Mileage reimbursements for employees are standard in many industries. The approach is straightforward and seems fair. But the IRS-approved FAVR mileage reimbursement is being touted as a more...
A company provided vehicle has always been a huge perk. However, recent trends have made it more expensive to maintain a company fleet. Is switching to a car allowance or vehicle reimbursement a...
In 2017, California approved a law that increases the gas tax every year on July 1 based on the California Consumer Price Index. As gas prices continue to rise, business owners face serious...
As vehicle expenses increase, employees may complain that their car allowance isn't enough. Some employers may try adding a fuel card or fuel reimbursement. Others may switch entirely to a mileage...
Interest in FAVR vehicle plans, also known as fixed and variable rate car allowances, is on the rise. Many organizations are wondering about this alternative to a standard taxable car allowance....
The past three tax seasons have placed taxable car allowances under scrutiny because employees can no longer deduct business mileage to offset their taxes. Businesses are turning to non-taxable...
Every year, when the IRS releases its new standard mileage rates, a new maximum standard automobile cost for FAVR programs is released. The cap for 2022 was increased significantly over 2021.
The fixed and variable rate (FAVR) reimbursement provides a tax-free, defensible, and cost-effective tool to offset employee vehicle expenses. Leveraging data to reimburse auto expenses, FAVR is more...
From time to time, we like to feature a question we have received. This time, the question is about whether a fixed and variable rate reimbursement (aka FAVR car allowance) is superior to a...
