See how much you get back with our mileage reimbursement calculator
See how much you get back with our mileage reimbursement calculator
Having employees use their own vehicle for work can be expensive. Especially if they regularly drive long distances and spend money on fuel. Now you can quickly calculate how much your employees can get back with our easy-to-use mileage reimbursement calculator.
Enter the miles driven to see how much money you can get back.
Calculator
Mileage reimbursement rates in the UK
Each country has its own standard mileage allowance. The rate is updated every year by the countries tax authority and is meant to cover all costs of owning and running your vehicle for the business-use part of your driving.
First 10,000 miles
45p
24p
20p
Above 10,000 miles
25p
24p
20p
45.00p
24.00p
20.00p
25.00p
24.00p
20.00p
Tap into our expert knowledge
Stay up to date with the ultimate mileage reimbursement guides.
Book, plan, and manage your business travel with our simple, easy-to-use travel management tool.
All in one place: TravelPerk centralises all your business travel details in one place. You get maximum visibility on expenses, invoices, travel plans, and travel policies.
Self-booking engine: Our platform stores all traveller data, preferences, and loyalty points. Plus, you get access to a 7-star, 24/7 customer care team with a target 15-second response rate.
Expense reports & dashboards: TravelPerk collects all your information to help you send one invoice for all business travel
Automated travel policies & in-app approvals: Including approval workflows, the ability to save trip details, and customise workflows
When an employee uses their personal car or van for day-to-day business activities, they can claim back the cost without paying income tax.
Mileage reimbursement isn’t designed to cover commuting to and from work. It only covers journeys that employees are requested to make during work, specifically those with a business purpose.
Is mileage reimbursement mandatory for companies?
In short, no. In most countries there is no requirement by law to reimburse an employee’s mileage or other travel expenses. However, many companies do, as a matter of good practice.
Who sets the mileage reimbursement rates?
Although each country has its own standard mileage allowance, the rates can differ depending on each company and how much they choose to pay back their colleagues. Companies can also set their own mileage reimbursement policies.
Can companies reimburse a higher amount than the standard mileage rates?
Yes, companies can choose to reimburse a higher amount than the standard. However, this does come with its own rules and regulations.
For example, in the U.S. and UK, if they exceed the standard mileage rate, the reimbursement will count as regular wages and lose its tax benefits (if they go below the rate, employees in many countries can deduct their difference when filing their tax return).
