New Mileage Rates and Regulation.

Travel Time Pay and Mileage Reimbursement

Travel time and mileage reimbursement can get a little tricky and is a common area that is improperly compensated to employees. The Department of Labor has issued several memorandums on these topics to help guide employers to pay this correctly, but it seem to be a constant source of confusion. Here are a few basic guidelines for travel time pay:

• Ordinary travel between home and work is not compensable time, even if the work location changes periodically within the same commuting area.
• If an employee is traveling to a different city (outside normal commute) and back again in one day, you must compensate the employee for all travel time during that day.
• If an employee arrives at any work location, and then travels to another site as part of their work duties, the travel must be counted as work time.
• Travel that keeps an employee away from home overnight is treated differently. The employer must normally only pay for travel time which occurs during normal work hours      (even if on a weekend).
• Keep in mind that the above rule for overnight travel only applies if the employee travels as a passenger.  If the employee drives himself, or any coworkers, consult your legal counsel on whether the trip is compensable.

The interesting part of travel time laws is that it does not specifically define the difference between a “long commute” and “travel” so this is often where the confusion begins. But this is why it’s important to consult an experienced California labor law attorney.
Travel time and mileage reimbursement seem to go hand in hand. If a company vehicle and gas card is provided to you, then mileage reimbursement would not apply. But if you drive your own vehicle and pay for your gas while traveling for the company, then you should be reimbursed for your mileage. The IRS recommends a rate of .55 per mile; this is what they will allow you to claim on your taxes. It’s important to note that this rate is not required by law. Companies may fluctuate in rate but they must be able to show how they arrived at the rate they are paying for mileage.

Labor law is complex; if you have any questions regarding your employment it is recommended that you contact a San Francisco labor law attorney who can help you understand your rights and UELG will never charge anything unless we win your case.