Mileage Reimbursement Calculator
Our free mileage reimbursement calculator estimates how much you'll be paid for business driving using the current IRS standard mileage rate. Enter your miles, adjust the rate if your employer pays a different one, and optionally compare the payout against your actual fuel cost.
Enter your numbers
Your results
| Miles (annualized) | — |
| Rate used | — |
| Fuel cost per mile | — |
| Total fuel cost | — |
| Reimbursement − fuel cost | — |
Estimates based on the rate you enter. Confirm the current IRS rate and your employer's policy before submitting expenses.
How to use this calculator
Enter the number of business miles you drive and how often that total repeats — a single trip, per week, per month, or per year. The rate field is pre-filled with the 2026 IRS standard rate of $0.76 per mile (in effect July 1–December 31, 2026), but you can change it to your employer's actual rate using the preset buttons or by typing a custom number.
If you want to sanity-check whether the reimbursement covers your real driving costs, enter your vehicle's MPG and the current gas price. The calculator compares the payout against your fuel cost so you can see the margin you're left with.
How it works
The core math is a single multiplication:
Reimbursement = miles × rate per mile. For example, 120 miles × $0.76/mi = $91.20. When you choose a weekly, monthly, or yearly frequency, the calculator annualizes your miles first (miles × 52, × 12, or × 1) and then applies the rate, giving you comparable weekly, monthly, and annual figures.
Your actual fuel cost is estimated as miles × (gas price ÷ MPG). Because the IRS rate bundles fuel, maintenance, insurance, and depreciation into one number, your fuel cost per mile should be noticeably lower than the reimbursement rate — the gap is meant to cover everything that isn't fuel. Results are estimates for planning, not tax advice.
Frequently asked questions
What is the current IRS mileage rate for 2026?
The IRS standard mileage rate for business use is $0.76 per mile for July 1 through December 31, 2026, and was $0.725 per mile for January 1 through June 30, 2026. The 2025 rate was $0.70 per mile. The IRS can change rates mid-year, so confirm the current figure at irs.gov before relying on it.
Does my employer have to pay the IRS mileage rate?
No. The IRS rate is an optional safe harbor for employers, not a legal requirement. Companies can set their own reimbursement rate, but amounts above the IRS rate paid tax-free under an accountable plan may become taxable income to the employee.
Are mileage reimbursements taxable income?
Reimbursements under an accountable plan — business purpose documented, expenses substantiated with records, and any excess returned — are generally not taxable. Payments without proper substantiation (a nonaccountable plan) are taxed as wages.
What does the IRS mileage rate cover?
The standard rate is all-in-one: fuel, maintenance and repairs, tires, insurance, registration fees, and depreciation. If you are reimbursed at the standard rate, you generally cannot separately claim those same vehicle costs.
Can I claim commuting miles?
No. Regular commuting between home and your usual workplace is personal travel and is not reimbursable or deductible. Business miles — trips between job sites, client visits, or temporary work locations — generally qualify.