Mileage Deduction Method Calculator

Standard mileage rate or actual expenses in 2026?

The IRS standard mileage rate changed mid-year: 72.5 cents per business mile through June 30 and 76 cents from July 1. Enter your miles for each half and your real car costs to see which deduction is larger for your business vehicle.

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1. Your miles

Business miles driven Jan 1 – Jun 30, 2026

Business miles driven Jul 1 – Dec 31, 2026

Total miles on the car in 2026 (business + personal)

Business miles exclude commuting between home and a regular workplace. Use the odometer log you keep for the year.

2. Your actual car costs for the whole year

Fuel and oil ($)

Auto insurance ($)

Repairs, maintenance and tires ($)

Registration and licenses ($)

Depreciation or lease payments ($)

Other car costs, such as car washes or interest ($)

Business parking and tolls ($) — added to both methods

Enter the full-year cost of the car; the calculator applies your business-use share (business miles ÷ total miles) for the actual-expense method.

3. Tax value and eligibility

Your marginal federal income tax rate (%)

Include self-employment tax (15.3% on 92.35%) in the tax estimate

I run five or more cars at once, or already used actual expenses, MACRS or Section 179 on this car

Enter your miles and costs, then click Compare methods.

What this does not cover

Self-employed vehicle costs only. This is for a sole proprietor or single-member LLC deducting car expenses on Schedule C. It does not model an employee's unreimbursed expenses.
No depreciation schedules. You type in the depreciation or lease cost; the tool does not compute MACRS, Section 179, bonus depreciation, luxury-car caps or a lease inclusion amount.
Rough tax estimate. The tax value multiplies the deduction by your marginal rate plus, optionally, self-employment tax. It ignores the Social Security wage base cap, the half-of-SE-tax deduction and state tax.
Point-in-time 2026 figures. The mileage rates are set by the IRS each year and can change mid-year, as they did in 2026; confirm the current figures before relying on this in a later year.

Common questions

What is the 2026 IRS standard mileage rate for business?

It is 72.5 cents per mile for business miles driven January 1 through June 30, 2026, and 76 cents per mile for business miles driven July 1 through December 31, 2026 (IRS Notice 2026-10, raised mid-year by Announcement 2026-11). Each mile is deducted at the rate for the half of the year it was driven in.

Is it better to take the standard mileage rate or actual expenses?

Whichever gives the larger deduction, if you qualify for both. Actual expenses win for a car that costs a lot to run per business mile (high depreciation, fuel, insurance and repairs), and the standard rate wins for a cheap-to-run car driven a lot for business. Compare the two using your own numbers before you choose.

Can I deduct parking and tolls with the standard mileage rate?

Yes. Business parking fees and tolls are deductible in addition to the standard mileage rate, and they are also deductible under the actual-expense method, so they add the same amount to either method.

Can I switch between the standard mileage rate and actual expenses?

For a car you own, you must choose the standard mileage rate in the first year the car is available for business use. You can switch from the standard rate to actual expenses in a later year, but if you start with actual expenses on a car you cannot use the standard rate for that car afterwards.

When can I not use the standard mileage rate?

You cannot use it if you operate five or more cars at the same time, or if you have claimed accelerated (MACRS), Section 179 or special depreciation on the car, or if you started with actual expenses on a car you own.

Is this tax advice?

No. This tool applies published 2026 IRS mileage rates to the figures you enter, for a sole proprietor or single-member LLC deducting vehicle costs on Schedule C. It does not replace IRS Publication 463 or a qualified tax professional.