Mileage expenses can be created from both the web and the mobile app. 

  • For groups, the default mileage rate can be set in the group policy settings. This rate will be set for all users on a policy.
  • For individuals, the default mileage rate can be set in the account settings. Expensify supports this expense type in both miles and kilometers.

Covered in this article:

Setting mileage rates and default distance category

Group admins can set multiple mileage rates and a default category in the “Distance” section of the group policy settings. To get there, go to Settings > Policies > Group > [Policy Name] > Expenses. You will also be able to choose whether to use miles or kilometers as the unit. 

Individual users can set their individual mileage rates from Settings > Policies > Individual > [Policy Name] > Expenses. From here, the same settings will show and they will also be able to choose whether to use miles or kilometers as the unit.

In both Individual and Group settings if a rate is toggled off it is immediately disabled. This means that users are no longer able to select it when creating a new distance expense.

Be mindful that if only one rate is available then this rate will be toggled on by default.

If your company is tracking tax in Expensify you can also track tax on distance expenses. The first step to enabling tax on distance expenses is enabling tax on the policy. You can do this by going to  Settings > Policies > Group >[Policy Name] > Tax.

Once Tax is enabled on a policy level you will see the option to Track Tax in the Distance section of the policy settings. If tax is disabled on the policy the Track Tax toggle will not display.

When Track Tax is enabled you will need to enter additional information to the rates you have setup, this includes the “Tax Reclaimable on” and “Tax Rate” fields.

If you enable tax, but don’t select a tax rate or enter a tax reclaimable amount we will not calculate any tax amount for that rate. If at any point, you switch the tax rate or enter a different reclaimable portion for an existing distance rate, employees will need to re-select the mileage rate on expenses for the tax amount to update according to the new values.

Here is an example of how the setup would look like supposing you are in the UK, reimbursing employees at the official HMRC rates and reclaiming  20% VAT on fuel (based on the vehicle’s engine):

Important note: Expensify won’t automatically track cumulative mileage. If you need to track cumulative mileage per employee we recommend building a mileage report using our custom export formulas.

Creating Mileage Expenses (on web)

Mileage expenses can be created both from the web and from the Expensify mobile app. You cannot add tax to mileage expenses, but this is going to change soon ;-)

From the web:

Click New Expense and navigate to the Distance tab. You will then see the option to have the expense calculated by either entering the number of miles or using the map.

The previously selected rate will automatically be used on a new expense!

Creating Mileage Expenses (on the app)

Click the plus (+) button at the top right of your app and then select Distance.

You can then choose whether you want to create expenses by :

  1. Distance (entering the number of miles traveled), 
  2. Taking photos of the odometer at the beginning or end of your trip, or 
  3. Tracking traveled distance with GPS.

Distance: Input the total distance driven, then tap "next". We will then create an expense based off that amount x the mileage rate (per miles or kilometers based off your settings). Finish coding the expense, Save, and you're set! 

Odometer: Enter the reading at the beginning of your trip, then the end of your trip. We'll find the distance between the two, then create an expense based off that amount x the mileage rate (per miles or kilometers based off your settings). Tap the camera image to take a picture of your odometer reading, finish coding your expense, then "Save".

GPS: Select whether you'd like to track your distance in miles or kilometers. At the beginning of your trip, tap "Start". 

The app will start tracking your trip, displaying the start address from your current location. 

Once you have reached your destination, tap "Stop". The app will then display the start and ending address, as well as the total distance traveled. If the GPS locator is unable to identify an address near you, the expense will display the starting and ending coordinates of your trip. Tap "Use" if it looks good!

We will then generate an expense, out of the distance tracked, and create an expense based on that amount x the mileage rate (per miles or kilometers based on your settings). Finish any coding, tap "Save" at the top, and you're done! 

When using the GPS option, a receipt image will be created based on the route tracked. 

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