As we navigate the evolving landscape of electric vehicles (EVs), the importance of a well-thought-out driver reimbursement policy cannot be overstated. Harnessing the power of vehicle connectivity and carefully selecting data collection methods enables a wealth of information from diverse sources. This approach ensures that the EV reimbursement process is not only fair and efficient but also rich in insights to improve EV performance.
The primary goal of vehicle reimbursement is to ease the financial burden on employees resulting from work-related vehicle use. Expenses may include items such as fuel, electricity, maintenance, and other relevant purchases.
Stipend: employees are given a fixed sum paid regularly (often monthly or per pay period) in addition to their standard wage or salary.
Mileage-based: employees are compensated based on the distance they've traveled for work at a set rate per mile/kilometer.
Energy-based: employees are compensated based on driver energy-use data.
EV driver reimbursement ensures employees are compensated for the electricity used to charge their EVs at home or in public for work-related activities. As the adoption of EVs increases, understanding and implementing effective EV driver reimbursement policies will become increasingly important for businesses.
There are two primary scenarios to consider:
Home energy reimbursement: Compensating employees for the additional electricity consumed at home to charge their company assigned or personal EVs for business use.
Public charging reimbursement: For cases where a fleet does not already provide a public charging card or payment solution, employees may also need to be reimbursed for out-of-pocket expenses to recharging their vehicles at public charging stations during work-related travel.
There are many approaches to obtaining EV driver reimbursement data. While each approach has its merits, we recommend a blended approach which uses multiple data sources for a richer view. This not only enables a seamless driver reimbursement process but also provides more meaningful insights to monitor EV performance.
Smart Chargers
Vehicle Connectivity
A blended approach: The benefits of using multiple data sources
Ready to take the first step towards crafting your EV fleet driver reimbursement policy? Discover more about the Arc by Element™ end-to-end electric vehicle offering or get in touch with us today.
