State of Nebraska Mileage Reimbursement Requirements for Businesses

How much does an employer have to pay its regular employees for business travel? Actually, the State of Nebraska does not govern the minimum rate. In fact, there is no law that even requires them to pay any set rate for mileage. Most employers do, however reimburse their employees for travel expenses, including mileage. By law, your employer must pay you for travel time, but there is nothing that says they have to pay you for mileage. Most employers do however reimburse their employees for their travels and will usually reflect the rates and polices set forth by the state. The state of Nebraska uses the federal standard rate.

The standard mileage rates for business, medical and moving purposes are based on an annual study of the fixed and variable costs of operating an automobile. The current rate as set forth by the IRS is $.445 per mile. It is important to remember that if you are paid for mileage at the federal standard rate, that your expenses are not deductible. If you are reimbursed at a lower rate you may claim the difference, however if you are paid at a higher rate, than the excess may be subject to taxable wages. Your employer probably has his own set of regulations with regard to business travel and these should be discussed before using your own vehicle for this purpose.

Employers are also required to reimburse those receiving Workers Compensation benefits for mileage. The payer shall reimburse an injured worker for reasonable and necessary mileage expenses for travel to and from appointed medical and rehabilitation facilities. The reimbursement rate is currently $.405 per mile. Travel expenses are also reimbursable for court appearances, and if the claimant is unable to return to his former occupation due to the injury than they can be reimbursed for miles traveled in the course of obtaining new employment.