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MoneyMath

IRS Mileage Deduction Calculator (2026 Rate)

Compute your standard mileage deduction using the official IRS rate for 2026 ($0.70/business mile). For gig workers, sales reps, self-employed, and medical/charitable drivers.

🟢 Updated April 2026👤 Reviewed by MoneyMath Editorial⚡ Runs in your browser · inputs never leave your device
Your Deduction
$8,400
12,000 miles × $0.700/mi
IRS rate for this year/purpose$0.700/mile
Total deduction$8,400
Approximate federal tax saved$1,848
State tax savings (varies)+$420–$840
Show the formula
deduction = miles × IRS standard rate
federal tax saved ≈ deduction × marginal bracket

Standard mileage rate vs actual expenses

The IRS lets you deduct car expenses two ways: standard mileage (a flat per-mile rate that includes gas + depreciation + maintenance + insurance) or actual expenses (track every receipt, then multiply by business-use %). Standard is simpler AND usually bigger for high-mileage gig workers.

2026 IRS rates

  • Business: $0.70/mile (up from $0.67 in 2024–2025)
  • Medical/dental: $0.22/mile
  • Charitable: $0.14/mile (set by statute — hasn't changed since 1998)
  • Moving (military only): $0.22/mile

You MUST track miles to deduct them

The IRS requires a "contemporaneous" mileage log — date, start/end odometer, purpose, and destination for each business trip. Reconstructed logs from Google Maps history or bank records are accepted but flag more risk on audit.

Best mileage tracking apps for gig workers

  • Stride — free, auto-tracking, works with DoorDash/Uber.
  • Hurdlr — free tier 40 trips/month, then $8/mo.
  • Everlance — free tier 30 trips/month, then $8/mo.
  • MileIQ — $6/mo unlimited, swipe-to-classify UX.
  • DoorDash/Uber built-in trackers — only count active-delivery miles. Severely undercount deadhead. Do NOT rely on these alone.

Frequently Asked Questions

Can I deduct my commute to work?

No. Home → main job location is never deductible, even for 1099 contractors. However, if you have a qualifying home office, trips from home to client sites DO count as business miles.

What if I use my car for both business and personal?

Only deduct the business-use portion. If 60% of your miles are business, your deduction is 60% of the applicable expenses (under actual method) or simply 60% of total miles × the IRS rate (under standard method).

Can I switch between standard and actual methods year-to-year?

If you start with STANDARD in year 1, you can switch to actual in later years. If you start with ACTUAL in year 1, you're locked into actual for the life of that vehicle. This is why most new business owners start with standard.

Is mileage deductible for W-2 employees?

Not since the 2017 TCJA. The unreimbursed employee expense deduction was eliminated. If your W-2 employer requires driving, negotiate a mileage reimbursement (they can pay up to the IRS rate tax-free to you).