Well-defined fuel card policies are essential to effective fleet management. Having clear guidelines in place helps fleet managers control fuel spending, prevent unauthorized purchases, and improve budgeting processes across their operations.
As fleets grow, fuel card strategies play an increasingly significant role in managers’ overall fleet optimization efforts. That’s why it’s important to use cards with features designed to reinforce your guidelines and scale with your business.
This article explores the key components of a robust fuel card policy, and highlights how Fuelman’s tools support effective fleet fuel management.
Key takeaways
- A well-defined fuel card policy helps fleet managers control fuel spending, prevent unauthorized purchases, and streamline budgeting processes.
- Effective fuel card policies include clear guidelines on who can use cards, permissible purchases, and spending limits.
- Fuel cards equipped with security features, like real-time transaction monitoring and driver-specific PINs, reduce fraud risks and promote accountability.
- Fuel card policies that emphasize efficiency, such as per-gallon discounts and fuel usage reporting, can significantly lower overall fleet expenses.
- Scalability is essential in a fuel card policy, allowing businesses to seamlessly adapt as fleets grow.
What is a company fuel card policy?
A company fuel card policy is a formal document that outlines the rules, procedures, and guidelines for using company-issued fuel cards. It serves as a comprehensive framework for managing fuel-related expenses by defining:
- Who’s authorized to use fuel cards (eligible employees and vehicles)
- Which purchases are allowed, and which are prohibited (e.g., fuel only vs. fuel plus maintenance)
- Where cards can be used (approved gas stations or networks)
- When purchases can be made (time restrictions, frequency limits)
- How to properly document transactions (receipts, odometer readings)
- Limitations for use (daily/monthly spending caps, gallon limits)
- Processes for reporting lost/stolen cards
- Policy violation consequences
- Steps for reconciliation and expense reporting
- Security measures and PIN requirements
Implementing a detailed policy helps organizations control costs, prevent misuse, streamline accounting, and maintain accurate records of fuel expenditures. And most importantly, it enables fleet drivers to keep things moving when they’ve got a job to do.
Which businesses need a fuel card policy?
Any company that incurs significant fuel costs or needs to track fuel usage can benefit from a well-designed fuel card policy. Examples include companies that:
- Operate vehicle fleets, like trucking companies and delivery services
- Have field employees, such as sales representatives and service technicians
- Require frequent travel between branches or regions
- Use fuel cards to reduce administrative workloads with streamlined payment processes, automated reporting, location tracking, tax and mileage calculations, etc.
Issuing fuel cards and guidelines around their use becomes especially critical once a company has more than 5-10 regular drivers. According to Adam Griffeth, Fuelman’s VP of Product, “Companies that fail to implement a policy are potentially putting their bottom lines at risk. Many issues that come up as a result are actually quite avoidable.”
Implementing a fuel card policy becomes especially valuable as fleet size and fuel expenses grow, allowing businesses to manage usage consistently and avoid unnecessary costs. To build a policy that truly supports your fleet’s needs, you should focus on a few key components that drive efficiency, security, and scalability.
4 components of effective fleet fuel card policies
Although policy details differ from company to company, truly effective fuel guidelines encompass a handful of common core components. These four elements work together to protect your organization and maximize its operational efficiency.
1. A flexible fuel card solution
No two fleets are exactly alike. Each one operates with distinct goals, varying internal controls, and different levels of risk tolerance. These differences influence everything from fuel consumption patterns to tax compliance, all of which must be accounted for in your policy.
To make this happen, you’ll need a fuel card solution that can be tailored to your business. Customizable usage restrictions allow you to maintain control while offering fueling flexibility to fleet drivers. This adaptability ensures that the solution is able to meet your organization’s unique demands.
Fuelman offers flexible solutions that support compliance with bespoke gas and diesel fuel card guidelines. Whether you want to restrict purchases to a certain fuel type, set location-specific gas station preferences, or require odometer readings for each transaction, Fuelman’s management tools make customization a breeze.
2. Security controls
Ensuring that fleet gas cards are used appropriately is a huge motivation for implementing a fuel card policy. The best fuel card providers offer enhanced security features designed to help prevent fraud or misuse.
Fuelman fleet fuel cards, for instance, come with built-in tools that promote spending accountability and policy compliance. These include:
- Real-time transaction monitoring: Detailed reports enable fleet managers to track fuel purchases in real-time.
- Driver PINs for secure transactions: By assigning driver-specific PINs, Fuelman ensures that only authorized personnel can make fuel purchases. This also provides a mechanism for tracking individual driver spending.
- Reporting protocols and alerts: Managers can set customizable alerts for purchases falling outside established company gas card policy limits. For example, if a truck driver attempts refueling at an out-of-network gas station, the transaction can be flagged for review.
“When a solid policy is combined with advanced security features,” notes Griffeth, “businesses are much better equipped to protect their financial footing.”
3. Efficiency enablers
One of the biggest advantages of implementing a fuel card policy is the opportunity to realize efficiencies that directly or indirectly lead to cost savings.
Per-gallon fuel discounts, cashback offers, and rebates are the most obvious means of lowering net fleet fuel expenses. You can negotiate directly with fuel suppliers for savings opportunities, but agreement terms are often complex and offer limited coverage.
Top fuel card companies offer easy access to fuel price breaks, so the most straightforward way to build cost efficiencies into your fuel card policy is via your provider. Fuelman offers several pricing plans that can help reduce your expenses, particularly when purchases are made within their network. With more than 40,000 stations in their Discount Network, rebates can add up to substantial savings over time.1
Fuel consumption metrics are also crucial to an effective fuel card policy, offering insights that improve efficiency and reduce costs. Fuelman’s analytics tools equip managers to identify fuel usage patterns, flag issues, and implement policy adjustments to encourage efficient behaviors.
Creating a company fuel card usage policy that prioritizes savings while minimizing inefficiency can have a major impact on your bottom line. Fuelman’s advanced analytics and customizable pricing plans empower fleet executives to take full control of their fuel purchases.
4. Scalability
Scalability is vital to fleet card policies, positioning your organization for growth as you maintain full fuel expenditure oversight. Implementing a scalable policy from the start allows you to eventually handle a larger fleet without a complete system overhaul. Fleet executives who don’t prioritize scalability may regret it later, as rigid policy limits become increasingly impractical. In contrast, scalable solutions offer centralized controls that can be nimbly adjusted to accommodate shifting needs.
Fuelman solutions enable you to effortlessly update restrictions, add or remove cards, and monitor all activities as your fleet grows. Its seamless integrations with popular fleet management and accounting platforms like Verizon Connect and Samsara support real-time tracking and expense reconciliation, ensuring that you aren’t sidelined by new tech investments.
Follow through with Fuelman
A robust fuel card policy is essential for any fleet looking to control costs, improve efficiency, and enhance security. From monitoring fuel purchases in real-time to customizing policies based on fleet needs, Fuelman provides a comprehensive suite of tools to help businesses build a policy that works for them. “With features that promote accountability, enhance security, and maximize savings,” Griffeth points out, “Fuelman empowers fleet managers to take full control of their fuel expenses.”
As your business grows and your fleet expands, Fuelman’s flexible, scalable solutions ensure that your fuel card policy remains effective and aligned with your operational goals. Whether you’re looking to prevent unauthorized spending or optimize fuel efficiency, Fuelman offers the tools you need to fuel smarter and manage better.To learn more about how Fuelman can help your business, visit www.Fuelman.com today.
Fuel cards function like credit cards specifically designed for purchasing fuel and other authorized vehicle-related expenses at participating stations. When making a purchase, drivers may need to enter their unique PIN and odometer readings for transaction approval and tracking.
Most fuel cards can be configured to either allow or restrict non-fuel purchases, including snacks and convenience store items, based on the company’s policy settings. However, many businesses don’t allow these purchases to prevent unauthorized spending and maintain better expense control.
Fuel cards are primarily used for purchasing gas, diesel, and other vehicle fuels at authorized fueling locations. Depending on a company’s policy settings, cards may also be configured to pay for vehicle maintenance, repair, and washing expenses.
- Fuelman discount sites can be found at www.fuelman.com/sitelocator. Fuelman is accepted at Chevron/Texaco, ARCO, Pilot, Wawa, Walmart/Sam’s Club, Love’s, QuikTrip, Kum and Go, OnCue, and Buc-ee’s, but transactions are not eligible for any rebate. Transactions at ARCO are not eligible for any rebate. ↩︎