Irs Mileage Rate 2025 per Mile Increase Calculator

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2025 IRS Mileage Rate & Increase Calculator

Business (67.5 cents/mile) Medical or Moving (20 cents/mile) Charitable Organizations (14 cents/mile)

Calculation Results

2025 Total Deduction: $0.00
2024 Equivalent: $0.00
Year-over-Year Change: $0.00

function calculateMileage() { var miles = parseFloat(document.getElementById("totalMiles").value); var category = document.getElementById("mileageCategory").value; var resultDiv = document.getElementById("mileageResult"); if (isNaN(miles) || miles 0) { diffElement.innerHTML = "+$" + difference.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2}); diffElement.style.color = "#2e7d32"; } else if (difference < 0) { diffElement.innerHTML = "-$" + Math.abs(difference).toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2}); diffElement.style.color = "#c62828"; } else { diffElement.innerHTML = "$0.00"; diffElement.style.color = "#333"; } document.getElementById("rateNote").innerHTML = note; resultDiv.style.display = "block"; }

Understanding the 2025 IRS Mileage Rate Increases

The Internal Revenue Service (IRS) has officially announced the optional standard mileage rates for 2025. These rates are used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes. For 2025, taxpayers will see a slight increase in business rates but a decrease in medical-related travel deductions.

2025 vs. 2024 Mileage Rates Breakdown

  • Business Miles: 67.5 cents per mile (Up from 67 cents in 2024).
  • Medical & Moving Miles: 20 cents per mile (Down from 21 cents in 2024).
  • Charitable Miles: 14 cents per mile (Statutory rate, no change).

How to Use the 2025 Mileage Calculator

To use the calculator above, simply enter the total number of miles you expect to drive for the 2025 tax year. Select the category that matches your travel purpose. The tool will instantly calculate your total projected reimbursement or tax deduction for 2025 and compare it to what you would have received under the 2024 rates.

Key Facts for Taxpayers

It is important to remember that taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates. However, if you choose the standard mileage rate, you must generally opt for it in the first year the car is available for business use. In later years, you can then choose between the standard mileage rate or actual expenses.

Example Calculation

If you drive 10,000 miles for business in 2025, your total deduction would be $6,750 (10,000 x $0.675). In 2024, that same distance would have netted a deduction of $6,700. This represents a $50 increase in your tax-deductible expenses for the year due to the half-cent rate adjustment.

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