Mileage Deduction Calculator
Calculate your tax deduction for business, medical, or charitable driving using the IRS standard mileage rates.
📅 Tax Year:
Calculate Mileage Deduction
How It Works
The IRS sets standard mileage rates annually. For 2026:
| Purpose | 2026 Rate | 2025 Rate |
|---|---|---|
| Business | 72.5¢/mile | 70¢/mile |
| Medical/Moving | 22¢/mile | 21¢/mile |
| Charity | 14¢/mile | 14¢/mile |
Who Can Deduct
- Business: Self-employed individuals (W-2 employees cannot after 2017)
- Medical: Anyone, but only medical expenses exceeding 7.5% of AGI
- Charity: Anyone volunteering for qualified charities
Examples
Example: 10,000 Business Miles (2026)
Deduction: 10,000 × $0.725 = $7,250
Frequently Asked Questions
Can W-2 employees deduct mileage?
Generally no. After 2017 tax reform, unreimbursed employee expenses
(including mileage) are not deductible for most W-2 employees. Only self-employed
individuals can deduct business mileage.
What records do I need?
Keep a mileage log with: date, destination, business purpose, miles
driven. Apps like MileIQ can help automate tracking.
Standard rate vs actual expenses?
You can choose standard mileage rate or actual vehicle expenses
(gas, insurance, repairs, depreciation). Standard rate is simpler; actual may be higher if
you have an expensive vehicle.
Does commuting count?
No. Commuting from home to your regular workplace is not deductible.
But driving from one work location to another, or from home if it's your principal place of
business, can be.
What about Uber/Lyft drivers?
Rideshare drivers can deduct miles driven for business (with
passengers or en route to pickup). Driving from home to first pickup or last dropoff to home
is commuting and not deductible.
Can I deduct parking and tolls?
Yes! Parking and tolls for business purposes are deductible in
addition to the mileage rate. Keep receipts.
Use Cases
- Calculating business mileage deductions for self-employed individuals and freelancers
- Estimating medical mileage deductions for trips to doctors, hospitals, and pharmacies
- Tracking charity mileage for volunteer work with qualified nonprofit organizations
- Comparing deduction amounts across multiple tax years to plan driving habits
- Determining whether standard mileage rate or actual vehicle expenses yields a larger deduction
Assumptions & Limitations
- Uses IRS standard mileage rates for the selected tax year (e.g., 70 cents/mile for business in 2025)
- Does not compare standard mileage rate vs actual vehicle expenses (gas, insurance, repairs, depreciation)
- Medical mileage is only deductible for expenses exceeding 7.5% of AGI when itemizing
- Commuting miles from home to a regular workplace are never deductible
- Tax savings estimate uses an approximate 25% marginal tax rate
- Does not include parking fees and tolls, which are deductible separately
Sources & References
- IRS Standard Mileage Rates — Current and historical mileage rates
- IRS Publication 463 — Travel, Gift, and Car Expenses
- IRS Schedule C — Profit or Loss from Business
- IRS Publication 502 — Medical and Dental Expenses (medical mileage)
- IRS Publication 526 — Charitable Contributions (charity mileage)
Disclaimer: This calculator provides estimates for educational purposes only. It does not constitute tax advice. Consult a qualified tax professional for advice specific to your situation.