I was responsible for the first & last 15 miles of each day at my last dealership, everything else was business. Except for the paltry 33 cents per mile, it seemed to work out for the best.
But nmfaxman is right; the tech is going to find a way to even it out. Padding mileage reports, longer lunches, selling random parts/toner on ebay. It ain't right but, if you piss all over your techs, it happens.
Always loved this topic at our old shop. Boss got slammed because he thought .35/mile was great. Mileage reimbursement is Federal standard Right now .51/mile. Big discrepancy on what your business owner pays and what he can right off! Hmmmm.......... Business expense gets full right off. If tech could claim on taxes, they have to be able to itemize. Then if they can they can only claim what is more than the 2% of adjusted gross income. .40/mile wont cover gas, maint, tires and insurance on that vehicle. I enjoy when they say that amount is very good.
I get reimbursed a flat rate each week, tax free on top of my standard wage, plus a tool allowance. Also here in Oz, if you drive a one-tonner, which i do, there is no requirement for a log book to record mileage for tax purposes, just need receipts for fuel, servicing, tyres ect.
I have not failed. I've just found 10,000 ways that won't work. ~Thomas Edison
Originally Posted by mo0651
I got 35 cents, it was a lot more than what I paid for gas.
A 10 gallon tank at 3 bucks a gallon is 30 bucks a fill up.
.35 cents at 20 mpg is 70 bucks.
Plus, like you said, you can write off the difference. For me it was 17,000 miles x 16 cents. It helped quite a bit.
Hi all,
I think krish is right. One should be aware about all such factors to overcome from these conditions.
By using GPS Mileage Logger which identifies each trip destination address as well as complete mileage Log at the time of driving will helps a lot. Satlogix offers complete and accurate GPS Mileage Tracker with the simplest solution to track mileage log which makes mileage reimbursement easy.
as Service manager myself, I always allowed the techs to start from their homes if it was close to their first call. It would be the same as if they were heading out from the office. Would your owner like to pay the lesser amount from this tech's home or the higher amount from the office that is 25miles away. do the cost calculation and the time factor involved, the closer he is to the client the cheaper for your owner in time and mileage cost. Plus you have happier clients.
tell him to give his head a shake big time, the cost savings to him is huge over the course of the year.
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