Your Job Requires You to Drive. Who Pays for the Mileage?

By Eugene Bruno on November 2, 2026

For some California employees, driving is simply part of the job.

You might start your morning at the office, drive to a client’s location, head to another job site, stop to pick up supplies, and then drive somewhere else before heading home.

But when you’re using your own vehicle for work, who is supposed to pay for the mileage?

In California, employers generally must reimburse employees for necessary expenses incurred as a direct consequence of performing their job duties. That can include certain expenses associated with using a personal vehicle for work.

The San Diego employment law attorney at Eugene Bruno & Associates can answer any questions you have concerning unpaid mileage or any other type of mandatory expense that your employer is refusing to pay.

When Is Mileage Reimbursable?

California Labor Code section 2802 generally requires employers to reimburse employees for necessary business expenses they incur while performing their job duties.

That can include mileage when an employee uses their personal vehicle for work-related travel.

For example, an employee may be entitled to reimbursement when they are required to:

• Drive from one job site to another
• Travel between different customer or client locations
• Pick up or deliver work-related materials
• Drive to another location for a work assignment
• Use their personal vehicle for other necessary business purposes

The California Department of Industrial Relations specifically identifies mileage as a reimbursable expense when an employer requires an employee to use a personal vehicle for work, other than ordinary commuting to and from work.

What About Driving From Home to Work?

This is where things can get more complicated.

Ordinary commuting—traveling from home to your regular workplace—is generally treated differently from travel that occurs as part of performing your job.

For example, if you normally drive from your home to your employer’s office, that everyday commute generally isn’t treated the same as driving from the office to a customer’s location.

But consider an employee who reports to the office in the morning and is then required to drive their own vehicle to several job sites throughout the day.

That work-related driving may be subject to reimbursement.

What If You Drive Between Job Sites?

This is an important issue for employees who don’t work in just one location.

Imagine you work for a company that sends you to different properties throughout the day. You drive:

Office → Job Site #1 → Job Site #2 → Supply Store → Job Site #3

If you’re using your own vehicle for those work-related trips, the mileage and other necessary expenses associated with that business travel may need to be reimbursed.

California’s rules also distinguish certain travel performed during the workday from an employee’s ordinary commute. Travel between job sites can constitute compensable work time in applicable circumstances.

That means mileage reimbursement and travel-time pay are two separate issues.

Is the IRS Mileage Rate the Required California Rate?

Not necessarily.

You may have heard that employers must pay the IRS mileage rate. While the IRS mileage rate is commonly used as a measure of reasonable vehicle expenses, California’s reimbursement requirement is broader.

California’s Division of Labor Standards Enforcement has explained that an employer’s use of the IRS mileage rate does not automatically eliminate its obligation to reimburse an employee for actual necessary expenses under Labor Code section 2802.

The important question is whether the employee has been adequately reimbursed for expenses incurred as a result of the employer’s business requirements.

What Other Driving Expenses Could Be Reimbursable?

Mileage isn’t necessarily the only expense that can arise from work-related driving.

Depending on the circumstances, employees may also incur expenses such as:

• Parking fees
• Tolls
• Work-related vehicle expenses
• Additional insurance expenses required because of the employee’s work
• Other necessary expenses associated with using a personal vehicle for work

For example, California’s DLSE has explained that when an employer requires an employee to obtain additional automobile insurance for work purposes, the resulting expense may be subject to reimbursement.

What If Your Employer Says “We Don’t Pay Mileage”?

An employer may have a reimbursement policy, but having a policy doesn’t necessarily resolve whether the employee’s actual business expenses are adequately covered.

California Labor Code section 2802 generally focuses on reimbursing necessary expenses incurred as a direct consequence of an employee’s job duties.

If you’re regularly using your personal vehicle for work and paying expenses out of your own pocket, it’s worth understanding how your employer’s reimbursement policy works and what expenses you’re actually incurring.

Keep Track of Your Work-Related Driving

If your job requires you to drive your personal vehicle, keeping good records can be helpful.

Consider keeping track of:

• Dates of work-related trips
• Starting and ending locations
• Mileage
• Job sites visited
• Parking expenses
• Tolls
• Other work-related vehicle expenses
• Reimbursement requests and payments

Having documentation can make it easier to determine what you have spent and whether you have been reimbursed.

What About Employees Who Drive for Work Every Day?

This issue can be particularly important for employees whose jobs involve frequent travel.

Construction workers, technicians, home-health workers, sales employees, maintenance workers, inspectors, delivery employees, and other workers may regularly travel between locations as part of their jobs.

If you’re required to use your own vehicle to perform your job, those expenses can add up quickly.

The Bottom Line

If your job requires you to use your personal vehicle for work, you generally should not have to absorb necessary business expenses out of your own pocket.

California law generally requires employers to reimburse employees for necessary expenses incurred as a direct consequence of their work duties.

And remember: mileage reimbursement and compensation for travel time are not necessarily the same thing. Whether particular travel time must be paid depends on the circumstances of the trip and the applicable wage-and-hour rules.

If you regularly drive your own vehicle for work and aren’t sure whether you’re being properly reimbursed, consider speaking with an employment attorney about your specific situation.

Is Your Employer Refusing to Pay Their Fair Share?

The employment law attorney at Eugene Bruno & Associates is ready to fight for your rights. This may include seeking compensation for unpaid mileage, unpaid wages, unpaid overtime, and other unfair labor practice.

If you have questions about your workplace rights, call 1-888-BRUNO-88 (1-888-278-6688) to schedule a free consultation today.