Mileage reimbursement calculator 2026

How mileage reimbursement is calculated

At an employer rate of 65¢ for every mile, the same 13,000 miles pay $8,450.00, which is $1,220.00 less than the IRS figure. The calculator shows that comparison when you choose your employer's rate.

IRS standard mileage rates, 2024 to 2026

Older years are on the IRS mileage rate history page, and the July change is explained in 2026 IRS mileage rate: 72.5¢, then 76¢. Medical trips use the medical rate; how they count on a tax return, including the 7.5% floor, is on the medical mileage deduction page.

Employer rate or IRS rate

An employer can pay its own rate per mile; IRS Publication 463 describes allowances below, at and above the IRS rate. The IRS rate matters for tax, because Publication 463 uses the standard mileage rate as the federal rate for car allowances. Under an accountable plan (business miles, accounted for, any excess returned) the reimbursement stays out of box 1 of your Form W-2. If the allowance is higher than the federal rate, the part above it is reported as wages.

State rules: California and Texas

California

Labor Code section 2802(a) says an employer "shall indemnify his or her employee for all necessary expenditures or losses incurred by the employee in direct consequence of the discharge of his or her duties". Driving your own car for work is such a cost. The section sets no rate per mile and does not mention the IRS rate, so a per-mile figure (the IRS rate or another) is only a way of pricing the miles: the duty is to cover the necessary costs. Section 2802(b) adds interest to awards for unpaid reimbursement.

Texas

The Texas Workforce Commission's guidebook for employers says "Employers do not have to reimburse an employee's out-of-pocket business-related expenses", and warns employers not to make employees pay business costs that take their pay below the minimum wage. Texas state employees are a separate case: Government Code sections 660.041 and 660.042 entitle them to mileage at up to the maximum rate, which the Comptroller lists as 72.5¢ for January 1 to June 30, 2026 and 76¢ for July 1 to December 31, 2026. An agency may set a lower rate if it tells employees in writing first.

Other states are not covered here. Check your state labor department before relying on a state rule.

Mileage reimbursement in Excel

The Download CSV for Excel button saves your trips with the rate and amount for each one and a summary by rate period; Excel and Google Sheets open it directly. To keep a log all year, use the free Excel mileage log template, which applies 72.5¢ or 76¢ to each 2026 row by date. To hand the claim in on paper, the mileage reimbursement form opens with these trips and adds your details and signature lines.