Per Diem Mileage Rate Calculator
Calculation Summary
Understanding Mileage Reimbursement and Per Diem
Calculating accurate mileage reimbursement is essential for both employees and business owners to ensure fair compensation for vehicle wear and tear, fuel, and maintenance during professional travel. While "per diem" typically refers to a daily allowance for lodging and meals, "mileage rates" are the standard method for reimbursing distance-based travel expenses.
2024 IRS Standard Mileage Rates
The IRS sets annual standard mileage rates that represent the cost of operating a vehicle. As of 2024, the standard rates are:
- Business Travel: 67 cents per mile
- Medical or Moving (for qualified active-duty members): 21 cents per mile
- Charitable Service: 14 cents per mile
How to Use This Calculator
To determine your total reimbursement amount, follow these steps:
- Enter Total Miles: Input the total distance traveled for business purposes. Omit personal commutes from your home to your primary office.
- Verify the Rate: Our calculator defaults to the 2024 IRS rate of $0.67. If your company uses a specific internal rate, update this field.
- Include Incidental Costs: Standard mileage covers fuel and maintenance, but it does not include parking fees or highway tolls. Add these in the "Parking & Tolls" field.
- Daily Breakdown: Enter the number of days the trip took to see your average daily travel expense.
Example Calculation
If you drive 250 miles for a business meeting over 2 days, pay $20 in tolls, and use the standard rate of $0.67 per mile:
- Distance Reimbursement: 250 miles × $0.67 = $167.50
- Additional Costs: $20.00
- Total Payment: $187.50
- Daily Average: $93.75 per day
Record Keeping Best Practices
For tax deduction or reimbursement purposes, you should always maintain a contemporaneous log. This log should include the date of travel, the business purpose, the origin and destination, and the starting/ending odometer readings.