Going rate for mileage

[nhyrum]

Hello all,

Out of curiosity, are there any guys/gals that use their own car for work and get paid mileage? What's your going rate?

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[KenB]

Re: Going rate for mileage

The days of the company car are all but totally gone. Almost everybody drives their own.

As for compensation, it’s all over the board. Some techs make a killing (although NOBODY sees it that way), and some get killed. Most are somewhere in between.

Simply too many variables.

[slimslob]

Re: Going rate for mileage

I used to get $0.15 a mile. Either way, keep a log of your mileage. Also keep track of what you get paid. Come tax time, you will need them. Should your boss ever get audited, the auditor may question mileage checks. If neither you do not have records of your mileage, you might end up paying taxes, interest and penalties on those payments.

[nhyrum]

Re: Going rate for mileage

Huh. I just put in an excel spreadsheet, my mileage, price of gas, tires, oil, etc and divided that by the expected life and get and about 19.5 cents/mile. So that really would be the minimum to cover the costs of using my own vehicle. Does that sound crazy?

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[KenB]

Re: Going rate for mileage

The worst part is the depreciation.

Nothing like buying a new car for $20k, putting 100k miles on it in 3 years, and having it be worth basically nothing...with 2 years of payments left.

[nhyrum]

Re: Going rate for mileage

Well the current vehicle in consideration is 20 some odd years old. But I hear ya. I currently have a company car, and it's tov the point it needs serious work for it to be safe, I'm contemplating either leaving or charging 20-25 cents mileage. We just had one tech get relocated. Being as I'm sort of related to the owners, I hate to leave them with one tech to cover basically 2.5 techs worth of territory. At the same time, I don't want to die, and I don't want to kill somebody

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[juliano]

Re: Going rate for mileage

We're UK based and pay what the UK Government publish

[brewster67]

Re: Going rate for mileage

The current federal mileage rate is 54.5 cents per mile. If you are paid less than that you can claim the difference as a deduction on your taxes. You would just have to have a record of your mileage and what you get paid for mileage.

[daileyrobn714]

Re: Going rate for mileage

I get$ 300 a month for car allowance and $0.25 per mile after that. That's in California

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[pbbsinc]

Re: Going rate for mileage

I pay my techs a rate that I adjust quarterly based on gas prices in my state (Florida) & the assumption that they get 25MPG (if they drive a hot rod, they come up short, & if they drive a Prius, they come out ahead).

Until yesterday, it was 32.32 cents /mile (based on $2.71/gal, & I just adjusted it today to 32.72 (based on $2.81/gal).

I pay for whatever tolls & parking they itemize as well.

[BR549]

Re: Going rate for mileage

The current federal mileage rate is 54.5 cents per mile. If you are paid less than that you can claim the difference as a deduction on your taxes. You would just have to have a record of your mileage and what you get paid for mileage.

Only if you have enough deductions to itemize. Used to be you could claim the mileage deduction whether or not you itemize. Not anymore.

[slimslob]

Re: Going rate for mileage

I pay my techs a rate that I adjust quarterly based on gas prices in my state (Florida) & the assumption that they get 25MPG (if they drive a hot rod, they come up short, & if they drive a Prius, they come out ahead).

Until yesterday, it was 32.32 cents /mile (based on $2.71/gal, & I just adjusted it today to 32.72 (based on $2.81/gal).

I pay for whatever tolls & parking they itemize as well.

Does that include allowances for vehicle maintenance (oil and lube, tune up, etc) tire wear.

[KenB]

Re: Going rate for mileage

Only if you have enough deductions to itemize. Used to be you could claim the mileage deduction whether or not you itemize. Not anymore.

[pbbsinc]

Re: Going rate for mileage

Does that include allowances for vehicle maintenance (oil and lube, tune up, etc) tire wear.

At the current price of $2.81/gallon, & assuming 25mpg, 11.24 cents/mile of the 32.7 cents/mile should pay for gas expenditures. The remaining 21.46cents/mile compensates for those expenses, depreciation, etc..

[ctuinstra]

Re: Going rate for mileage

We have over 200 company vehicles. About 100 of them are for service. Every service and field IT technician get a vehicle plus 500 miles a month for personal usage, managers get 1500 miles. As a manager, I had to trade in my 2016 Malibu (71K) for a 2018 GMC Canyon! Our owner really cares about the employees, and there is a financial benefit to reducing your cash at the end of the year.