What Is the IRS Mileage Rate for 2024?
The IRS standard mileage rate for 2024 is 67 cents per mile for business use, 21 cents per mile for medical or moving purposes (military only), and 14 cents per mile for charitable driving. The business rate increased from 65.5 cents in 2023 to account for rising vehicle operating costs.
The standard mileage rate is a simplified method for calculating your vehicle deduction. Instead of tracking every individual expense (fuel, insurance, repairs, depreciation), you simply multiply your business miles by the IRS rate. For example, a freelance consultant who drives 15,000 business miles in 2024 can deduct $10,050(15,000 × $0.67).
| Purpose | 2024 Rate | 2023 Rate |
|---|---|---|
| Business | 67.0 cents/mile | 65.5 cents/mile |
| Medical / Moving (military) | 21.0 cents/mile | 22.0 cents/mile |
| Charitable | 14.0 cents/mile | 14.0 cents/mile |
Standard Mileage Rate vs. Actual Expenses
The IRS lets you choose between the standard mileage rate and the actual expense method. With actual expenses, you deduct the business-use percentage of all vehicle costs: gas, oil changes, tires, insurance, registration, lease payments (or depreciation if owned), and repairs. If your vehicle costs $9,000 per year to operate and you use it 60% for business, your actual expense deduction is $5,400. If you drove 10,000 business miles, the standard rate yields $6,700 — making it the better choice in this scenario.
What You Can Deduct in Addition to Mileage
When using the standard mileage rate, you can still deduct parking fees and tolls related to business travel separately — these are not included in the per-mile rate. You cannot additionally deduct gas, insurance, or depreciation, as those costs are already factored into the 67-cent rate. Interest on a vehicle loan can be partially deducted if you are self-employed, proportional to business use.
Try It Yourself
Enter your business miles and vehicle expenses to compare the standard mileage rate against the actual expense method and find the larger deduction.
Open Mileage Deduction CalculatorFrequently Asked Questions
Should I use the standard mileage rate or actual expenses?
It depends on your vehicle costs. The standard mileage rate (67 cents/mile for 2024) is simpler and works well for fuel-efficient vehicles with low maintenance costs. Actual expenses — including gas, oil, tires, insurance, registration, depreciation, and lease payments — may yield a larger deduction for expensive vehicles or those with high operating costs. You can calculate both methods and choose the larger deduction, but you must use the standard rate in the first year you use a vehicle for business if you want to switch to actual expenses later. Once you use actual expenses, you cannot switch back to the standard rate for that vehicle.
What counts as deductible business mileage?
Deductible business mileage includes driving from one work location to another, visiting clients or customers, going to the bank or post office for business purposes, and traveling to business meetings or conferences. Your daily commute from home to your primary workplace is NOT deductible. However, if you have a qualifying home office, trips from your home office to a client site are fully deductible business mileage.
How should I track my business mileage?
The IRS requires a contemporaneous log that records the date, destination, business purpose, and miles driven for each trip. You can use a paper mileage log, a spreadsheet, or a mileage tracking app like MileIQ, Everlance, or Hurdlr. The key is recording trips at or near the time they occur — reconstructing mileage at year-end is not considered reliable by the IRS and may not withstand an audit.
Can I deduct mileage if I am a W-2 employee?
Generally, no. The Tax Cuts and Jobs Act of 2017 suspended the unreimbursed employee expense deduction for W-2 employees through 2025. Self-employed individuals, independent contractors, and business owners can still deduct business mileage on Schedule C. Some states (like California, Illinois, and Massachusetts) require employers to reimburse employees for business mileage.