• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

Mileage Rate Question

Collapse
X
  •  
  • Filter
  • Time
  • Show
Clear All
new posts

    Mileage Rate Question

    I've just been informed I will only be reimbursed 25p per mile for a couple of out of office journeys I made last week and wondering if this is permissible?

    I am an office based contractor employed via an umbrella company and assumed 45p was a statutory minimum? These have been my only extra-curricular journeys so I'm obviously under the 10K limit.

    Or is the rate payable subject to each companies own individual guidelines.

    Thanks,
    Rod.

    #2
    Originally posted by rod147 View Post
    I've just been informed I will only be reimbursed 25p per mile for a couple of out of office journeys I made last week and wondering if this is permissible?

    I am an office based contractor employed via an umbrella company and assumed 45p was a statutory minimum? These have been my only extra-curricular journeys so I'm obviously under the 10K limit.

    Or is the rate payable subject to each companies own individual guidelines.

    Thanks,
    Rod.
    You should check this with your brolly. There are no maximums or minimums that can be paid, but if you claim or are paid more than the HMRC standard rates then you end up be taxed on anything extra.

    HMRC will allow 45p per mile for the first 10,000 miles in a financial year and 25p per mile thereafter tax free. Anything more than this gets taxed.


    Edit : Just spotted this was in General.

    <snip>.
    Last edited by NotAllThere; 21 March 2016, 10:39. Reason: Oy - don't go creating extra work!
    "Being nice costs nothing and sometimes gets you extra bacon" - Pondlife.

    Comment


      #3
      Originally posted by DaveB View Post
      You should check this with your brolly. There are no maximums or minimums that can be paid, but if you claim or are paid more than the HMRC standard rates then you end up be taxed on anything extra.

      HMRC will allow 45p per mile for the first 10,000 miles in a financial year and 25p per mile thereafter tax free. Anything more than this gets taxed.


      Edit : Just spotted this was in General.

      <snip>
      Moved.
      Down with racism. Long live miscegenation!

      Comment


        #4
        45p is just what HMRC allows you to claim.

        If your company is paying you less than 45p, you can claim the difference directly as a Mileage Allowance Relief.

        Comment


          #5
          Originally posted by DaveB View Post
          You should check this with your brolly. There are no maximums or minimums that can be paid, but if you claim or are paid more than the HMRC standard rates then you end up be taxed on anything extra.

          HMRC will allow 45p per mile for the first 10,000 miles in a financial year and 25p per mile thereafter tax free. Anything more than this gets taxed.


          Edit : Just spotted this was in General.

          <snip>.
          Last edited by NotAllThere; Today at 10:39. Reason: Oy - don't go creating extra work!
          Yeah.. You cockwomble!!
          'CUK forum personality of 2011 - Winner - Yes really!!!!

          Comment


            #6
            Originally posted by rod147 View Post
            I've just been informed I will only be reimbursed 25p per mile for a couple of out of office journeys I made last week and wondering if this is permissible?

            I am an office based contractor employed via an umbrella company and assumed 45p was a statutory minimum? These have been my only extra-curricular journeys so I'm obviously under the 10K limit.

            Or is the rate payable subject to each companies own individual guidelines.

            Thanks,
            Rod.
            Is this your first gig and likely to be the only one before April next year?
            'CUK forum personality of 2011 - Winner - Yes really!!!!

            Comment


              #7
              Originally posted by northernladuk View Post
              Is this your first gig and likely to be the only one before April next year?
              Irrelevant for out of office

              OP, are you talking about the brolly reimbursing you as expenses from your billed fees, or the client reimbursing you extra to your day rate?

              Comment


                #8
                Originally posted by mudskipper View Post
                Irrelevant for out of office

                OP, are you talking about the brolly reimbursing you as expenses from your billed fees, or the client reimbursing you extra to your day rate?
                I am talking about the client reimbursing me extra to my day rate.

                Comment


                  #9
                  Originally posted by rod147 View Post
                  I am talking about the client reimbursing me extra to my day rate.
                  That is an agreement between you and the client - the amount should have been covered by your contract. It can be any amount that has been agreed. Regardless of what the client pay, you should be able to claim 45p against tax.

                  Comment


                    #10
                    For about 18 month I managed a clients machine rooms across the UK - about 90 of them.
                    I was paid less than the HMRC rate and claimed back the difference via a SA as it soon mounted up.

                    Frankly for a couple of journeys you might consider it not worth the bother especially if they are paying you your hourly rate for the travel time?

                    Inter site travel is one of those things worth covering off in your future contracts.
                    So now I am worried, am I being deceived, just how much sugar is really in a spoon full!

                    Comment

                    Working...
                    X