Standard mileage rate
Quick definition
A flat per-mile figure used to value business driving without itemising actual vehicle costs.
Full definition
The rate bundles fuel, maintenance, insurance and depreciation into a single number, so a claim needs only the mileage and the purpose rather than a folder of receipts.
It is the simpler of the two methods and the one most reimbursement policies are built around. It tends to under-compensate drivers of expensive vehicles and over-compensate drivers of cheap, efficient ones.
Classify commute miles automatically
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