In the context of travel and expense management, an odometer refers to the instrument used to measure the distance traveled by a vehicle. It provides a numerical reading of the total miles or kilometers accumulated. This measurement is crucial for accurately calculating and reimbursing mileage expenses.
🔑 Key Points:
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Ensures accurate mileage reimbursement.
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Supports policy compliance with start/end readings.
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Often digitally integrated for efficiency.
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Vital for expense record-keeping and audits.
Example:
John, a sales representative, uses his personal car for client visits. Before starting his trip, he records his car's odometer reading: 50,000 miles. After visiting three clients, he records the ending odometer reading: 50,150 miles. He then submits an expense report with the 150-mile difference, along with the company's approved mileage rate, to calculate his reimbursement. The company then verifies the odometer readings, and approves the reimbursement.