Case Study: Industrial Parts Distribution Company achieves 25% cost savings with Cardata Vehicle Reimbursement Program

Parts Distributor Realizes 25% Overall Cost Savings with Cardata Vehicle Reimbursement Program Compared to Company Car Lease program

Industrial Parts Distribution Company, an industrial parts distributor with branches across the U.S., needed to simplify a messy vehicle program. They were juggling multiple reimbursement methods, including IRS mileage payments, allowances, and inherited leased vehicles, while also wanting better mileage tracking and a compliant, non-taxable solution.

The company implemented Cardata’s Fixed and Variable Rate (FAVR) vehicle reimbursement program along with Cardata’s Mobile mileage app. Cardata centralized the policy, improved tracking accuracy, and reduced administration, delivering about 25% overall cost savings compared to a company car lease program while helping ensure IRS compliance and keeping drivers happy.