Our Blog

Read about legislation, cases, law news on how our
work is helping our clients.

California law requires employers to reimburse employees for business expenses the employees must cover, and this includes mileage reimbursement. While your employer does not have to cover the costs of your daily commute or unnecessary vehicle-related expenses, it does have to reimburse you if you use your personal vehicle for business purposes and for the benefit of the employer. 

Failing to properly reimburse you constitutes unpaid wages in California, and anyone who suspects their employer failed to fully reimburse them should speak with a California employment lawyer right away. 

How Reimbursement Works

If an employee uses a car they personally own for work, reimbursement should cover the costs of:

  1. Fuel
  2. Wear and tear causing vehicle depreciation
  3. Repairs and maintenance
  4. Auto insurance
  5. Vehicle registration costs

Employers can determine how to calculate and provide the reimbursement, including:

  1. Paying based on actual mileage traveled for work
  2. Paying based on actual expenses and receipts
  3. Using a combination of fixed rates, such as for insurance premiums, or variable rates for fuel expenses
  4. Lump-sum payments as gas and expense “stipends”

Employers can choose any of these methods as long as they are fully reimbursing the employee.

The IRS Mileage Reimbursement Rate for 2022

The Internal Revenue Service (IRS) sets optional standard mileage reimbursement rates and adjusts them each year based on inflation and other factors. As of January 1, 2022, the mileage reimbursement rate was increased to $0.585 per mile if an employee uses a personal car, SUV, pickup truck, van, or panel truck for work purposes.

If a personal vehicle is used for work for charitable organizations, the rate drops to $0.14 per mile. For active-duty members of the U.S. Armed Forces or travel for moving or medical purposes, the rate is $0.18.

Employers do not have to use these standard mileage reimbursement rates. The IRS bases its rates on a national average, so the costs of personal vehicle use in California are often much higher. The IRS rate should not be the only factor considered when California employers are reimbursing employees.

What if I Think I Did Not Receive Enough Reimbursement?

Many employers underpay employees for mileage and other vehicle costs. If you think you are not receiving proper reimbursement for your mileage and other vehicle-related expenses, you should discuss the matter with an unpaid wage attorney in California. A lawyer will understand your rights under state law, and we can review all of your expenses and advise whether you were underpaid.

If so, we can assist you in taking steps to seek the unpaid wages you deserve by filing a wage and hour claim. Your employer’s reimbursement policies might be violating the rights of many employees who use their vehicles for work. In this situation, you might all be able to file a class action to seek your unpaid wages.

Contact a California Unpaid Wage Attorney for More Information

At Mara Law Firm, we help employees at every stage of their unpaid wage claim. Whether you want to discuss concerns you have about unpaid wages, or you know that your employer violated your rights, our legal team is ready to help.

Our consultations are always free and confidential, so you have nothing to lose by reaching out so we can evaluate your rights. Call (619) 234-2833 or contact us online to learn more about our services and whether or not you have a valid claim.

Share here...
  • I remember screaming at a dear friend of mine saying, “WHY WON’T THE INSURANCE COVER MY TREATMENT!” He said, “…because they know if they do it will increase your settlement.” I said, “WHAT SETTLEMENT! I JUST WANT TO GET TREATMENT! I DIDN’T ASK FOR A SETTLEMENT!” Somewhere I found out that for some insurance companies they are more concerned with protecting their money. This means you are thinking about treatment and getting better while they are thinking about money. Get someone that is on your side that will fight for you. They fought for me…and won.

    Mara Law Firm ClientSan Francisco

  • He represented myself and many old CO-workers. They were very professional & I’d recommend them to anyone. Great Lawyers for the forgotten working man.

    ScottSan Francisco

  • I would definitely recommend David and really appreciated all the hard work he contributed. David really went the extra mile to help his customers. We were very happy and satisfied with his services. Thank you David!

    Mara Law Firm ClientSan Francisco

  • Mr. Mara was a pleasure to work with. He kept me in the loop. Can’t say enough how good it feels to have someone fighting for you, giving you a voice.

    AlbertSan Francisco

  • I was blown away by the results my case got. It far exceeded my expectations. Not only do you get someone who is a great professional; but he will fight for what you deserve. I was uncertain in the beginning; now I’m a believer. Mr. Mara is also personable. Lisa his paralegal was tremendous throughout the whole process. She would keep me updated on the whole process. Don’t cheat yourself by using anyone else; you will be taken care of the right way if you choose Dave

    Jerome HarrisSan Francisco

  • Mr. Mara and his firm helped me file a claim for death benefits on behalf of my late husband. I was very pleased with his knowledge, research, and representation regarding my DBA claim for death benefits. I would absolutely recommend him and its associates to my friends, family, and others needing an attorney who specializes in employment, personal injury, and death benefits. Mr. Mara was very compassionate, timely, and responsive to my family’s needs. I can’t thank him enough.

    Sally A ChandSan Francisco

  • Dave Mara  did an outstanding job on my DBA case. Dave I personally want to thank you for guiding me in the right direction and having a successful case outcome. God bless you for all the effort you put into my DBA case. Words can’t describe how thankful I am. Thank you for helping injured over seas contractors.

    Jim Joned San Francisco

  • Mr. Mara and his staff were very professional and I would highly recommend Mr. Mara. Mr. Mara had my best interests in settling my case and I am very appreciative of all he and his staff did for me. If I ever needed help or had simple questions, Mr. Mara and his staff were always available to take my calls and help me. Highly recommend this firm!

    DebSan Francisco

  • Dave Mara  comes with a very high recommendation. He took a workmans compensation case for me and really handled it well. It was an unclear case, and a new issue that the WC most likely had never seen. He kept me up to date with the long confusing process and was very understanding and sympathetic to my plight( I was the victim of a violent crime). Dave has no big lawyer shenanigans and dramatic posing, he is a down to earth, fair , honest hard working lawyer who really does not seem like an an attorney at all. I recommend anyone in the SD area to consult with Dave it was a painless process.

    Linda DSan Francisco

View All Testimonials

Request your confidential & free case consultation

If you are in need of employment litigation attorney in California or have been injured overseas while under a military contract and are in need of a defense base act attorney. Please fill out the form below and contact us immediately for a FREE consultation.

    all fields are required*