Cost of driving past the allowance.
A worked example
Starting figures
- Allowance per year
- 10,000
- Actual miles per year
- 14,000
- Lease years
- 3
- Fee per mile
- $0.25
What it returns
- Overage charge
- $3,000
- Excess miles
- 12,000
- Per month set aside
- $83.33
How to read the results
With the defaults above, overage charge works out at $3,000.