Mileage Deduction Calculator 2025 β IRS Standard Rate $0.70/Mile
Calculate your 2025 IRS mileage tax deduction. Enter your business miles at the $0.70/mile standard rate or compare to actual vehicle expenses.
Total miles for business purposes
For business use % calculation
$0.21/mile rate (medical only)
$0.14/mile rate
2025 rates: Business $0.70/mi | Medical $0.21/mi | Charity $0.14/mi
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Total Mileage Deduction
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Business Miles Deduction
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Estimated Tax Savings
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Business Use %
Mileage Deduction Breakdown
| Category | Miles | Rate | Deduction |
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How to Use This Mileage Deduction Calculator
Enter your business miles, medical/moving miles, and charitable miles for 2025. The calculator applies the current IRS rates to each category and shows your total deduction and estimated tax savings based on your marginal rate.
Note: Business mileage is deductible for self-employed workers on Schedule C and reduces both income tax and self-employment tax, making it doubly valuable.
The Formula
Business Deduction = Business Miles Γ $0.70
Medical Deduction = Medical Miles Γ $0.21 (only if itemizing & above 7.5% AGI floor)
Charitable Deduction = Charitable Miles Γ $0.14 (only if itemizing)
SE Tax Savings = Business Deduction Γ 15.3% (saves both income + SE tax)
Medical Deduction = Medical Miles Γ $0.21 (only if itemizing & above 7.5% AGI floor)
Charitable Deduction = Charitable Miles Γ $0.14 (only if itemizing)
SE Tax Savings = Business Deduction Γ 15.3% (saves both income + SE tax)
Example
Self-employed consultant, 15,000 business miles in 2025:
Business deduction: 15,000 Γ $0.70 = $10,500
Tax savings (22% income + 15.3% SE tax Γ 50% deduction): ~$3,115
Cost per deductible mile: $0.70 Γ (1 β 0.30) = $0.49 net cost
Each mile driven saves you ~$0.21 in taxes
Business deduction: 15,000 Γ $0.70 = $10,500
Tax savings (22% income + 15.3% SE tax Γ 50% deduction): ~$3,115
Cost per deductible mile: $0.70 Γ (1 β 0.30) = $0.49 net cost
Each mile driven saves you ~$0.21 in taxes
Extended
Standard vs Actual Expenses Comparison
See when actual vehicle expenses give a bigger deduction than the standard mileage rate
Standard Mileage vs Actual Expenses
Actual Vehicle Expenses (for comparison)
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Method Comparison
| Method | Total Deduction | Business Portion | Tax Savings (est.) |
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Mileage Log Best Practices
- Record each trip: date, starting location, destination, purpose, and miles
- Log trips contemporaneously (the day you drive, not months later)
- Record your odometer at January 1 and December 31 each year
- Use a mileage tracking app: MileIQ, Everlance, TripLog, or Google Maps history export
- Keep a separate log for personal vs business trips
- Retain log for at least 3 years after filing (IRS audit window)
Frequently Asked Questions
What is the IRS mileage rate for 2025?
The IRS standard mileage rate for 2025 is 70 cents ($0.70) per mile for business driving. There is also a medical/moving rate of 21 cents per mile and a charitable rate of 14 cents per mile. The business rate is typically adjusted each year based on gas prices and vehicle operating costs.
Who can claim the mileage deduction?
Self-employed individuals, freelancers, and small business owners can deduct business mileage on Schedule C. W-2 employees can no longer deduct unreimbursed mileage after the 2017 tax law change. Partners and LLC members may deduct business mileage on their Schedule E or through the business entity.
What counts as business mileage?
Business mileage includes: driving from your office to a client site, driving between business locations, driving to pick up business supplies, driving to a business meeting or networking event, and driving to a temporary work location. Commuting from home to your regular workplace does NOT count as business mileage β unless you have a qualifying home office, in which case driving from home to a client does count.
Should I use the standard mileage rate or actual expenses?
The standard mileage rate is simpler β just track miles. Actual expenses include gas, insurance, repairs, depreciation, and more β prorated by business use %. Actual expenses often yield a larger deduction for expensive vehicles driven mostly for business. You must use the standard rate in the first year the car is placed in service to retain the option to switch later. You cannot switch from actual to standard after claiming MACRS depreciation.
How do I document my mileage for taxes?
The IRS requires a contemporaneous mileage log showing: date of each trip, business purpose, starting and ending locations, and miles driven. A mileage log app (MileIQ, TripLog, Everlance) is the easiest way. Annual odometer readings at January 1 and December 31 plus your log support your total. Without documentation, the IRS can disallow the deduction entirely.