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Are you driving miles a month on your work?
Do your industry people drive miles for their work?
Are you maintaining mileage log for reimbursement?
If all your answers are yes
Then, I could realize how stressed you are
I am listing here the problems you face in your daily work.
- Maintaining logs manually is unbelievably time-consuming and complicated
- The manual mileage logs are not calculated accurately
- Human errors like missing miles/trips lead to invalid claim data
- Paying more taxes
- Employees recording extra mileage
Before we discover the solution, it is necessary to educate ourselves with
1. What is the Standard Mileage Deduction rate?
2. What is business mileage?
3. Who can claim Mileage Reimbursement?
4. What are the Benefits of using mileage tracking app for business?
Standard Mileage Deduction rate
The standard mileage rate, also known as the mileage per diem or deductible mileage, is the default cost per mile set by the Internal Revenue Service (IRS) for taxpayers who deduct the expense of using their vehicles for business, charitable, or medical purposes.
Update: IRS Increases Mileage Rate for Final 6 Months of 2022
- On June 9, 2022, the IRS announced an increase in the optional standard mileage rate for the final six months of 2022 due to soaring gas price increases.
- Effective July 1 through Dec. 31, 2022, the standard mileage rate for business travel will be 62.5 cents per mile, up 4 cents from the 58.5 cents per mile rate effective at the start of the year.
You can confirm the new mileage rate for 2022 on the official IRS website.
https://www.irs.gov/newsroom/irs-issues-standard-mileage-rates-for-2022
Business Mileage
Business mileage refers to any trip in a personal or company-owned vehicle that has a business purpose. In other words, it includes any mileage that you do while working.
- Riding for work-related delivery.
- Meeting clients for business-related events.
- Driving to a conference, between work sites or locations.
- Ride to pick up supplies or run a work-related errand.
Who can claim mileage reimbursement?
Mileage tracking tools are used by mobile employees such as
Salespeople
Field service technicians
Project managers
Drivers (delivery partners, travel company drivers, etc)
Now, Let’s explore the solutions
Advances in digital technologies hold considerable potential to lift the trajectory of productivity and economic growth. No doubt, technology has become an indispensable component of our everyday lives. Thus, every country is working so hard to catch up with the technological advancement of others.
Zimozi offers technology for any part of your business. You can spot us in Singapore and India. Digital technology is the key to business survival and growth. Know more at www.zimozi.sg
A Mileage Tracking and Reimbursement solution makes you hit a few spots on your phone to stamp out the huge problem you face in your daily work. It creates your mileage expense and applies your company’s reimbursement rate. Each mileage expense has a copy of the routing information and map viewable to users and expense managers/Admins.
This ensures fair, accurate, and IRS-compliant reimbursements for every worker on the road.
If you are a small business owner with 30 employees at work, tracking their mileage becomes easy if you own a Mobile App. The employees must have a business connection. To satisfy this requirement they will be noting the destination and reason for the trip. A good way to streamline the process is to have them track their mileage using a Mileage Tracking and Reimbursement solution customized for your business. Techies at Zimozi have the potential to build an efficient Tracker Application.
Almost 80% of the people in the world are using mobile phones. So, there is a need for a mobile application that tracks the business miles. Creating a Mobile App for Your Business Is Easier than You Think. Innovators at Zimozi are ready for innovations.
How to calculate the Mileage Reimbursement
The Calculation is very simple
Total business miles * IRS mileage rate = Mileage reimbursement
Mileage reimbursement is tax-free. There are no overpayments or underpayments for employees in case of mileage reimbursement. Many feel that providing a Car Allowance is easier than tracking miles and Mileage Reimbursement. It can be difficult for companies to set car allowances that are fair to all employees. It can create an inequitable allowance and is usually taxable.
Benefits of Using Mileage Tracking App for Business
- Reduce Human error
- Accurate mileage tracking and Report generation
- Tremendous time and money saving
- Eliminate Self-reporting
- Prevent guesstimates
- Reduced Costs
- Liability Lowered
- Equitability / Tailored Reimbursements
Conclusion
Automation wins everywhere. So, Mileage Tracking is no more a tough job. Make it simple of your choice with Zimozi. Nullify your Mileage Tracking and Reimbursement woes on a single hit.
Zimozi acquires professionals with 10+ years of experience in mobile development, cloud computing, and web development.
“Great things in business are never done by one person; they’re done by a team of people.” – Steve Jobs
Zimozi aforesaid team.
Baffled! Move on to a new beginning with Zimozi. www.zimozi.sg
