have a base rate. This is the cost you will pay no matter what.
From there, you also have your variable rate. Your variable rate will be the cost you pay per mile x the miles you drive.
For example, your base rate may be $40 and your pay per mile rate could be 6 cents. If you drive 40 miles that month, your variable rate is $2.40 (.06x40). This would then be added to your base rate.
The total amount you’d pay that month would be $42.40 (2.40+$40).
Your base rate is still dependent on a variety of factors. You may have a higher or lower base rate depending on:
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