Mileage Reimbursement Calculator
Use this calculator to determine your total mileage reimbursement based on the miles driven and the applicable reimbursement rate per mile. This is useful for business travel, medical expenses, or moving expenses where mileage can be claimed.
Understanding Mileage Reimbursement
Mileage reimbursement is the compensation an individual receives for using their personal vehicle for business, medical, or moving purposes. Instead of tracking actual fuel, maintenance, and depreciation costs, many organizations and the IRS allow for a standard mileage rate. This rate is updated annually by the IRS and covers the cost of operating an automobile, including gas, oil, tires, repairs, and depreciation.
How Mileage Reimbursement Works
The process is straightforward: you track the total miles you drive for eligible purposes, and then multiply that by the established reimbursement rate per mile. For example, if your company or the IRS sets a rate of $0.67 per mile, and you drive 100 business miles, your reimbursement would be $67.00.
Common Reimbursement Rates
- IRS Standard Business Mileage Rate: This is the most common rate used for deducting business expenses. It changes annually. For example, in 2024, the rate for business use of a car, van, pickup, or panel truck is $0.67 per mile.
- Medical and Moving Expenses: The IRS also provides a separate, usually lower, rate for miles driven for medical or moving purposes.
- Charitable Organizations: A fixed rate is also provided for miles driven in service of charitable organizations.
- Company-Specific Rates: Many employers set their own reimbursement rates, which may or may not align with the IRS standard rates.
Using the Mileage Reimbursement Calculator
Our calculator simplifies the process of determining your reimbursement. Here's how to use it:
- Total Miles Driven: Enter the total number of miles you have driven for the specific purpose (e.g., business trip, medical appointment).
- Reimbursement Rate per Mile: Input the applicable rate per mile. This could be the IRS standard rate for the current year, or a specific rate provided by your employer.
- Calculate: Click the "Calculate Reimbursement" button to see your total reimbursement amount.
Example Calculation
Let's say you drove 235 miles for business purposes, and the current IRS standard business mileage rate is $0.67 per mile.
- Total Miles Driven: 235
- Reimbursement Rate per Mile: 0.67
- Calculation: 235 miles * $0.67/mile = $157.45
Your total mileage reimbursement would be $157.45.
Always keep accurate records of your mileage, including dates, destinations, and the purpose of your travel, as this documentation is crucial for tax purposes or employer reimbursement.