# Mileage Reimbursement Calculator

Calculate IRS mileage reimbursement for business, medical, or charity driving. Uses 2025 standard mileage rates. Free mileage reimbursement calculator.

## What this calculates

Calculate your mileage reimbursement using the 2025 IRS standard mileage rates. Enter your miles driven and purpose to see the total reimbursement amount for business, medical, moving, or charitable driving.

## Inputs

- **Total Miles Driven** — min 0 — Total number of miles driven for the trip or period.
- **Driving Purpose** — options: Business ($0.70/mile), Medical / Moving ($0.21/mile), Charity ($0.14/mile), Custom Rate — The purpose of the driving determines the IRS rate (2025 rates).
- **Custom Rate (per mile)** ($) — min 0, max 5 — Enter a custom per-mile rate if your employer uses a different rate.

## Outputs

- **Total Reimbursement** — formatted as currency — Total mileage reimbursement amount.
- **Rate Per Mile** — formatted as currency — The per-mile rate applied.
- **Annual Estimate (at this pace)** — formatted as currency — Projected annual reimbursement if driven monthly at this mileage.

## Details

The IRS sets standard mileage rates each year that you can use to calculate the deductible cost of operating a vehicle for business, medical, or charitable purposes. For 2025, the rates are:

- **Business:** $0.70 per mile
- **Medical / Moving:** $0.21 per mile (moving deduction only available for active-duty military)
- **Charity:** $0.14 per mile (set by statute, rarely changes)

The business rate covers gas, insurance, maintenance, depreciation, and all other vehicle operating costs. You cannot claim both the standard mileage rate and actual vehicle expenses for the same vehicle in the same year. For most people, the standard rate is simpler and often results in a larger deduction.

To claim mileage, you need to keep a log that includes the date, destination, business purpose, and miles driven for each trip. Commuting between home and your regular workplace does not qualify as business mileage. However, trips from your office to a client site, between job locations, or from a home office to a temporary work location do qualify.

The rate is updated annually based on a study of fixed and variable costs of operating a vehicle. The 2025 business rate of $0.70 is up from $0.67 in 2024, reflecting higher fuel and vehicle costs.

## Frequently Asked Questions

**Q: What is the IRS mileage rate for 2025?**

A: For 2025, the IRS standard mileage rates are $0.70 per mile for business use, $0.21 per mile for medical and moving purposes (moving deduction limited to active-duty military), and $0.14 per mile for charitable purposes. The business rate increased from $0.67 in 2024. These rates are reviewed and typically adjusted annually based on a study of the costs of operating a vehicle.

**Q: What mileage qualifies as business mileage?**

A: Business mileage includes driving from your office to a client, between business locations, to business meetings or conferences, to the airport for business travel, and from a home office to a temporary work location. Your daily commute from home to your regular workplace does not qualify. If you have a home office that is your principal place of business, driving from home to any work-related location is deductible business mileage.

**Q: Should I use the standard mileage rate or actual expenses?**

A: The standard mileage rate is simpler and works well for most people, especially if your vehicle is relatively fuel-efficient and does not have unusually high maintenance costs. Actual expenses (gas, insurance, repairs, depreciation, etc.) can produce a larger deduction if you drive an expensive vehicle with high operating costs. You must choose one method for the first year you use a vehicle for business. If you start with the standard rate, you can switch later, but restrictions apply.

**Q: Do I need to keep a mileage log?**

A: Yes. The IRS requires contemporaneous records (kept at or near the time of the trip) for mileage deductions. Your log should include the date, starting and ending locations, business purpose of the trip, and miles driven. You can use a paper log, a spreadsheet, or a mileage tracking app. Without adequate records, the IRS can disallow your entire mileage deduction in an audit. Smartphone apps that use GPS to track trips automatically are the easiest approach.

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Source: https://vastcalc.com/calculators/finance/mileage-reimbursement
Category: Finance
Last updated: 2026-04-08