Mileage Calculator —
Trip costs and business reimbursements.

Mileage guide

Trip costs, IRS rates, and mileage reimbursements explained

Mileage calculations fall into two very different use cases. The first is budgeting a road trip: how much will gas cost for a 300-mile drive? The second is tax and expense reporting: how much can you claim in business mileage deductions or employer reimbursements? This calculator handles both in a single tool with a clean mode toggle.

How to calculate trip fuel cost

The formula for trip fuel cost is straightforward:

For example, a 350-mile road trip in a car that gets 28 MPG, with gas at $3.40/gallon:

If you know your efficiency in L/100km (common in Europe and Canada), use the L/100km mode. The calculator converts internally: MPG = 235.215 ÷ (L/100km).

What is the IRS standard mileage rate?

The IRS sets an annual standard mileage rate that taxpayers and employers can use to calculate deductible mileage expenses instead of tracking actual costs (fuel, insurance, depreciation, etc.). Using the standard rate is simpler: multiply total miles driven for the qualifying purpose by the rate.

There are three separate rates, each for a different purpose:

• Business mileage: Driving for work — visiting clients, travel between job sites, driving to temporary work locations. The highest rate, currently $0.70/mile for 2025.
• Medical/moving mileage: Driving to receive medical care (deductible if medical expenses exceed 7.5% of AGI), or qualified moving expenses for active-duty military. Currently $0.21/mile.
• Charitable mileage: Driving in service of a qualified charitable organisation. Set by Congress at $0.14/mile, unchanged since 1998.

IRS standard mileage rates by year

Rates are per mile. Always verify current rates at IRS.gov before filing tax returns or submitting expense reports.

Standard mileage rate vs. actual expense method

For business vehicle expenses, the IRS allows two methods:

• Standard mileage rate: Multiply qualifying miles by the IRS rate. Simple record-keeping, just log miles driven and purpose. You must choose this method in the first year you use a vehicle for business.
• Actual expense method: Deduct a proportional share of all vehicle costs — gas, oil changes, insurance, registration, depreciation, lease payments. More work, but sometimes produces a larger deduction for high-cost vehicles.

For most employees and self-employed individuals with normal vehicles, the standard mileage rate is both simpler and comparable in value. The actual expense method tends to win only for expensive new vehicles with high depreciation or very high annual mileage in a gas-inefficient vehicle.

Employer mileage reimbursements

Employers who reimburse employees for business mileage at the IRS standard rate (or below) can deduct the reimbursement as a business expense, and the employee pays no income tax on it. If the employer reimburses above the IRS rate, the excess is taxable income to the employee.

Some employers use their own custom rates, either lower (e.g., $0.50/mile) or higher (e.g., $0.80/mile for high cost-of-living areas). This calculator supports any custom rate via the "Custom" purpose option.

Road trip budgeting tips

• Use real-world MPG, not EPA estimates. Highway MPG is typically 10–20% higher than city MPG. For long highway trips, use the EPA highway figure; for mixed driving, use the combined rating.
• Check gas prices en route. GasBuddy and Google Maps show real-time prices at stations along your route. A few cents per gallon adds up over hundreds of miles.
• Account for driving speed. Fuel economy drops sharply above 60 mph — most vehicles lose 7–14% efficiency between 55 and 75 mph. A 500-mile trip at 75 mph vs. 55 mph might cost $8–15 extra in fuel.
• Add 5–10% buffer for detours and traffic. GPS routing estimates are accurate for highways but underestimate city time and stop-and-go driving.

Tracking mileage for taxes

The IRS requires a contemporaneous mileage log for business deductions. A compliant log must record: date, destination, business purpose, and odometer start/end (or total miles). Smartphone apps like MileIQ, Everlance, and Hurdlr automate this with GPS tracking and swipe-to-classify trips.

For self-employed individuals on Schedule C, business mileage reduces both income tax and self-employment tax (a 15.3% rate on the first $176,100 of net earnings in 2024), making the deduction particularly valuable.

Disclaimer

IRS mileage rates shown are for informational purposes only. Tax rules change annually, always verify current rates and eligibility requirements at IRS.gov or with a qualified tax professional before claiming deductions. Fuel cost estimates are based on the values you enter and do not account for traffic, terrain, or real-world driving conditions.