IRS Increases Standard Federal Mileage rates for the Second Half of 2026

What You Need to Know and Do

The new rate of 76 cents per mile is effective for all business miles driven for the period from July 1 – December 31, 2026.

Miles driven during the first half of the year (January 1 – June 30, 2026) are subject to the original rate of 72.5 cents per mile.

If your organization uses the IRS rate to calculate mileage reimbursement for business use of a personal vehicle, please update your systems and reimbursement policies to account for this change.

Other Rates

The IRS also updated the standard mileage rate for medical purposes to 23.5 cents per mile, up from 20.5 cents per mile, starting July 1st.

The mileage rate for charitable mileage is fixed by statute at 14 cents per mile and has not changed.

Contact Us

If you have any questions related to these changes, please contact us.