The IRS Announces New Mileage Reimbursement Rates for 2016

Breaking news: the Jovian IRS has just cast its first lightning bolt of 2016 from the heights of Olympus; federal mileage reimbursement rates for employees have dropped from 57.5 to 54 cents per mile (read more on the IRS website: https://www.irs.gov/uac/Newsroom/2016-Standard-Mileage-Rates-for-Business-Medical-and-Moving-Announced).  Based on a study that the IRS conducted, which gathered data on fuel prices, auto insurance premiums, maintenance rates and vehicle depreciation, they determined to set these rates to the lowest level in six years (the new rates started on January 1st).  While itinerant employees may feel chagrined about the decrease in their reimbursement, both employees and their managers will be excited to learn that there are expense reporting solutions that will automatically calculate these rates.

For organizations that offer services, e.g. consulting or healthcare-related services, and require employees to be on the road frequently, solutions like Ariett Travel and Expense provide an easy way to automatically calculate their mileage reimbursement rates.  With a simple import of the new rates for 2016, employees can enter their expense reports without making manual calculations each time and their organization can ensure that these calculations are 100% accurate.  Ariett accomplishes this feat by removing one other step that traveling employees must take: looking up the number of miles between their waypoints.

The solution for quickly determining the total number of miles?  Implementing expense reporting software, like Ariett’s, that includes integration with Google Maps.  Ariett allows your employees to pop open a map window right from their expense report to enter the origin and destination points and to complete the mileage calculation.  For instance, let’s say Jim, a social worker for a social services agency, needs to visit six different homes in MA for one day.  Before he heads home, Jim can just pull out his phone to create an expense report, enter the addresses or towns that he has traveled to and add any additional information (e.g. the case name), and Ariett will populate the correct rate on his expense report.

What’s the biggest advantage of using Ariett’s Mileage Calculator this year?  Other than how easy it is for employees to use on the go, the feature promotes an accurate record of miles traveled (instead of employees just estimating the number of miles) and can cut spending for organizations.  For example, an organization that has 500 employees that all travel 200 miles a week can save up to $11,000 per week by capturing the actual, as opposed to estimated, mileage traveled with Ariett’s Google Maps integration.

Interested in learning more about Ariett’s efficient and accurate mileage calculator feature?  Just click here to read more: http://www.ariett.com/products/ariett-xpense/business-travel-mileage-calculator.