If your Nanny or Manny utilizes their own vehicle during work hours, like school drop-off and pick-up, play-dates, sport activities or running errands for your family, they are entitled to mileage reimbursement.
Beginning on January 1, 2023, the new mileage reimbursement rate is:
- 65.5 cents per mile driven
It does not include their commuting mileage to/from your residence before and after work. Mileage reimbursement is tax free, except for values that exceed the IRS rates.
Best is to have your Nanny or Manny download a mileage tracker on their phone, which is super easy to use. They just press start when they leave your home; and the app tracks miles automatically. Easy peasy. Stride is a great app to choose; and it’s free too!
[picture by Robert Nagy]