In this video, I’m going to explain how to record a mileage claim in FreeAgent.
Before you get started, it’s worth making sure that the cost you’re about to record is a mileage claim, and not a travel expense. A mileage claim relates to travel you’ve undertaken yourself using your own vehicle. A travel expense relates to travel you’ve undertaken using public transport or a taxi, and should be recorded as a standard expense in FreeAgent.
To create a new claim for mileage, navigate to My Money > Expenses on the Overview screen, or Expenses if you’re a sole trader with no staff, and select Add New Mileage. You can also select New Mileage from the Quick Links menu on the Overview screen.
Once you’ve set up the New Mileage claim, you need to provide some information about it.
First of all, enter the date you incurred the mileage claim, and the total number of miles you travelled. Enter a decription and provide as much detail as possible, including the reason for the journey. Select the type of vehicle you used to incur the mileage claim from the drop-down menu.
If your business is going to pay you back for this mileage at HMRC’s approved rates, select this option from the drop-down menu. If the business isn’t going to pay you back, select ‘Don’t reclaim, just re-bill’.
If you are VAT registered and have a fuel receipt that covers the mileage you are claiming here, tick the checkboax and select the fuel type and engine capacity of your vehicle. FreeAgent will work out the amount of VAT you can reclaim
If your mileage claim relates to a particular project, choose it from the drop-down menu. To re-bill the mileage to your client, select Yes and enter the re-bill rate that you have agreed with your client.
If this is a recurring mileage claim, choose the appropriate timescale from the drop-down menu. FreeAgent will automatically generate this mileage claim at the chosen intervals until your specified end-date. If you want the mileage claim to recur indefinitely, just leave the end-date blank.
If you have a receipt for your mileage claim, upload a scanned image of it, or a photo of it taken from your camera or smartphone, and enter a description. Once you’ve entered all this information, select ‘Create New Expense’, or if you have other mileage to add, hit ‘Create and Add Another’. Repeat these steps until you’ve entered all your mileage claims. Ask your accountant for more information.
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