Mileage Reimbursement Calculator.
At the IRS business rate of 76 cents a mile for July to December 2026, 1,200 business miles is $912.00. In the UK, 12,000 business miles in the 2026 to 2027 tax year at HMRC approved rates is £6,000. Enter your miles to get the amount for the US, the UK or any custom rate.
Official rates as of November 2026, prefilled as editable defaults. Estimate only, not tax advice: whether a journey qualifies and how reimbursement is taxed depends on the rules where you are. Runs in your browser.
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Start freeMileage Reimbursement Calculator is a free online tool from Neweb (neweb.ai) for small businesses, with no sign-up. At the IRS business rate of 76 cents a mile for July to December 2026, 1,200 business miles is $912.00. In the UK, 12,000 business miles in the 2026 to 2027 tax year at HMRC approved rates is £6,000. Enter your miles to get the amount for the US, the UK or any custom rate.
| Cost | Free, no account, no sign-up |
|---|---|
| Built for | small businesses, freelancers and sole proprietors |
| Made by | Neweb, the AI website builder and online presence manager (free plan; paid plans from $9/month billed yearly) |
Facts checked October 2026.
What you'll get.
A real example of what this tool produces. Run it above with your own inputs.
Mileage reimbursement is the amount paid to cover the cost of using a personal vehicle for work. It is normally worked out as miles driven multiplied by a rate per mile, and tax authorities publish the rates they accept: the IRS standard mileage rate in the United States and HMRC's approved mileage allowance payments in the United Kingdom.
This calculator has both sets of official rates built in, by year, and a custom mode for any other rate per mile or kilometre. The UK mode applies the 10,000-mile threshold automatically, including when a claim straddles it. Every rate is prefilled but editable, so it stays usable when the rates change.
IRS standard mileage rates, as of November 2026
Cents per mile, from the IRS standard mileage rates page. For 2026 the IRS lists different rates for the first and second halves of the year, so choose the period in which the miles were driven.
| Period | Business | Medical or military moving | Charity |
|---|---|---|---|
| 2026: 1 July to 31 December | 76¢ | 23.5¢ | 14¢ |
| 2026: 1 January to 30 June | 72.5¢ | 20.5¢ | 14¢ |
| 2025 | 70¢ | 21¢ | 14¢ |
| 2024 | 67¢ | 21¢ | 14¢ |
HMRC approved mileage rates, as of November 2026
Pence per business mile, from gov.uk, Travel: mileage and fuel rates and allowances. The passenger payment is 5p per passenger per business mile for carrying fellow employees.
| Tax year | Cars and vans, first 10,000 miles | Cars and vans, over 10,000 | Motorcycles | Bicycles |
|---|---|---|---|---|
| 2026 to 2027 | 55p | 25p | 24p | 20p |
| 2025 to 2026 and earlier (from 2011) | 45p | 25p | 24p | 20p |
The formula
US and custom: reimbursement = miles × rate per mile.
UK cars and vans: reimbursement = miles within the first 10,000 business miles of the tax year × the higher rate + miles above 10,000 × 25p. Miles already claimed earlier in the tax year count toward the 10,000. Motorcycles and bicycles use a single rate for all miles.
How to use the mileage reimbursement calculator
Choose the rates to use: IRS (United States), HMRC (United Kingdom) or a custom rate.
United States: pick the period the miles were driven and the purpose (business, medical or military moving, or charity), then enter the miles.
United Kingdom: pick the tax year and vehicle, enter the business miles in this claim and any miles already claimed in the same tax year. Add passenger miles if you carried colleagues.
Custom: choose a currency and miles or kilometres, then enter the distance and your rate.
Check the prefilled rate, change it if your employer pays a different amount, and read the reimbursement.
Tips for better results
- Keep a mileage log: date, start and end point, purpose and miles for every trip. Tax authorities expect records made at the time.
- Ordinary commuting between home and your regular workplace is generally not business mileage in either country.
- In the UK, if your employer pays less than the approved rate you may be able to claim tax relief on the difference; if it pays more, the excess is taxable.
- The standard rate is designed to cover fuel, insurance, maintenance and depreciation together, so do not claim those again on top for the same miles.
- Self-employed in the US? Estimate the tax on your profit with the self-employment tax calculator.
Example
A real-world walkthrough
A sales rep in Ohio drives 1,200 business miles between July and September 2026. At the IRS business rate of 76 cents a mile for that period, the reimbursement is 1,200 × $0.76 = $912.00. The same miles driven in March 2026, when the rate was 72.5 cents, would be $870.00.
A surveyor in Leeds drives 12,000 business miles in her own car in the 2026 to 2027 tax year. The first 10,000 miles are paid at 55p (£5,500) and the remaining 2,000 at 25p (£500), a total of £6,000. Part-way through the year she submits a 1,000-mile claim having already claimed 9,500 miles: 500 miles fall under the threshold at 55p (£275) and 500 above it at 25p (£125), so the claim is £400.
Frequently asked questions
What is the IRS mileage rate?
As of November 2026, the IRS standard mileage rate for business use is 76 cents a mile for 1 July to 31 December 2026 and 72.5 cents for 1 January to 30 June 2026. It was 70 cents for 2025 and 67 cents for 2024. The charity rate is 14 cents in all of those periods, and the medical or military moving rate is 23.5 cents for the second half of 2026, 20.5 cents for the first half and 21 cents for 2025 and 2024.
How do I calculate mileage reimbursement?
Multiply the business miles driven by the rate per mile. At 76 cents a mile, 250 miles is $190.00 and 1,200 miles is $912.00. In the UK, split the miles at the 10,000-mile threshold and apply the two rates separately. The calculator does both and shows the working.
What are the HMRC approved mileage rates?
As of November 2026, for the 2026 to 2027 tax year HMRC lists 55p a mile for cars and vans for the first 10,000 business miles and 25p a mile above that, 24p for motorcycles and 20p for bicycles. For tax years from 2011 up to 2025 to 2026 the first-10,000-mile rate was 45p. The passenger payment is 5p per passenger per business mile.
How does the 10,000-mile threshold work?
It applies to the total business miles you drive in cars and vans in a tax year, which runs from 6 April to 5 April. The higher rate covers the first 10,000 miles and 25p applies to every mile after that. It is cumulative across the year, not per claim or per trip, so enter the miles you have already claimed and the calculator splits the new claim correctly.
Does my employer have to pay the IRS or HMRC rate?
These are the rates the tax authorities publish for tax purposes, and many employers adopt them, but an employer can set its own reimbursement policy unless a law or contract says otherwise. If you are paid a different rate, type it into the rate field or use the custom mode. This is general information, not tax or legal advice.
Can I use this for kilometres?
Yes. Choose "Custom rate", set the distance unit to kilometres, and enter the distance and your rate per kilometre in any currency. The IRS and HMRC rates are per mile only.
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