesses can solve these issues and let you and your employees get back to growing your business.
How MileIQ for Teams Can Help
MileIQ for Teams is a simple and powerful mileage tracking tool that employees love and businesses trust. It uses automatic mileage tracking and standardized, digital reporting to help you build effective mileage reimbursement programs.
MileIQ for Teams is elegantly designed and easy to use, so your employees will actually use it. At the same time, it’s capable of saving you money and helps you promote accountability. It has helped businesses like The Edge Fitness Clubs grow its business in a sustainable way. In fact, it now requires MileIQ reports before paying any mileage reimbursements.
MileIQ’s blog does not constitute professional tax advice. You should contact your own tax professional to discuss your situation.