Paying Employees Mileage

DiAnne

We have two worksites. One worksite is about 40 miles from our main office. There are times that I require an employee from one site to report to the main office (for meetings, etc.). On occassion, I will send an employee from the main office to the remote site. My question is, when is it necessary for me to pay the employees mileage. I understand that if an employee comes to the main office from home that that would be considered home to work and would not be compensable time. However, if they report to the remote site and then come to the main office - that is compensable time, would I need to pay them mileage if they are using their personal vehicle? I want to be consistent about paying mileage. My understanding is if the person working at the remote site travels from home to the main office, I do not need to pay them mileage. However, if they travel to the remote site office from home and then later in the day travel from the remote site to the main office, I would need to pay them mileage if they are using their personal vehicle. Is my thinking correct?

System

I dont' believe mileage is legally required. The IRS says the reimburseable amount, if they itemize deductions is $.36 per mile in 2003. ($.365 in 2002). The employer may offer the reimbursement at any rate. My employer has always offered $.25 per mile. The EE can claim the difference on their income tax.

There may be some different state laws.

"Sam"

Dasher

[font size="1" color="#FF0000"]LAST EDITED ON 08-18-03 AT 10:11AM (CST)[/font][p]We just completed a Mileage Allowance - Reimbursement policy for those employees who use their personal vehicles on company business. We knew it was not a requirement, but thought that it was the "fair" thing to do.

Look under "Company Vehicles" in this thread for some excellent responses to your inquiry.

lnelson

To try and answer your question if they are on company time you need to pay them for the travel time between offices. If they go from home to either work site you do not pay them for their time or mileage.

From one office to the other I would consider that working time and compensate them accordingly. If they use their own vehicle it is up to the company to decide about mileage reimbursement as the others responses stated.

Crout

You can pay them something or nothing. It is entirely up to you.