5 benefits of using a mileage tracker
In the past, logistics companies required drivers to track mileage manually. This was a hectic process and ate into the time of drivers, and other staff time that could be used in more productive aspects of the business. However, those days are long gone. Nowadays, businesses can use apps such as TripLog to track mileage automatically. For a business that is yet to install such apps, here are 5 benefits of using a mileage tracker.
- Mileage trackers have a truckload of features
Unlike logging in mileage manually, a mileage tracker gives you a whole load of functionalities. For instance, with such a tracker, management in a logistics company can track where the fleet is in real time. This can instil an element of responsibility in the drivers, in the way they manage the cars. Besides, such a tracker acts as an added layer of security in case a vehicle is stolen.
- It helps when applying for IRS deductions
The IRS allows businesses to apply for deductions on mileage. As per the 2018 deductible mileage rates, a business can claim 54.5 cents per mile. These are huge cost savings that can be channeled to other more profitable aspects of the business. Mileage trackers help a business get an accurate reading of its mileage, and use this information to apply for tax deductions at the end of the financial year. It’s a more accurate reading than trying to do the same manually.
- It makes accounting easier
In business, every expense needs to be accounted for. This means that accounting records from different departments need to be up-to-date at all times. Since most accounting records are now automated, it makes sense to have all aspects of a business that generate costs and revenues automated as well. In essence, mileage trackers add to the efficiency of a company’s accounting process. This can add to the overall cost efficiency of an organization, which can have a positive impact on its operations and decision-making process.
- Better coordination between drivers
One of the best aspects of a mileage tracker is information sharing. With a mileage tracker, it is not just the management that knows where the fleet is, the drivers are aware too. Drivers can even communicate via social media, and share information. This can help improve operational efficiency in two ways. First, it allows them to coordinate and find the best routes in times of heavy traffic. Drivers in low traffic routes can coordinate with their counterparts stuck in traffic, and direct them to the best routes. Secondly, drivers, especially in the cargo section of the fleet can coordinate fast enough in case of breakdowns, and get goods moving. Such a high level of coordination makes the business more efficient, and that’s good for a company’s bottom line.
- It saves on maintenance costs
This is one of the biggest benefits of a mileage tracker. That’s because, with it, it’s possible to keep real-time updates of all scheduled maintenance. This means that all technical issues with the fleet can be handled early before they balloon into serious problems that might cost more in repairs.