Track Your Mileage Expenses Automatically
Most of the finance managers find it very difficult to track, validate and approve the mileage log submitted by their employees. A lot of time employees use their personal vehicles for business purposes and for that they need to be reimbursed for that expense. Only proper mileage tracking can help them get reimbursed for these particular expenses and also help them in tax deduction purposes.
Cost of gasoline, insurance, repairs, tires and registration fees need to be reimbursed accurately. Employees need to keep a track of the smallest details of the trip like date, time, purpose of trip and the miles travelled for tax ifta calculator. It is a very time consuming endeavor and there is always a chance of human error. There is no way to validate the hand filed mileage claims and some employees can make fraudulent claims by exploring these weak points of self reported mileage logs.Read More
How to Track Mileage Expenses Automatically?
Now the biggest question arises how to calculate or determine your mileage expenses automatically. The best way to track the mileage expense is by utilizing the latest expense management software integrated with google maps.
There are many softwares available in the market that can do the mileage tracking very accurately for your firm. These softwares track mileage in three different ways.
1. By GPS
Most of these softwares provides a mobile app version that can be easily installed in your mobile phones. You just need to enter the starting and ending location and the software does the rest for you.
Modern-day ifta fuel tax calculator utilizes the GPS data and does the mileage calculations for you. All your mileage calculations can be done a matter of seconds.
2. By selecting the destination
Using the map, you just need to select the destination and it will provide you with various routes. Then you can select the shortest route. Subsequently, and it will provide you the number of miles in that particular route to reach the final destination. Once you have done this, then the rest can be easily calculated by your software.
3. By Manual Entry
In this method, you have to manually enter your number of miles and your software will calculate your mileage amount for you. Manually entering the miles can be very error prone and not advisable in most cases.
There will be more chances of errors in case of multiple stops. It is very time consuming and still there is no way to validate the accuracy of the claims.
Automatically Tracking Your Mileage Expenses
The best way to efficiently and accurately track your mileage expense is by properly utilizing the google maps enabled expenses management software. All you have to do is hit the start button and at the end of the trip, press the end button and your software will automatically do the rest for you without any mistake.
“A big business starts small.” -Richard Branson
During a multiple stop trip, your employees just need to add the stop into the mileage logs and the software will do the rest of the calculation by itself. There are many ways these softwares helps you to calculate your mileage expenses.
Mileage Rate Depends on the Vehicle
The mileage rates are different for different types of vehicles and also, it depends on your location as well. These latest softwares allows you to set the mileage rates based on your vehicle type and adjust the mileage expenses accordingly.
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Employees just need to enter start and end point while software does the rest depending on the vehicle type and location. There will be no chance of error due to different tax slabs for different vehicles and you will get an accurate and IRS compliant mileage expense report.
Mileage Logs Under Single Expenses Tab
Traditionally, employees need to fill their mileage logs, reimbursement form and separate tax return form. Too much paperwork makes it very difficult to keep a track of accurate mileage expenses.
Then the finance teams need to go through all these papers from multiple employees and there is huge risk of missing any particular entry. This can be financially risky for both the employees and the company.
But with the help of ifta tax calculator, you can put all the mileage logs under a single expense tab. Now the employees can record their mileage form in a quick amount of time and the record is available for everybody under a single tab. It becomes very easy for the finance team to access it and review it properly.
There are many benefits of automatically tracking your mileage expenses with the help of the latest software and mobile applications.
- Save time for both employees and the company as the employees only have to enter the starting point and the endpoint of the trip. There will be no chance of wrong entries.
- Employees can add multiple stops to their single trip easily. The software will calculate all the other stuff for them
- It is most beneficial to the sales rep of the company as they have to go to multiple spots during a single trip.There will be almost zero chances of a fraudulent mileage claim by the employees. This will save companies good fortune.
- Mileage rates are fixed most of the time and your software will help you enforce the expenses policy more efficiently and effectively.
- Employees can utilize the web reporting or the mobile app reporting as per their convenience.