Mileage Allowance for Auto use

[cenzo]

What is the name of your state? MA

Two members of our crew, hourly wage earners,( I being one) have been asked to report to another company facility for one day of work which is 25 miles away. For the past five years the company has reimbursed workers for the difference in mileage between our normal mileage to work and the mileage to the other facility when we have been asked to work occasionally at the other facility.

We have a new supervisor who states the company no longer will give reimbursement for use of a personal vehicle to the alternate work site. Is this legal ? ( I believe she is making up the rule to look good to her supervisors) Must a company give the mileage allowance (approx. 35.5 cents/mile ???) when a worker is asked to work at a facility that is not his/her regular place of employment ?

Thank you for your comments.

Cenzo

 

[Beth3]

We have a new supervisor who states the company no longer will give reimbursement for use of a personal vehicle to the alternate work site. Is this legal ? Yes.

Must a company give the mileage allowance (approx. 35.5 cents/mile ???) when a worker is asked to work at a facility that is not his/her regular place of employment ? No.

Reimbursing employees for their business expenses is a matter of company policy, not the law. If you think your supervisor is taking it upon herself to deviate from company policy, then I suggest you contact human resources or the appropriate senior manager for clarification. Now don't make this political suicide for yourself. The way to approach this is, "Our supervisor is new and may not be familiar with all our policies just yet. Is it still our policy to reimburse employees for their mileage when they use their personal vehicles to go to other facilities? It is? Would you be kind enough to explain that to our supervisor as she's not familiar with that policy yet. Thanks."

I believe she is making up the rule to look good to her supervisors That strikes me as unlikely as having a bunch of complaining, pissed-off subordinates is not going to make her look good to her supervisors. It's more likely that company policy really did change or she's just confused 'cause she's new.

 

[pattytx]

And, FYI, the current IRS-approved rate is $40.5/mile. Anything over that, the excess is taxable wages. But as long as you're paying no more than that, and the business use is substantiated, there's no tax effect.