Free Mileage Reimbursement Calculator
Calculate your IRS standard mileage deduction in seconds. Supports 2024-2026 rates.
How to calculate mileage reimbursement and deductions
If you drive for work, the IRS lets you deduct or get reimbursed for business miles using a standard per-mile rate it updates each year — no need to track individual gas receipts. Just multiply your business miles by that year's rate.
The formula
Deduction = business miles × IRS standard rate. The rate is 67¢/mile for 2024 and 70¢/mile for 2025. Only business miles count — your daily commute to a fixed office does not.
Worked example
A contractor who drives 15,000 business miles in 2025: 15,000 × $0.70 = $10,500 in deductible mileage.
Keep a log
The IRS requires a log of the date, miles, destination, and business purpose of each trip. Reconstructed logs are a common audit trigger — record trips as you go.
Mileage calculator FAQ
What is the IRS standard mileage rate?
The IRS sets a standard mileage rate each year for business driving (67 cents per mile in 2024, 70 cents in 2025). Multiply your business miles by that year's rate to get your deduction or reimbursement.
How do I calculate mileage reimbursement?
Multiply business miles driven by the IRS standard rate for that year. For example, 12,000 business miles × $0.70 = $8,400. The calculator above does this for 2024–2026 rates.
What counts as business miles?
Driving between job sites, to clients, to the supplier or bank, or to temporary work locations. Your regular commute from home to a fixed office does not count.
Is mileage reimbursement taxable?
Reimbursement at or below the IRS standard rate under an accountable plan is not taxable income to the employee. Amounts paid above the standard rate can be taxable.
Standard mileage vs. actual expense method?
The standard method multiplies miles by the IRS rate. The actual-expense method deducts a business-use percentage of gas, maintenance, insurance, and depreciation. You generally choose one method per vehicle.
Do I need a mileage log?
Yes. The IRS requires a contemporaneous log of the date, miles, destination, and business purpose of each trip to substantiate the deduction.
Track mileage automatically for every job?
HelmarOps logs mileage per job, generates IRS-ready reports, and integrates with your invoices.
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