nrma travel reimbursement rate

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Cents per kilometre method

Check how sole traders and some partnerships can use the cents per kilometre method for car-related business expenses.

Last updated 29 June 2023

This method

Only use this method if you are a sole trader or partnership (where at least one partner is an individual) claiming for a car .

The cents per kilometre method:

• uses a set rate for each kilometre travelled for business
• allows you to claim a maximum of 5,000 business kilometres per car, per year
• doesn't require written evidence to show exactly how many kilometres you travelled (but we may ask you to show how you worked out your business kilometres, for example diary records)
• uses a rate that takes all your vehicle running expenses (including registration, fuel, servicing and insurance) and depreciation into account.

Rates are reviewed regularly. The rate is:

• 85 cents per kilometre for 2023–24
• 78 cents per kilometre for 2022–23
• 72 cents per kilometre for 2020–21 and 2021–22
• 68 cents per kilometre for 2018–19 and 2019–20
• 66 cents per kilometre for 2017–18.

How you use this method

To work out how much you can claim, multiply the total business kilometres you travelled by the rate.

Things to remember

• Apportion for private and business use
• Understand the expenses you can claim
• Keep the right records

Track mileage automatically

Work-related car expenses for employees, in this article, the car allowance and the cents per kilometre method, how to log information for your work-related car expenses, will your mileage reimbursement be taxed.

Employers will often reimburse employees as they incur work-related car expenses for business-related driving. While employers can decide themselves how to reimburse these expenses, they do follow rules set by the ATO you should also be aware of.

With Driversnote you can share your vehicle log book with the ATO or your employer at the touch of a button. Try the logbook app for free. 

Kilometre tracking made easy

Trusted by millions of drivers

Your employer will likely use one of these two methods of reimbursing you for your work-related car expenses. They differ in their types of compensation and payout structure.

Car allowance

If you get an ATO car allowance from your employer, it needs to be shown on your payment summary, as allowances are considered taxable income. You can use the allowance to purchase a vehicle, keep it for expenses associated with your current vehicle or spend it in any other way you see fit. The car allowance offers employees the highest level of flexibility when it comes to spending it.

When you receive a taxable car allowance, you can still deduct your business-related driving expenses at your tax return. The deduction is meant to cover the costs of running your vehicle, such as fuel, oil, tyres etc.

In case you are not reimbursed for the car operating expenses, you can claim them from the ATO on your annual tax return. You will be able to use either the cents per km method or the logbook method to deduct your eligible work-related car expenses. Read more about deducting motor vehicle expenses from the ATO .

The administrative burden of paying an allowance and accounting for all expenses afterwards can be cumbersome for a company. Instead, many employers provide a cents per kilometre rate as reimbursement. Under a cents per kilometre reimbursement arrangement, you are reimbursed at a specific rate for each kilometre you drive for business.

Why is car allowance taxable?

Car allowances are taxable because they are considered an employment benefit. You don't need to provide proof of kilometres you've driven for work to receive it, and can use it as you see fit e.g. it is not a justified reimbursement to remain untaxed.

What tax do you pay on car allowance?

Car allowance is a benefit included in your income statements or payslips, and is taxed at your income tax rate.

The cents per kilometre reimbursement

The simplest mileage reimbursement arrangement is to use a flat rate per kilometre driven. It is supposed to cover all work-related car expenses. That's what the ATO’s rate does; it is meant to cover both the costs of owning (fixed costs) and driving (variable costs) your vehicle for business-related travel.

Keep in mind that your employer can set any rate they like - they do not have to use the ATO’s rate. For rates higher than the ATO’s standard per kilometre rate, the excess is taxed as part of your income.

See the new cents per km 2023 rate , applicable for the 2023/2024 tax year.

There's a lot to be said for using a standard rate, chief among them that it's simple and avoids a fairly big administrative burden.

The vehicle you use

If you use your own car (including a leased or hired car under a hire-to-purchase agreement), you can claim all work-related travel expenses from your employer or on your tax return. The two most common methods for employee reimbursement are a cents per kilometre rate or a car allowance.

If you use someone else's vehicle , i.e. a company car for work purposes, you will be able to claim only the actual expenses you have covered for operating the car (such as fuel, maintenance and parking) as a work-related travel expense from your employer or on your tax return. You won’t be able to use the cents per km rate, as it accounts for the cost of owning a vehicle.

There are no exact requirements for how you keep track of travel as an employed individual. Your employer might require you to use a certain method or provide certain records, and they need to inform you of it. A lot of people have to choose for themselves.

However, if you claim work-related car expenses from the ATO on your tax return, you need to adhere to the requirements for a logbook based on the method you use.

Most people use a mobile application to both track their trips and generate reports for them. Other alternatives are spreadsheets, like Excel or Google Sheets, that you can share with your manager and/or accountants, but then you might need to take down odometer readings every trip to figure out your mileage accurately.

This depends on how your employer processes your claim. 

• If your employer provides an allowance for car expenses, this would be taxed as it is considered a benefit and needs to be declared as income.
• If your employer reimburses your specific car expenses and they are taxed as a part of your income, you can claim these as a deduction in your tax return.
• If your employer reimburses your specific car expenses and these are not taxed, you cannot claim a deduction as you have already been fully reimbursed by your employer.

How to automate your mileage logbook

ATO Mileage Guide

• For Self-Employed
• For Employees
• For Employers
• The Cents per Kilometre Method
• ATO Log Book Requirements
• Claim Car Expenses In 5 Simple Steps
• Calculate Your Car Expenses Reimbursement
• ATO Car Expenses Deductions
• Is Mileage Reimbursement Taxed?
• Historic Cents Per KM Rates
• ATO Cents Per KM Rate 2021/2022
• ATO Cents Per KM Rate 2020/2021

Automate your logbook

Choose your country or region.

• United States
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NRMA Travel Insurance

Our verdict: nrma has some particularly high benefit limits and offers 5% off if you already have insurance with them..

In this guide

Summary of NRMA International Comprehensive policy

How does nrma travel insurance cover covid-19, what policies does nrma offer, here's a breakdown of nrma travel insurance features, standard features, optional add-ons, how to make an nrma travel insurance claim, here's the bottom line about nrma travel insurance, frequently asked questions, request travel insurance quotes and compare policies.

Destinations

• NRMA covers up to $10,000 of your rental car excess, higher than many other brands.
• NRMA covers up to $45,000 for loss of income. We didn't find another brand that offered more cover in this area.
• There's no option to add higher-risk activities to your policy, such as outdoor rock-climbing, which might rule NRMA out for some travellers.
• NRMA offers limited coverage for expenses related to COVID-19.

Compare other options

Travel insurance customer satisfaction finalist

NRMA ranked in second place, with an overall score of 4.24/5. 89% of those surveyed said they'd recommend NMRA travel insurance to a friend. NRMA scored highly for customer service and ease of application, but it wasn't as impressive in the value for money category.

Best Travel Insurance - Comprehensive finalist

NRMA Travel Insurance ranked in second-place for comprehensiveness out of the 28 international policies we analysed. It scored highly for features including hospital cash allowance, COVID cover and rental car excess insurance.

Table updated September 2023

NRMA offers some cover in relation to COVID-19, including:

• Appropriate overseas medical, emergency, evacuation or repatriation costs if you're diagnosed with COVID-19.
• Additional expenses if you're diagnosed or admitted to hospital with COVID-19.
• Additional expenses if a relative or your business partner not travelling with you becomes sick as a result of COVID-19.
• Amendment or cancellation costs if you or your travelling companion are diagnosed with COVID-19 before you leave.
• Amendment or cancellation costs if your non-travelling relative or business partner becomes sick due to COVID-19.
• Amendment or cancellation costs if you're are an essential health care worker whose leave is revoked due to COVID-19.
• Amendment or cancellation costs if you or your travelling companion are diagnosed with COVID-19 on your trip.

There are some scenarios that are not covered by NRMA Travel Insurance, including if your accommodation or tour cancels due to COVID-19 or if you travel knowing you have COVID-19.

NRMA offers six insurance policies to travellers - International Multi-Trip, International Comprehensive, International Essentials, Domestic Multi-Trip, Domestic Comprehensive, and Domestic Cancellation.

International Multi-Trip

International Comprehensive

International Essentials

Domestic Multi-Trip

Domestic Comprehensive

Domestic Cancellation

The insurer of this product is Zurich Australian Insurance Limited. It comes with a cooling-off period of 21 days and choice of $250 standard excess for international plans.

These are some of the main insured events that NRMA will cover. These benefits apply across all international policies.

• Overseas medical treatment
• Lost, damaged or stolen property
• Trip cancellation or amendment
• Additional accommodation and transport
• Delayed luggage allowance
• Rental car insurance excess
• Emergency dental costs
• Kidnap and hijack
• Personal liability
• Accidental death

NRMA also offers opportunities to tailor your cover to suit your needs. It has a specific Cruise Cover option but otherwise you just have to request a quote for your other needs.

• Cruise cover. Mandatory if you are going on a multi-night cruise, includes extra cover for some cruise-related risks such as cabin confinement and missed ports.
• Medical Conditions and Pregnancy. NRMA may consider covering your pregnancy or pre-existing condition following a health questionnaire.
• Increase luggage item limits. You may be able to increase the item limit by paying an additional premium.
• Motorcycle/moped riding. Extends your insurance policy to cover some motorcycle and moped-related claims, but not personal liability.
• Snow skiing, snowboarding and snowmobiling. If you want your policy to cover you while on the slopes, you'll need to pay an additional premium.

Unfortunately, travel insurance doesn't cover everything. Generally, NRMA will not pay your claim if it relates to:

• Unlawful, wreckless or unreasonably unsafe behaviour by you
• Behaviour while you were drunk or under the influence of drugs
• Expenses related to a pre-existing medical condition
• An act of war, invasion or revolution
• Insolvency of a travel agent , tour operator or accommodation provider
• Mandatory quarantines or isolations
• You being unfit to travel or travelling against medical advic
• Childbirth or pregnancy complications before the 24th week of gestation or if you have had previous pregnancy complications
• An elective medical or dental treatment , cosmetic procedure or body modification (including tattoos or piercing)
• Self-inflicted injury or illness, suicide or attempted suicide

Make sure you review the NRMA PDS for a detailed breakdown of what won't be covered, found under its list of general exclusions .

You can claim online via the NRMA website, following these instructions:

• Describe the incident
• Enter your expenses or losses
• Upload any supporting documents
• Provide your bank details
• Review and finalise your claim

You can save and return to an incomplete claim for up to 28 days. Once you've lodged your claim, NRMA will update you within 10 working days.

You can also phone NRMA on 1300 135 640 between 9am-5pm, Monday to Friday. Or you can fill out a claim form and post it to:

NRMA Travel Insurance c/o Cover-More Claims Department Private Bag 913 North Sydney NSW 2059

NRMA offers particularly high benefit limits, so if you're travelling with expensive items or have a high rental car excess, it could be a good option.

However, any travellers keen to take part in risky or high-adrenaline activities may want to look elsewhere as NRMA doesn't offer an opportunity to add an adventure pack to its policies, whereas many other insurance brands do.

If you're still not sure about NRMA, you can compare other travel insurance companies here .

What type of documentation do I need when making a claim?

NRMA may ask you to provide a range of documents including receipts, valuation certificates, credit card or bank statements, photos or an emergency services report.

Does NRMA cover pre-existing conditions?

NRMA covers a range of pre-existing conditions as standard, including asthma, coeliac disease, and bunions. Some additional conditions are covered with specific conditions, such as not being hospitalised within a certain time period, while others you will need to apply for specific cover and pay an extra premium..

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• NRMA International Multi-Trip, International Comprehensive, International Essentials, Domestic Multi-Trip, Domestic Comprehensive, and Domestic Cancellation Travel Insurance information page
• NRMA International Multi-Trip, International Comprehensive, International Essentials, Domestic Multi-Trip, Domestic Comprehensive, and Domestic Cancellation Travel Insurance information PDF
• NRMA International Multi-Trip, International Comprehensive, International Essentials, Domestic Multi-Trip, Domestic Comprehensive, and Domestic Cancellation Travel Insurance TMD

Nicola Middlemiss

Nicola Middlemiss is a contributing writer at Finder, with a special interest in personal finance and insurance. Formerly a business and finance journalist, Nicola has written thousands of articles helping Australians better understand insurance and grow their personal wealth. She has contributed to a wide range of publications, including Domain, the Educator, Financy, Fundraising and Philanthropy, Insurance Business, MoneyMag, Mortgage Professional, Yahoo Finance, Your Investment Property, and Wealth Professional. Nicola has a Tier 1 General Insurance (General Advice) certification and a Bachelor's degree from the University of Leeds.

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Travelling to Bankok Singapore

Thanks for reaching out to Finder.

If you are looking to apply for a travel insurance with NRMA , you may directly visit their website to request a quote or to speak to a representative who can help with your insurance enquiries.

Alternatively, you may compare policies from different brands from our Travel insurance for Singapore page. Simply enter your travel details and press “Get my quote”. Once you have chosen a particular cover, you may then click on the “Go to site” button and you will be redirected to the insurer’s website where you can proceed with your application or get in touch with their representatives for further assistance.

Before applying, please ensure that you read through the relevant Product Disclosure Statements/Terms and Conditions when comparing your options before making a decision on whether it is right for you. You can also contact the provider if you have specific questions.

Cheers, Joanne

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Travel services from NRMA*

Car rental discounts with Sixt

NRMA* Members get 15% off day rates, a free upgrade and more.

Making a claim?

To find out if you can get a hire car as part of your Comprehensive Car Insurance claim, call 132 132 (7am–8pm).

Holiday Parks and Hotels

Thinking about a holiday in Australia? NRMA* members get discounts on holiday accommodation, from holiday parks to hotels.

More from NRMA*:

• Roadside assistance
• Car services

International Driving Permits

NRMA* Members get discounts on cruises, rail tours, Australian and overseas holidays, and more.

Discounted tickets

NRMA* Members can save on over 3,000 experiences across Australia and New Zealand. Get discounts on Gold Coast theme parks, zoos, wildlife parks, sightseeing cruises and more.

Driving overseas and need an International Driving Permit (IDP)? Pick one up from a participating branch or apply online to get it in as few as five business days (through Domestic Express Post).

Things you should know

* National Roads and Motorists' Association Limited, ABN 77 000 010 506, trading as NRMA, is a separate and independent company from Insurance Australia Limited, ABN 11 000 016 722, trading as NRMA Insurance. “NRMA” provides Membership, the “my nrma app” and other services.

• Get a quote
• Make a claim
• Membership and roadside assistance
• Download the app

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Per diem rates

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• Per Diem Lookup

FY 2024 Per Diem Rates Now Available

Please note! The FY 2024 rates are NOT the default rates until October 1, 2023.

You must follow these instructions to view the FY 2024 rates. Select FY 2024 from the drop-down box above the “Search By City, State, or ZIP Code” or “Search by State" map. Otherwise, the search box only returns current FY 2023 rates.

Rates are set by fiscal year, effective Oct. 1 each year. Find current rates in the continental United States, or CONUS rates, by searching below with city and state or ZIP code, or by clicking on the map, or use the new per diem tool to calculate trip allowances .

Search by city, state, or ZIP code

Required fields are marked with an asterisk ( * ).

Search by state

Have travel policy questions? Use our ' Have a Question? ' site

Have a question about per diem and your taxes? Please contact the Internal Revenue Service at 800-829-1040 or visit www.irs.gov. GSA cannot answer tax-related questions or provide tax advice.

Need a state tax exemption form?

Per OMB Circular A-123, federal travelers "...must provide a tax exemption certificate to lodging vendors, when applicable, to exclude state and local taxes from their hotel bills." GSA's SmartPay team maintains the most current state tax information , including any applicable forms.

PER DIEM LOOK-UP

1 choose a location.

Error, The Per Diem API is not responding. Please try again later.

No results could be found for the location you've entered.

Rates for Alaska, Hawaii, U.S. Territories and Possessions are set by the Department of Defense .

Rates for foreign countries are set by the State Department .

2 Choose a date

Rates are available between 10/1/2021 and 09/30/2024.

The End Date of your trip can not occur before the Start Date.

Traveler reimbursement is based on the location of the work activities and not the accommodations, unless lodging is not available at the work activity, then the agency may authorize the rate where lodging is obtained.

Unless otherwise specified, the per diem locality is defined as "all locations within, or entirely surrounded by, the corporate limits of the key city, including independent entities located within those boundaries."

Per diem localities with county definitions shall include "all locations within, or entirely surrounded by, the corporate limits of the key city as well as the boundaries of the listed counties, including independent entities located within the boundaries of the key city and the listed counties (unless otherwise listed separately)."

When a military installation or Government - related facility(whether or not specifically named) is located partially within more than one city or county boundary, the applicable per diem rate for the entire installation or facility is the higher of the rates which apply to the cities and / or counties, even though part(s) of such activities may be located outside the defined per diem locality.

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IRS issues standard mileage rates for 2024; mileage rate increases to 67 cents a mile, up 1.5 cents from 2023

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IR-2023-239, Dec. 14, 2023

WASHINGTON — The Internal Revenue Service today issued the 2024 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes.

Beginning on Jan. 1, 2024, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:

• 67 cents per mile driven for business use, up 1.5 cents from 2023.
• 21 cents per mile driven for medical or moving purposes for qualified active-duty members of the Armed Forces, a decrease of 1 cent from 2023.
• 14 cents per mile driven in service of charitable organizations; the rate is set by statute and remains unchanged from 2023.

These rates apply to electric and hybrid-electric automobiles as well as gasoline and diesel-powered vehicles.

The standard mileage rate for business use is based on an annual study of the fixed and variable costs of operating an automobile. The rate for medical and moving purposes is based on the variable costs.

It is important to note that under the Tax Cuts and Jobs Act, taxpayers cannot claim a miscellaneous itemized deduction for unreimbursed employee travel expenses. Taxpayers also cannot claim a deduction for moving expenses, unless they are members of the Armed Forces on active duty moving under orders to a permanent change of station. For more details see Moving expenses for members of the armed forces .

Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.

Taxpayers can use the standard mileage rate but generally must opt to use it in the first year the car is available for business use. Then, in later years, they can choose either the standard mileage rate or actual expenses. Leased vehicles must use the standard mileage rate method for the entire lease period (including renewals) if the standard mileage rate is chosen.

Notice 2024-08 PDF contains the optional 2024 standard mileage rates, as well as the maximum automobile cost used to calculate the allowance under a fixed and variable rate (FAVR) plan. In addition, the notice provides the maximum fair market value of employer-provided automobiles first made available to employees for personal use in calendar year 2024 for which employers may use the fleet-average valuation rule in or the vehicle cents-per-mile valuation rule.

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