Mileage reimbursement allows employees to be compensated when using their personal vehicle for business-related travel. Governed by tax authorities, this reimbursement follows a specific mileage rate and is subject to strict conditions. This guide explains how to manage mileage reimbursement properly within your organization.
A mileage expense refers to the cost incurred when using a personal vehicle for professional purposes. It typically includes:
These costs can be reimbursed by the employer using a standard mileage rate set by the government.
The tax mileage rates, updated annually, vary depending on:
💡 Example: For a 5-horsepower vehicle driving 7,000 km per year, the rate is approx. €0.601/km → €4,207 reimbursed.
📄 Official source: impots.gouv.fr – Mileage rates 2025
🎯 Also see: URSSAF – Business expense reimbursement
To ensure the mileage reimbursement is exempt from payroll taxes, the following conditions must be met:
🔧 For simplification, Fairjungle centralizes professional travel data and allows consolidated expense reporting.
🚗 Fairjungle supports corporate travel management and integrates mileage tracking into its dashboard.
Mileage reimbursement remains a practical and essential method for managing work-related travel using personal vehicles. With clear rules, proper documentation, and the right tools, companies can ensure transparent and compliant travel expense management.
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