Car ownership calculator
Mileage Reimbursement Calculator
Calculate reimbursement from business miles and the rate you choose; no policy rate is assumed.
Use this calculator
What your result means
This calculates the payment from the business miles and reimbursement rate you enter. It does not assume an employer, HMRC or tax-treatment rate.
Worked example
Using 100 business miles at 45p per mile:
- Reimbursement
- £45.00
The rate is an illustrative input, not a policy claim.
Formula
How the reimbursement rate changes the amount paid
Reimbursement is a direct multiplication of business miles by the rate paid per mile.
The table below keeps the example mileage unchanged and varies only the reimbursement rate. The rates are illustrative mathematical scenarios and are not presented as current HMRC or employer rates.
| Reimbursement rate | Business miles | Reimbursement |
|---|---|---|
| 10p | 100 | £10.00 |
| 15p | 100 | £15.00 |
| 20p | 100 | £20.00 |
| 25p | 100 | £25.00 |
| 30p | 100 | £30.00 |
| 35p | 100 | £35.00 |
| 40p | 100 | £40.00 |
| 45p | 100 | £45.00 |
Reimbursement is not the same as running cost
A mileage reimbursement is an amount paid for business travel at an entered rate. It is not automatically the same as the actual cost of operating the vehicle.
Fuel, depreciation, insurance, servicing and other costs can make the vehicle's true cost per mile higher or lower than the reimbursement rate.
For vehicle-cost analysis, use the relevant fuel-cost, running-cost or total-cost-of-ownership calculator.
Assumptions and limitations
- The result is miles multiplied by the entered pence-per-mile rate only.
- Tax relief and vehicle operating costs are excluded.
Helpful questions
How is mileage reimbursement calculated?
Multiply the business miles by the reimbursement rate entered.
Is the reimbursement rate the same as my fuel cost per mile?
No. A reimbursement rate is a payment rate. Fuel cost per mile measures fuel expense only, while total vehicle cost per mile can include many additional ownership costs.
Does this calculator use HMRC mileage rates?
No. It uses whatever reimbursement rate you enter and does not assume a current HMRC rate.
Can I use this for an employer's own mileage rate?
Yes. Enter the rate your employer or organisation uses.
Does the result include tax relief?
No. This calculator only performs the entered mileage × rate reimbursement calculation.
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