MileagePilot
Calculate
US deduction calculator

Mileage Deduction Calculator

Most W-2 employees cannot deduct unreimbursed mileage at all, and the four exceptions are listed under "Who can claim the deduction". If you are self-employed, or you meet one of those exceptions, your 2026 business miles are worth 72.5 cents per mile through June 30 and 76 cents per mile from July 1. Price each period, then compare the total with the actual-expense method on this page.

Open the calculatorSelf-employed mileage calculator
Calculator by MileagePilotRates checked Nov 2, 2026

At a glance

  • 72.5 cents per mile for miles driven January 1-June 30, 2026 and 76 cents per mile from July 1: the rate in force on the trip date decides, not the date you file.
  • Actual expenses use one ratio for the year: business miles ÷ total miles, applied to every eligible cost.
  • Parking and tolls sit outside the rate and are added in full under both methods, so the two totals stay comparable.
  • The method choice is per car, and the first year decides what stays open: starting on actual expenses closes the standard rate for an owned car.
  • A deduction reduces taxable income. It is not the tax you save, and it is not a refund.
  • Most W-2 employees cannot deduct unreimbursed mileage at all; the four exception categories are listed under "Who can claim the deduction".

The two 2026 business rates

2026 (Jan 1-Jun 30)

Business rate
72.5 cents per mile
What the rate covers
Fuel, oil, repairs, tires, insurance, registration and depreciation. Parking and tolls are separate.

2026 (Jul 1-Dec 31)

Business rate
76 cents per mile
What the rate covers
Fuel, oil, repairs, tires, insurance, registration and depreciation. Parking and tolls are separate.

Each trip uses the rate in force on the day it was driven.

Source: IRS Notice 2026-10 (Jan 1-Jun 30) and IRS Announcement 2026-11 (Jul 1-Dec 31). Confirm the rate against the IRS notice before filing.

Who can claim the deduction

For tax year 2026 an ordinary W-2 employee cannot deduct unreimbursed business mileage. The 2017 tax law suspended miscellaneous itemized deductions subject to the 2% floor, and P.L. 119-21, §70110 made that suspension permanent at IRC §67(h). IRS Publication 463 states the same rule, and the 2026 Instructions for Form 2106 say the form may be used only by the four groups below.

Those four groups deduct unreimbursed employee travel expenses as an adjustment to income on Schedule 1 (Form 1040), line 12, rather than as an itemized deduction. They attach Form 2106 to the return.

If you are self-employed, this employee rule does not apply: your deduction is a business expense on Schedule C.

Armed Forces reservist

A member of a reserve component of the Army, Navy, Marine Corps, Air Force or Coast Guard Reserve, the Army or Air National Guard, or the Reserve Corps of the Public Health Service, deducting travel expenses for reserve duties.

Qualified performing artist

An artist who meets the income, employer and expense tests in the Form 2106 instructions.

Fee-basis state or local government official

An employee of a state or political subdivision who is paid wholly or partly on a fee basis.

Disabled employee with impairment-related work expenses

An employee with a physical or mental disability, deducting the impairment-related expenses that let them work.

Calculate your 2026 deduction

Start with who is claiming and which car. The standard figure, the actual-expense figure and the difference appear only when a method is open to you.

Who is claiming

Your answers decide whether there is a deduction and which methods are open for this car. Nothing is sent anywhere.

About you and the car

The first year the car was used for business decides what stays open.

Can you claim the deduction?

You can claim either method this year.

For a car you own, the first year is what commits you. Starting with actual expenses closes the standard rate for this car; starting with the standard rate keeps both methods available later.

Your 2026 business miles

Enter the business miles you drove in each rate period. The rate in force on the trip date prices each period separately.

Miles and parking

72.5 cents per mile for miles driven January 1-June 30.

76 cents per mile for miles driven July 1-December 31.

Business, commuting and personal miles together. Actual expenses are multiplied by the business-use share this gives.

Parking at client sites and job sites, not at your regular workplace.

Tolls for business travel. They are added in full under both methods.

Your actual vehicle costs for 2026

Enter the whole year's costs, not only the business share. The calculator applies your business-use share to the total. Leave a category empty if you have no figure.

Costs before the business-use share

Enter the depreciation amount your records support. The calculator applies your business-use share to it; it does not apply the IRS depreciation caps for cars above the price threshold or a lease inclusion amount.

Enter your business miles to see the standard deduction, the actual-expense comparison and the figures you can save.

Worked example: 12,000 business miles in 2026

The same 12,000 business miles priced both ways, with 20,000 total miles and $12,000.00 of actual costs including $3,000.00 of depreciation.

Business miles (6,000 Jan-Jun + 6,000 Jul-Dec)

Standard mileage
12,000
Actual expenses
12,000

Business-use share

Standard mileage
Not used
Actual expenses
60% of 20,000 miles

Vehicle costs before the share

Standard mileage
Not used
Actual expenses
$12,000.00

Deduction for the vehicle

Standard mileage
$8,910.00
Actual expenses
$7,200.00

Business parking and tolls

Standard mileage
$200.00
Actual expenses
$200.00

Total deduction

Standard mileage
$9,110.00
Actual expenses
$7,400.00

In this example the standard rate pays $1,710.00 more. These are sample costs; enter your own above to compare your car.

Which method you are allowed to choose

The choice is per vehicle, and you cannot use both methods for the same car in the same year. Two cars can use different methods.

The first year is what commits you. For a car you own, using actual expenses in the first year it is available for business use closes the standard rate for that car. Starting with the standard rate keeps both methods open later.

A leased car stays on whichever method you started with for the entire lease period, renewals included. There is no switch at the end of a single lease year.

  • A car you used actual expenses for in an earlier year stays on actual expenses; the standard rate is no longer available for it.
  • The standard rate is not available if you claimed a Section 179 deduction, MACRS or the special depreciation allowance on the car, or if you used the car for hire or operate five or more cars at the same time.
  • Who owns the car and the method you used in its first business year settle which methods stay open. Other choices, such as Section 179, MACRS or bonus depreciation, are outside this calculator.
  • Enter the depreciation you are entitled to claim for the year. The calculator applies your business-use share to it; it does not calculate §280F limits, lease inclusion amounts or recapture.

Continue with tools

How the two methods work, the 2026 rate, and the log you need to keep.

Self-employed mileage calculatorUS standard vs actual expensesStandard vs actual by countryActual expenses vs standard mileageIRS mileage rate 2026Mileage log templates

Frequently asked questions

Can a W-2 employee deduct mileage?

Not for ordinary employment. IRC §67(h) suspends miscellaneous itemized deductions permanently, and the 2025 reconciliation law (P.L. 119-21, §70110) removed the 2025 sunset that used to be written into the statute. Four groups still deduct unreimbursed employee travel expenses as an adjustment to income on Schedule 1 (Form 1040), line 12, with Form 2106: Armed Forces reservists, qualified performing artists, fee-basis state or local government officials, and disabled employees with impairment-related work expenses. Everyone else claims mileage from their employer under the employer's policy.

Which 2026 rate applies to my business miles?

The rate in force on the date you drove. Miles driven January 1-June 30, 2026 use 72.5 cents per mile; miles driven July 1-December 31, 2026 use 76 cents per mile. A trip that crosses June 30 splits at the date boundary rather than taking one rate for the whole journey. The IRS published the first figure in Notice 2026-10 and raised it for the second half in Announcement 2026-11.

Can I use the standard rate and actual expenses in the same year?

Not for the same car. You choose one method per vehicle per year. Two cars can use different methods, because the choice and its first-year lock belong to each vehicle. This calculator is per vehicle for the same reason, so run it once for each car rather than adding two cars into one total.

Can I switch from actual expenses back to the standard rate?

Not for a car you own if you used actual expenses in the first year it was available for business use. Starting with actual expenses closes the standard rate for that car. Starting with the standard rate keeps both methods available later, although switching to actual expenses then uses straight-line depreciation for the years after the switch. A leased car stays on whichever method you started with for the entire lease period, renewals included.

Does the standard mileage rate include parking and tolls?

No. The business rate covers fuel, oil, repairs, tires, insurance, registration and depreciation. Business parking fees and tolls are deductible in addition to the standard rate, and they are part of the actual-expense method too. This calculator adds them in full under both methods rather than applying the business-use share to them, so the two totals stay comparable.

Is the deduction the same as the tax I save?

No. The deduction reduces the income the tax is calculated on; how much tax that saves depends on your marginal rate. If you are self-employed, you also save self-employment tax on it. The figures here are deductions, not refunds. Keep that in mind when the actual-expense method produces the larger number: it is the amount you deduct, not the amount you get back.

How do I work out my business-use share?

Divide your business miles by your total miles for the year. Total miles include commuting and personal driving. Actual expenses are multiplied by that share, so a car used 60% for business deducts 60% of its costs. The standard rate is applied only to the business miles, so it does not need the share; you still need your total miles to compare the two methods.

What records do I need for either method?

A log made at or near the time of each trip: the date, destination, business purpose and miles. Keep the year's total mileage for the vehicle, receipts for every actual expense, and parking and toll receipts separately. A monthly total such as 'March - 800 miles' is not adequate substantiation on its own. The log is also what proves the business-use share when the return is reviewed.

What does this calculator leave out?

It does not apply §280F depreciation limits, lease inclusion amounts, recapture, a Section 179 deduction, MACRS or bonus depreciation, and it does not reduce the car's basis for the standard-rate miles you claim. Enter the depreciation amount you are entitled to claim; if one of those elections is part of your return, check the figure with a tax preparer before filing. The calculator also does not file or send anything: the figures you type stay in the browser unless you copy or download them.

Official references