The standard mileage rates for cars, vans, pickups, or panel trucks will change on January 1, 2019, according to an IRS release. The rate will be $0.58 for every mile of business travel. This means you need to update your unit of measure in BigTime.
Follow the steps below to make this change. At the end of the article, we’ll explain the difference between Cost/Rate and Sales/Price, which will be helpful when you make unit of measure changes.
Select My Company…Field Values from the navigation bar.
This will direct you to your Basic Categories window. Once here, you’ll select the sub-category Expense Codes.
Scroll down on the left-side of your window and select Travel: Mileage (or a similarly titled travel expense value).
Then, scroll down on the right-side of your window, so you can update your cost and sale rates.
Remember to click Save to save your work.
Cost/Rate, in regards to mileage, is the standard mileage rate for cars, vans, pickups, or panel trucks set by the IRS. But keep in mind that cost rate can be used for other things other than mileage. Outside of the mileage context, cost rate can be more generally understood as the rate at which a company reimburses an employee or how much the employee costs the company.
Sale/Price, on the other hand, is the price a company charges so they can profit from it, and it’s applied when the expense is invoiced. The staffer doesn’t see the Sales/Price when inputting a unit of measure expense entry; they only see the Cost Rate.
Keep in mind that units of measure expenses can be used for other things other than mileage, such as making copies. If a company isn’t looking to profit from the copies, then they’d make the Cost/Rate and Sales/Price the same. To learn more about expense codes and units of measure, check out our Knowledge Base article on the topic.