Need to fix the local conveyance rate for two and four wheeler vehicle for employees

Good morning every one, I need to fix the local conveyance rate for two and four wheeler vehicle. Now the petrol price has gone up and our marketing division members insisting us to revise the price, it was 2.50 and 5 rupees respectively. Our strength is 30 members only so please can any one help me to fix the price according to mkt standard with compare to small scale business. We are into software development field.
20th January 2011 From India, Bangalore

Dear, It is true that the petrol rate has already been hiked, so you must increase the rate upto Rs. 5/- to Rs.7/-. But , you must take discuss with your serniors for this matter also. Meenu
20th January 2011 From India, Gurgaon

Dear all,
Thanks for your replay. For two wheelers 2.50/km it will be very low i think.
Is there any law to standardize the rate. Can we fix like 3.5/km for 2 wheelers and 5.5/km for 4 wheelers.
Regard's
SM
20th January 2011 From India, Bangalore

Dear SM,
Be practical. While fixing please consider the value of petrol, maintenance of vehicle, (for four wheeler cost of dvr) and tear and wear of tyres. For two wheeler our company pays Rs.3 and 3.50 when the cost was Rs.52/- per ltr and Four wheeler it is Rs.6.50/- per ltr. Since the prices have again gone up (Rs.62/- per ltr), it would be fair if you fix it Rs.4/- per ltr for two wheeler and Rs.7.50 for Four wheeler.
Hari
20th January 2011 From India, Vadodara

Dear SM, Attaching herewith olicy of my company which will help you in drafting policy in your company. Regards, Harish
21st January 2011 From India, Ludhiana

Attached Files (Download Requires Membership)

Proposed Reimbursement of Petrol & Diesel Expenses Policy.doc (71.0 KB, 6744 views)

Dear Harish,
Thanks for your replay and attachment. But Rs.4/km don’t you feel its high price. I do agree that we need to take consideration of hike, but if we fix the high price then mkt people take advantage to much I am not against the employee. We need to balance both the side Management & Employee. If I am wrong please correct me.
Regards,
SM
21st January 2011 From India, Bangalore

Dear harish,
best way is to fix rate Rs. 7/- per k.m. for four wheelar and Rs. 4/- per K.M. for two wheelar .
And Employee use public transport then he/she get approval from his/her senior about the amount claimed for conveyance on plain paper.
21st January 2011 From India, New Delhi

hi Sir this attachement is good for both Employee and Employer and also subscribe is good.
21st January 2011 From India, Dehra Dun

Now a days, a motor cycle normally gives average between 45 km to 55 kms in a letter of petrol. Consideing the maintenance & wear/tear of motor cycle you should normally fix the per km rate of Rs.2.50 for two wheeler. And for four wheeler it should be around Rs.7.50 per km
Regard's
Ajay Gupta
21st January 2011 From India, Delhi

You may like to consider fixing a certain quantity of fuel for the employees, depending upon the extent of their travel in terms of Litres of Petrol/Diesel, each month and reimbursing the same against production of bills in support of claims for conveyance.
If you do this you will not have to change your local conveyance rules every time there is a change in the price of fuel.
Best Wishes,
Vasant Nair

22nd January 2011 From India, Mumbai