Car and mileage reimbursements

Excluding miles driven to and from the employee’s home, household employees must be reimbursed by their employers if they use their own cars for work-related chores. This is not considered as a taxable compensation, and neither the employer nor the employee is required to pay taxes on this benefit.

The current Federal mileage reimbursement rate is 58 cents per mile; it is intended to cover the cost of gas plus general wear and tear on the car.

Was this article helpful?
6 out of 6 found this helpful


Article is closed for comments.