Mileage Rate 2024, Mileage Rate 2025, 2026 and Free Mile Tracker
Mileage rate 2024 was 67 cents per mile for business driving, the 2025 rate was 70 cents, and the 2026 rate started at 72.5 cents before the IRS raised it to 76 cents per mile for driving on or after July 1, 2026. This guide lists every rate for business, medical, and charitable miles, explains the midyear 2026 change, shows how to calculate your deduction or reimbursement, and includes a free mileage tracker that applies the correct rate to each trip automatically.
IRS Mileage Rates at a Glance
| Period | Business | Medical and Military Moving | Charitable |
|---|---|---|---|
| 2024 (full year) | 67 cents | 21 cents | 14 cents |
| 2025 (full year) | 70 cents | 21 cents | 14 cents |
| 2026 (Jan. 1 to June 30) | 72.5 cents | 20.5 cents | 14 cents |
| 2026 (July 1 to Dec. 31) | 76 cents | 23.5 cents | 14 cents |
Source: the IRS standard mileage rates page. The charitable rate is set by law, which is why it has not changed.
What Is the IRS Mileage Rate?
The IRS standard mileage rate is a per-mile amount you can use to calculate the cost of driving a vehicle for business, medical, charitable, or qualifying military moving purposes. Instead of adding up gas, maintenance, insurance, and depreciation, you multiply qualifying miles by the rate. Employers also commonly use the business rate as the benchmark for reimbursing employees who drive their own vehicles for work.
Mileage Rate 2024
- Business: 67 cents per mile
- Medical and military moving: 21 cents per mile
- Charitable: 14 cents per mile
These rates applied to miles driven from January 1 through December 31, 2024. At 10,000 business miles, the 2024 amount is 10,000 times $0.67, or $6,700.
Mileage Rate 2025
- Business: 70 cents per mile, up 3 cents from 2024
- Medical and military moving: 21 cents per mile, unchanged
- Charitable: 14 cents per mile, unchanged
Three cents sounds small, but at 10,000 miles it adds $300, and at 50,000 miles it adds $1,500.
Mileage Rate 2026 and the Midyear Increase
The IRS set the 2026 rates in Notice 2026-10, effective January 1, 2026:
- Business: 72.5 cents per mile, up 2.5 cents from 2025
- Medical and military moving: 20.5 cents per mile, down half a cent
- Charitable: 14 cents per mile
Then, after a sharp rise in fuel prices, the IRS issued Announcement 2026-11 raising the rates for miles driven from July 1 through December 31, 2026:
- Business: 76 cents per mile, up 3.5 cents
- Medical and military moving: 23.5 cents per mile, up 3 cents
- Charitable: 14 cents per mile, unchanged
This was the first midyear adjustment since 2022. It means 2026 has two business rates, and each trip must use the rate for the date it was driven. A mileage log with dates is the only practical way to split the year correctly. See the Journal of Accountancy summary for background on the change.
How to Calculate Mileage
The formula is simple: miles driven times the rate in effect on the date of the trip.
| Example | Miles | Rate | Amount |
|---|---|---|---|
| Business miles in 2024 | 12,000 | $0.67 | $8,040 |
| Business miles in 2025 | 12,000 | $0.70 | $8,400 |
| Business miles, Jan. to June 2026 | 6,000 | $0.725 | $4,350 |
| Business miles, July to Dec. 2026 | 6,000 | $0.76 | $4,560 |
| Total 2026 (12,000 miles) | 12,000 | Mixed | $8,910 |
Free Mileage Tracker and Calculator
Add your trips below. The tracker picks the right rate from the trip date and category, so trips before and after July 1, 2026 are calculated correctly.
Free Mileage Tracker and Calculator
Log each trip with its date, purpose, and miles. The tracker applies the IRS standard rate in effect on that date, including the midyear 2026 change, and totals your deduction or reimbursement by category.
| Date | Type | Description | Route | Miles | Rate | Amount |
|---|
Copy the log into Excel to keep it with your records. This page does not save trips between visits.
Mileage Log Template for Excel
Paste this template into cell A1 of a blank sheet. Enter the date in column A and B, M, or C in column C for business, medical or moving, or charitable. The rate formula looks up the correct IRS rate for the date, including the July 1, 2026 change.
Date Purpose Type (B/M/C) From To Miles Rate Amount 3/10/2026 Client kickoff meeting B Office Client HQ 36 =IF(C2="C",0.14,IF(A2>=DATE(2026,7,1),IF(C2="B",0.76,0.235),IF(A2>=DATE(2026,1,1),IF(C2="B",0.725,0.205),IF(A2>=DATE(2025,1,1),IF(C2="B",0.7,0.21),IF(C2="B",0.67,0.21))))) =F2*G2 7/14/2026 Job site inspection B Office Job site 52 =IF(C3="C",0.14,IF(A3>=DATE(2026,7,1),IF(C3="B",0.76,0.235),IF(A3>=DATE(2026,1,1),IF(C3="B",0.725,0.205),IF(A3>=DATE(2025,1,1),IF(C3="B",0.7,0.21),IF(C3="B",0.67,0.21))))) =F3*G3 Totals =SUM(F2:F3) =SUM(H2:H3)
Who Can Use the Standard Mileage Rate?
- Self-employed people and business owners who use a vehicle for business.
- Employers reimbursing employees under an accountable plan. Reimbursements up to the IRS rate with proper records are generally not taxable wages to the employee.
- Employees generally cannot deduct unreimbursed business mileage on their federal return, with limited exceptions such as Armed Forces reservists, qualifying state or local government officials, certain performing artists, and eligible educators, according to the IRS.
- Moving mileage is limited to active-duty Armed Forces members moving under military orders, and certain intelligence community members, per the IRS.
Commuting between home and a regular workplace is personal driving and does not qualify. Tax rules have details and exceptions, so confirm your situation with a tax professional.
Standard Mileage Rate vs. Actual Expenses
| Standard Mileage Rate | Actual Expense Method | |
|---|---|---|
| What you track | Miles, dates, destinations, and purpose | Every vehicle cost plus business-use percentage |
| Effort | Low | High |
| Best for | Most small businesses and self-employed drivers | Expensive vehicles or very high operating costs |
| Switching rules | The IRS has rules about when you must choose a method for a vehicle, so check IRS guidance before switching. | |
Why the Mileage Rate Changes
The IRS bases the business rate on an annual study of the fixed and variable costs of operating a vehicle, including fuel, depreciation, insurance, and maintenance. When costs move sharply during the year, as fuel did in 2026, the IRS can adjust midyear.
Biggest Mileage Tracking Mistakes
- Not tracking at all. No log usually means no deduction or reimbursement.
- Mixing personal and business miles. Keep them separate.
- Logging from memory. Reconstructing trips at year end leads to errors and weak records.
- Using the wrong rate. For 2026, trips before and after July 1 use different rates.
- Counting commuting. Home to your regular workplace is not business mileage.
What to Record for Each Trip
- Date of the trip
- Starting point and destination
- Business purpose
- Miles driven, from the odometer or a mapping tool
Log trips daily, or automatically if your tools allow it. Consistent records are what support a deduction or reimbursement.
How to Set Up an Employee Mileage Reimbursement Policy
If employees drive their own vehicles for work, a written reimbursement policy prevents disputes and keeps reimbursements nontaxable under an accountable plan. A solid policy covers:
- What counts as business mileage: trips between job sites, client visits, and errands for the business, but not the normal commute.
- The rate you pay: many employers match the IRS business rate and update it when the IRS does, including midyear changes like July 1, 2026.
- Required records: date, start and end points, purpose, and miles for every trip.
- Deadlines: how often logs must be submitted, such as monthly, and when reimbursement is paid.
- Approvals: who reviews and approves mileage before payment.
Federal wage rules also matter for hourly employees. If vehicle costs an employer requires an employee to cover push their pay below minimum wage for the week, that can create a wage problem, so review reimbursement with your payroll provider. See the IRS Publication 463 for travel and car expense rules.
How Businesses Use Mileage Rates
Mileage is not just a tax number. Businesses use the rate to reimburse employees, price jobs that require travel, calculate cost per client, and protect margins. Take a service business with five employees who each drive 20,000 business miles a year. At the 2026 second-half rate of 76 cents, that is $15,200 per employee, or $76,000 a year across the team. If your prices do not account for that, you are undercharging. For how travel time fits into pay, see travel time pay for hourly employees.
Connect Mileage to Time, Jobs, and Invoices
Most teams track mileage in spreadsheets or notes apps and then try to connect it to payroll, invoicing, and job costing by hand. Updoot captures employee time and location at clock in and clock out, connects hours to projects, and turns tracked time into invoices, so mileage, labor, and revenue sit in one place. Plans start at $5 per user per month.
Final Takeaway
The business rate was 67 cents in 2024, 70 cents in 2025, 72.5 cents for the first half of 2026, and 76 cents for the second half of 2026. Use the rate for the date of each trip, keep a complete log, and build mileage into your pricing. Always confirm current rates on the IRS site before filing or setting reimbursement policy.
Sources: IRS standard mileage rates page; IRS news release on the 2026 rates; Journal of Accountancy, IRS raises standard mileage rates for remainder of 2026.
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Frequently Asked Questions About IRS Mileage Rates
What was the IRS mileage rate in 2024?
The 2024 business rate was 67 cents per mile. The medical and military moving rate was 21 cents, and the charitable rate was 14 cents.
What was the IRS mileage rate in 2025?
The 2025 business rate was 70 cents per mile. The medical and military moving rate was 21 cents, and the charitable rate was 14 cents.
What is the IRS mileage rate for 2026?
For January 1 through June 30, 2026, the business rate is 72.5 cents per mile. For July 1 through December 31, 2026, the IRS raised it to 76 cents per mile. The medical and moving rate went from 20.5 to 23.5 cents, and the charitable rate stayed at 14 cents.
Why did the IRS change the mileage rate in the middle of 2026?
The IRS raised the rates for the second half of 2026 in Announcement 2026-11 after a sharp increase in fuel prices. It was the first midyear adjustment since 2022.
How do you calculate a mileage deduction?
Multiply qualifying miles by the rate in effect on the date of each trip. For 2026, use 72.5 cents for business trips before July 1 and 76 cents for business trips on or after July 1.
Can employees deduct mileage?
Generally no. The IRS says unreimbursed employee travel expenses are not deductible for most employees, with limited exceptions such as Armed Forces reservists, qualifying government officials, certain performing artists, and eligible educators.
Is mileage reimbursement taxable?
Reimbursements paid under an accountable plan, with proper records and at or below the IRS rate, are generally not taxable wages. Confirm your plan setup with a tax professional.