Flat-rate fuel expenses (80 %) vs. a mileage log – which is worth it
When claiming fuel as an expense you generally have more than one option – among the best known are flat-rate fuel expenses (80 %) and records based on a mileage log. The difference lies mainly in the paperwork and in how much cost you actually claim. Let's compare the two and show when keeping a mileage log pays off. The framing follows Slovak tax practice; check the rules in your own country.
What flat-rate fuel expenses mean
Flat-rate fuel expenses (80 %) are a simplified way of claiming fuel, in which part of the documented fuel costs is claimed as an expense without needing to record every journey in detail. The advantage is less paperwork.
The exact conditions and rates, and whether this method suits you, are governed by income tax law and depend on the particular situation. Always verify them with your accountant; this overview is indicative only.
How claiming via a mileage log works
The second option is to claim actual consumption on the basis of records – a mileage log evidences the kilometres driven and the consumption, allowing the real level of fuel costs to be claimed.
This method involves more paperwork, but if you drive a lot on business it can yield higher allowable expenses. Accuracy of the records is key here, since they are the basis for the calculation.
When the flat rate pays off and when the mileage log does
Put simply: you will appreciate the flat rate if you want to minimise paperwork and do not fancy recording every journey. Conversely, if you drive predominantly on business and want to claim as much of the real costs as possible, a mileage log tends to be the better option.
The decision depends on the ratio of business to private journeys, the level of costs and your willingness to keep records. Ideally, calculate both variants with your accountant for the specific year.
How SaveTrack removes the mileage log's drawback
The main drawback of a mileage log tends to be the effort. SaveTrack removes it by creating the mileage log automatically from GPS – distances and routes record themselves and the journey only needs marking as business or private.
That lets you enjoy the benefits of precise records with no manual re-typing. An export for your accountant is ready in a few clicks, so a comparison of both methods is quickly to hand.
A closing recommendation
There is no single universally correct answer – the choice between the flat rate and a mileage log depends on how you drive and how you account. We recommend calculating both variants and deciding on the numbers.
Since this is a tax matter, always discuss the final choice with an accountant or tax adviser. SaveTrack will supply precise documentation for whichever method you choose.
FAQ
What are flat-rate fuel expenses?
It is a simplified way of claiming fuel, in which you claim part of the documented fuel costs without detailed journey records. Verify the exact conditions with your accountant.
Is the flat rate better than a mileage log?
It depends on the situation. The flat rate saves paperwork; a mileage log can yield higher allowable costs where business journeys predominate. We recommend calculating both.
Do I have to choose one method for the whole year?
The rules on combining methods and switching between them are governed by income tax law and depend on the particular situation. Always confirm the approach with a tax adviser.
How does SaveTrack help me choose?
SaveTrack records distances and journeys automatically, so you have precise data for calculating both variants. Your accountant can then more easily compare which is worth it.
Does SaveTrack reduce the effort of a mileage log?
Yes, it creates the mileage log automatically from GPS data. You do not have to re-type anything by hand; you simply mark the journey as business or private and export for your accountant.
Want precise documentation for both fuel claims and a mileage log? SaveTrack prepares it automatically. Write to info@savetrack.sk or call +421 908 918 880.
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