Business Owners: Don’t Miss the 2026 Mileage Update

Standard mileage rate increased on July 1, 2026.

By Chrissy Speer

If you use the standard mileage deduction for your business, there's an important change for 2026.

The IRS increased the standard mileage rate effective July 1, 2026 to better reflect the rising cost of operating a vehicle, including fuel, maintenance, insurance, and depreciation.‍ ‍

Because the IRS increased the standard mileage rate effective July 1, 2026, you'll need to separate your business mileage into two periods:

‍ ‍Business Miles‍ ‍

• January 1 – June 30: 72.5 cents per mile

• July 1 – December 31: 76 cents per mile

‍ ‍Medical & Qualified Moving Miles‍ ‍

• January 1 – June 30: 20.5 cents per mile

• July 1 – December 31: 23.5 cents per mile

‍ ‍Charitable Miles‍ ‍

• 14 cents per mile for the entire year (this rate is set by Congress and does not change with IRS mileage adjustments).‍ ‍

If you keep a mileage log, be sure your records are divided accordingly. At tax time, we’ll need the correct mileage totals for each period to apply the proper rate and calculate your deduction accurately.

‍Need help keeping your books and tax records organized? Our team is here to help with bookkeeping, accounting, and tax planning so you can focus on running your business while we handle the details.  Give us a call (913-827-0590) or make an appointment for a free consultation.