Need to fix the local conveyance rate for two and four wheeler vehicle for employees - CiteHR
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Dear
In our organization, we increase petrol price only when there is an increase of petrol price on two occasions. Accordingly, please find attached a circular which I sent to all employees and branches. This is what we follow. I arrived at this change by computing the increase from the previous price, which worked out to 17.25%. Therefore the increase is effected accordingly.
Coming back to your requirement, I do not know when the last increase in petrol price took place in your organization. You can apply the same logic and compute it accordingly i.e. increase from the old price and current price.
As far as car is concerned, we provide "certain" litres of petrol every month according to their grade / field work. therefore the price increase will not have any bearing on these employees.
Balaji


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Dear SM,
If you will consider the the current running cost for 4 wheeler including the maintenance (Servicing & other wear & tear) then u will find Rs. 4/- P.Km. viable. However, u can self judge the costing by discussing with your colleagues using 4 wheelers. Purpose of providing the attachment was providing you an idea for drafting policy whereas rates can be changed company to company. If we hire a commercial 4 wheeler then minimum charges are Rs. 7 To Rs. 8/- Per Km so from that point of view Rs. 4/- per km is comes on justifiable side.
Regards,
Harish

Hi, I agree with Harish . Let me know is it viable to fix a monthly lumsum as fuel expenses.Normally how do you all monitor this policy. Looking fwd to hearing from you Angha
Dear SM, this is in response to the mail addressed to Mr.Harish. Please do a sample study in your city. Please put yourself in the shoes of an employee attending to an official job travelling 10 KM by auto. The auto charges will be more than what you are entitled if the compensation you give is less than Rs.3.50 or 4. If you travel by a twowheeler of your own, ..... to save money you sacrifice your energy and comfort.....? I hope, most of the companies frame employee friendly policies.... this is just a suggestion...out of my experience.
Hi
I want to start petrol expenses and per day allowences to be paid to the employees for petrol .How should I put that in practice and want to know if i should pay the employees according to the average that the vechicle gives or a standard rate.
The companies has a few employees who go for marketing purpose for the whole day as well there are few employees who go just for a few hours may be one or two hours a day.
Please help me as I am new to the company and a fresher .
Thanks.

documents require for petrol reimbursement. log book is mandatory
Dear All,
Thanks to sharing your experiance for fixing petrol claim for two wheeler and four wheeler.
but i need proper supporting justification. If we fix conveyance allowance for any vehicle we should calculate for the following particulars:-
Avarge vehicle Mileage :-
Fuel cost per liter:-
Maintenance cost per Km:-
for example : Two wheeler -- Avarge Milage 50km per liter.
Fuel cost as on date :- Rs.84, ( 84/ 50 = Rs.1.68)
Maintenace cost - for New vehilce - first 3 Months service charges -- Labour - Rs.250 + replacement of Oil- Rs.600+ service exp - Rs.250+ other exp Rs.250.
overall Maintenace cost for 3 months = Rs.1500 = 1500 / 4500 = 0.35
Replacement of Tyre cost = Rs.1100 X 2 = Rs.2200 for 35000Km ( 2200/30000= Rs.0.08)
Total cost per Km = Rs.1.68 + 0.35+0.10 = Rs.2.13.
I hope this can be justify ourself, incase of if anythink missing pls advise me.
Tks & Regards,
P.K.JAGADEESAN

Can anyone update me on the formula for calculating the Fuel Price. I want to fixed the petrol/diesel reimbursement price in my company. Please suggest as how to decide the rate for reimbursement per km. r

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