Hi,
Our company is introducing a new policy. The company is into furniture and fixtures. We do have a Marketing and Sales Department. So we want to implement the petrol price to be given per kilometer. Considering the petrol price is Rs. 73, how much petrol conveyance can be given per kilometer?
From India, Bangalore
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Our company is introducing a new policy. The company is into furniture and fixtures. We do have a Marketing and Sales Department. So we want to implement the petrol price to be given per kilometer. Considering the petrol price is Rs. 73, how much petrol conveyance can be given per kilometer?
From India, Bangalore
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Petrol expenses reimbursement should not be standard for all employees. Employees entitled to using 4-wheelers should get around Rs. 8 per km, and employees using 2-wheelers should receive around Rs. 4 per km. If employees are using their personal vehicles, they should also receive fixed vehicle maintenance charges.
Regards,
Kamal
From India, Pune
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177Regards,
Kamal
From India, Pune
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Dear Kamal,
Could you please explain how we calculate travel reimbursement per kilometer? You mentioned Rs. 8/km for a 4-wheeler and Rs. 4/km for a 2-wheeler. How were these figures determined? Can you shed some light on the derivation and calculation process?
Thank you.
From India, Bangalore
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Could you please explain how we calculate travel reimbursement per kilometer? You mentioned Rs. 8/km for a 4-wheeler and Rs. 4/km for a 2-wheeler. How were these figures determined? Can you shed some light on the derivation and calculation process?
Thank you.
From India, Bangalore
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It's a rough calculation.
In the city, a 4-wheeler (6-7 years old) gives a minimum average of 10 km per liter. So the actual expense is Rs. 7.5/-
For a 2-wheeler, the minimum average is 20 km per liter. The actual expense is Rs. 3.75/-
Ensure proper paragraph formatting with a single line break between paragraphs.
From India, Pune
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In the city, a 4-wheeler (6-7 years old) gives a minimum average of 10 km per liter. So the actual expense is Rs. 7.5/-
For a 2-wheeler, the minimum average is 20 km per liter. The actual expense is Rs. 3.75/-
Ensure proper paragraph formatting with a single line break between paragraphs.
From India, Pune
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Why to take into account the minimum average, it should be the normal one i.e. for car ranging 12-15 km./ltr. and for 2 wheelers 40-45 km./ltr.
From India, Roorkee
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From India, Roorkee
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The reimbursement of mileage for the use of a personal car on company work is not calculated only on the basis of the price of petrol and the fuel consumption rate of the vehicle. It includes the amortized expenses on account of:
- Price of petrol and 10-12 kms/litre for non-AC usage and 8-10 kms/litre for AC ones.
- Cost of normal wear and tear/Insurance/Road tax/driver salary (if entitled). For senior management, even the EMI on the car may be included.
On average, at today's prices and rates, the reimbursement per kilometer would be a minimum of Rs. 10/- per km for non-AC and Rs. 12/- per km for AC. If you were to hire a car, you would be paying a minimum of Rs. 12/- per km for non-AC (other than the usual battered Ambys/Indicas) and Rs. 15/- per km for an AC Indigo.
I trust this information would prove to be useful, and I have provided the rates applicable to a metro city like Mumbai, Delhi, etc.
Regards,
UG
From India, Bangalore
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- Price of petrol and 10-12 kms/litre for non-AC usage and 8-10 kms/litre for AC ones.
- Cost of normal wear and tear/Insurance/Road tax/driver salary (if entitled). For senior management, even the EMI on the car may be included.
On average, at today's prices and rates, the reimbursement per kilometer would be a minimum of Rs. 10/- per km for non-AC and Rs. 12/- per km for AC. If you were to hire a car, you would be paying a minimum of Rs. 12/- per km for non-AC (other than the usual battered Ambys/Indicas) and Rs. 15/- per km for an AC Indigo.
I trust this information would prove to be useful, and I have provided the rates applicable to a metro city like Mumbai, Delhi, etc.
Regards,
UG
From India, Bangalore
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This is very helpful information. This has helped me in preparing the reimbursement policy.
From India, Mumbai
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From India, Mumbai
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Dear all,
Can anyone update me on the formula for calculating the fuel price? I want to fix the petrol/diesel reimbursement price in my company. Please suggest how to decide the rate for reimbursement per km.
Regards,
Yamini
From India, Delhi
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Can anyone update me on the formula for calculating the fuel price? I want to fix the petrol/diesel reimbursement price in my company. Please suggest how to decide the rate for reimbursement per km.
Regards,
Yamini
From India, Delhi
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Dear all,
Could someone please update me on the formula for calculating the fuel price so that a per km charge can be prepared for senior management personnel in our organization? I aim to set a fixed petrol/diesel reimbursement price in my company.
Please suggest how to determine the rate for reimbursement per km.
Regards,
Javed
From India, Nirmal
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Could someone please update me on the formula for calculating the fuel price so that a per km charge can be prepared for senior management personnel in our organization? I aim to set a fixed petrol/diesel reimbursement price in my company.
Please suggest how to determine the rate for reimbursement per km.
Regards,
Javed
From India, Nirmal
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Dear All,
I think for a two-wheeler, the formula should be considered as follows:
The current fuel price is Rs. 83 (which can vary from city to city).
The average mileage of a two-wheeler is considered to be 45 KM/l.
83/45 = 1.84/KM
Hence, Rs. 1.84/KM will be the fair price.
Correct me if I am wrong.
From India
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I think for a two-wheeler, the formula should be considered as follows:
The current fuel price is Rs. 83 (which can vary from city to city).
The average mileage of a two-wheeler is considered to be 45 KM/l.
83/45 = 1.84/KM
Hence, Rs. 1.84/KM will be the fair price.
Correct me if I am wrong.
From India
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Expense and Travel Reimbursement-I SG.doc