Don’t know the exact split? A rough estimate is fine — put your best guess for miles before and after July 1.
Estimated 2026 deduction
$0.00
Use this free IRS mileage rate 2026 calculator to estimate your deduction or reimbursement — correctly split at July 1, since the IRS raised the rate mid-year. Just enter your miles for business, medical, or charitable driving.
Table of Contents
The 2026 Split: Two Rates in One Year
Most years, the IRS sets one mileage rate in December and it holds for the full next year. 2026 is different. After setting the standard rate on December 29, 2025, the IRS issued a mid-year increase — only the third time this has happened since 2008 — because fuel and vehicle costs rose faster than expected in early 2026.
| Period | Business | Medical / Moving | Charitable |
|---|---|---|---|
| Jan 1 – Jun 30, 2026 | 72.5¢/mile | 20.5¢/mile | 14¢/mile |
| Jul 1 – Dec 31, 2026 | 76¢/mile | 23.5¢/mile | 14¢/mile |
If you drove for work both before and after July 1, you can’t just multiply your annual total by one rate — your deduction needs a first-half subtotal and a second-half subtotal, exactly like this calculator does automatically.
Business vs. Medical/Moving vs. Charitable: Which Rate Applies to You
- Business: the rate most people mean by “the mileage rate.” It covers self-employed work and business driving, and is based on both the fixed and variable costs of owning a car.
- Medical or moving: only the variable costs of driving count, which is why this rate is lower. Moving mileage is now limited to active-duty Armed Forces members and, as of 2026, certain intelligence-community members relocating under orders.
- Charitable: set directly by Congress, not the IRS, which is why it almost never changes and didn’t move in the July update.
Can W-2 Employees Deduct Mileage?
Usually, no. Under current tax law, employees generally can’t deduct unreimbursed mileage as a miscellaneous itemized deduction on their federal return — that break was suspended, with a narrow exception for certain eligible educators. This calculator is most directly useful if you’re self-employed (reporting on Schedule C) or if you’re an employer figuring out a fair reimbursement rate for your team. If you’re a regular employee driving for work, your real move is asking your employer for a mileage reimbursement plan, not claiming a personal deduction.
Standard Mileage vs. Actual Expenses
The standard mileage rate is a shortcut: multiply miles by the rate, and you’re done — no receipts for gas, insurance, or repairs to track. The alternative, the actual expense method, adds up your real costs (gas, insurance, repairs, depreciation) and applies your business-use percentage. It can produce a bigger deduction for an expensive-to-run vehicle, but it demands far more record-keeping, and switching between methods later has restrictions. Most people with an ordinary vehicle come out ahead — or close to it — with the simpler standard rate.
What Counts as Deductible Mileage
Your regular commute from home to your main workplace never counts, no matter which rate applies. What does count: driving between job sites, client visits, trips for supplies, or — for medical purposes — driving to appointments and treatment (only the amount that clears 7.5% of your adjusted gross income if you itemize). For charitable mileage, regular volunteer driving to the same organization counts, even though an identical daily commute to a job would not.
FAQs
How do I calculate my mileage reimbursement for 2026?
Multiply your business miles by the rate for the period you drove them — 72.5 cents for miles before July 1, 76 cents for miles after. Add the two amounts together. This calculator does that split automatically; just enter your miles for each half of the year.
How do I calculate my annual mileage total?
Add up your logged trips for the whole year, or use odometer readings from January 1 and December 31 if the vehicle was used only for one purpose. The IRS expects a contemporaneous log (date, destination, purpose, miles) to support a deduction, not a year-end estimate.
Why did the IRS change the mileage rate in the middle of 2026?
Rising fuel and vehicle operating costs created a large enough gap between the January rate and real driving costs that the IRS issued a rare mid-year correction, effective July 1, 2026.
Do I need to split my mileage log at July 1?
Yes, if you drove for a deductible purpose both before and after that date. Miles from January through June use the lower rate; miles from July through December use the higher one.
What is the 2026 IRS mileage rate for business use?
72.5 cents per mile from January through June, and 76 cents per mile from July through December.
Can I deduct mileage as a regular employee?
Generally not on your federal return under current law — that deduction is suspended for most employees, with a narrow exception for certain educators. Ask your employer about a mileage reimbursement plan instead.
Does the charitable mileage rate change with the business rate?
No. Charitable mileage is fixed by statute at 14 cents per mile and can only be changed by Congress, so it stayed the same through the July update.
What counts as depreciation in the business mileage rate?
About 35 cents of every business mile in 2026 is treated as depreciation. It doesn’t reduce your deduction, but it lowers your vehicle’s tax basis if you use the standard mileage method every year you own it.
Driving a Lot for Work?
If mileage is a big part of your job, your actual fuel spend matters too — the fuel cost calculator shows what you’re really spending at the pump, separate from what the IRS lets you deduct.
Data note: Rates reflect IRS Notice 2026-10 (effective Jan 1, 2026) and Announcement 2026-11 (mid-year update, effective Jul 1, 2026). Always confirm current-year details with the IRS or a tax professional before filing.
