IRS Mileage Reimbursement Calculator
Multiply your miles by the right IRS standard mileage rate. The 2026 business rate rose to 76¢ on July 1, so trips before and after need different rates.
IRS standard mileage rates
| Period | Business | Medical / military moving | Charity |
|---|---|---|---|
| 2025 | 70¢ | 21¢ | 14¢ |
| 2026, July 1 – December 31 | 76¢ | 23.5¢ | 14¢ |
| 2026, January 1 – June 30 | 72.5¢ | 20.5¢ | 14¢ |
The IRS rarely changes the rates mid-year, and last did so in July 2022. Announcement 2026-11 raised the business rate from 72.5¢ to 76¢ and the medical and moving rate from 20.5¢ to 23.5¢ for miles driven on or after July 1, 2026, citing higher fuel prices. Keep separate totals for the two halves of 2026. The 2027 rates are expected in December 2026.
Who can use the mileage rate
- Self-employed and gig drivers deduct business miles on Schedule C. Driving from home to a regular workplace is commuting and doesn't count, but trips between work sites, to clients and to pick up supplies do. You can use the standard rate or actual costs, and to use the standard rate for a car you own you must choose it in the first year the car is used for business.
- Employees can't deduct unreimbursed driving on a federal return; the deduction was suspended in 2018 and the 2025 tax law made that permanent. Reimbursement under an accountable plan is tax-free up to the IRS rate, and anything above it is taxable wages.
- Medical miles count toward the medical expense deduction, which only helps if you itemize and your costs exceed 7.5% of AGI. The moving rate is only for active-duty military moves.
- Volunteers can deduct 14¢ per mile driven for a charity as an itemized deduction; the rate is set by law and never changes.
Keep a mileage log
The IRS expects a record made at or near the time of each trip: the date, where you went, the business purpose and the miles (or odometer readings). A phone app or a simple spreadsheet is fine; a year-end estimate is not.
Frequently asked questions
What is the IRS mileage rate for 2026?
76 cents per business mile for miles driven from July 1, 2026, and 72.5 cents for January 1 through June 30. Medical and military moving miles are 23.5 cents from July 1 (20.5 cents before), and charity miles are 14 cents.
Why did the mileage rate change in July 2026?
The IRS raised it in Announcement 2026-11 because of a rise in fuel prices. It did the same in mid-2022.
Does my employer have to pay the IRS rate?
No federal law requires it. The IRS rate is the most an employer can reimburse tax-free without proving actual costs. Some states, including California, require employers to reimburse necessary work expenses, and many use the IRS rate to do it.
Can I deduct mileage if my employer doesn't reimburse me?
Not on your federal return if you're an employee: unreimbursed employee expenses aren't deductible. A few states, such as California, still allow them on the state return. Self-employed people deduct business miles on Schedule C.