Mileage Reimbursement Calculator

Compare what your employer or client pays per mile against the 2026 IRS standard rate of $0.70/mile.

Reimbursement below the IRS rate is a taxable shortfall for W-2 employees and a deduction opportunity for 1099 contractors.

Mileage reimbursement inputs

2026 IRS standard rate: $0.7/mi. Anything below is under-reimbursed.

Total reimbursement
$660
IRS-rate equivalent
$840
Under-reimbursed gap
$180

Breakdown

1,200 mi × $0.55$660
IRS rate at $0.7/mi$840
Gap vs IRS rate$180
Deductible value (1099 only)$40

W-2 employees cannot deduct unreimbursed mileage through 2025 (TCJA). Independent contractors deduct the full IRS rate on Schedule C regardless of client reimbursements.

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